Lagos – The Lagos Chamber of Commerce and Industry (LCCI) on Thursday urged the country’s policy makers not to lose focus over the positive remarks made by the International Monetary Fund (IMF).
Mr Muda Yusuf, the Director-General of the chamber, told the News Agency of Nigeria (NAN) that the advice was necessary because a slip could rubbish the good intentions of the government.
Yusuf said, ” The IMF’s certification of our economic policy is like a doctor giving a clean bill of health.
“But if the current economic situation is not properly managed, the country will find itself reverting to IMF for loan when in distress.”
Yusuf spoke against the backdrop of the statement by the IMF’s Managing Director, Christine Lagarde, that Nigeria does not need financial assistance for its programmes.
NAN recalls that the 2016 budget, which has N1.84 trillion deficit will be met through domestic borrowing of N984 billion and foreign borrowing of N900 billion.
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“Just like Lagarde said, Nigeria is not yet at that point but we may get to that point if we do not manage the current situation properly.
“Especially at a time like this when commodity markets are facing challenges, Nigeria needs all the advice that we can get on how we can manage the economy.
“We need to strengthen our economic policies and policy makers should be firm to guard against such occurrence,’’ he said.
He emphasised that the IMF’s endorsement of the country’s policies would facilitate access to funds for projects from international donor agencies like the World Bank and the African Development Bank (AfDB).
He said if the foreign lenders were not convinced about the quality of your economic policies, they were not likely to support your economy.
“The endorsement is important for Nigeria right now because the economy needs support.”
He commended the government for working on: fiscal discipline, managing resources properly, spending on infrastructure and issues of fuel subsidy.
Yusuf said that he hoped the government and the IMF would arrive at a positive position over the flexibility of the country’s exchange rate.
Lagarde, who arrived on Jan. 4, is in Nigeria on a four-day working visit.
She would live for Cameroon in continuation of her tour of some African countries. (NAN)
