NESG Reveals Plan to Boost Nigeria’s Economy

oleh admin | Mar 30, 2025 | business, economics, energy sector, government, news media

ABUJA

– The Nigerian Economic Summit Group (NESG) has introduced a fresh plan to propel Nigeria’s economic growth.

At the launch of the fresh strategy during a media interaction event in Abuja over the weekend, Dr. Tayo Aduloju, CEO of NESG, highlighted that this plan emphasizes measurable objectives within major economic areas for both the near and intermediate future. It reflects the organization’s dedication to implementing practical measures aimed at stimulating development and wealth creation.

Labeled as part of the “arc of the possible,” he detailed how the updated roadmap emphasizes the adjustment of stabilization approaches to tackle new obstacles, guaranteeing sustained development and improved quality of life.

He pointed out that although the reforms were beneficial on their own, the risk lies in poorly implemented policies or rollback of these reforms, which could result in economic stagnation and increased vulnerabilities.

According to NESG, the fresh approach focuses on establishing structures to support six key reforms: fostering a competitive market, encouraging investments from the private sector, building supportive conditions, ensuring democratic governance aligned with national interests, upholding the rule of law, and laying down solid economic groundwork for long-term growth.

The NESG suggested that from 2025 to 2026, the government should concentrate on fostering a favorable environment for investments, addressing issues of food sovereignty and security. They emphasized that during this timeframe, the administration must also prioritize advancements in areas such as energy, agriculture, technology, infrastructure, and trade.

Between 2025 and 2030, as suggested by NESG, the emphasis ought to be placed on enhancing productivity and efficiency, managing population dynamics, and generating employment opportunities.

The aim is for the ICT sector’s real GDP to grow by at least 20 percent between 2025 and 2026. Additionally, by this period, we expect that at least 40 percent of citizen and business engagements with the government will be digitized, along with achieving a broadband penetration rate of at least 70 percent.

It aims to achieve within the short term that the government reduces post-harvest losses by 50 percent, increases the production of the top five crops by 20 percent, and cuts food imports by 50 percent.

“In the realm of energy, the strategy aims for the near future with three key goals: ensuring that at least 90 percent of qualifying electricity consumers will be equipped with meters; boosting crude oil output to reach 2.5 million barrels daily; and achieving an uptick of at least 40 percent in natural gas production,” stated the NESG.

By 2026, the NESG aims to double the cargo volume carried via rail transport and achieve complete operation of the concessions for the seven major roadways.

“The NESG stated that phasing out trade barriers for crucial intermediary goods would decrease production expenses for companies, allowing them to offer their products at more competitive prices.” They further noted that eliminating these obstacles could not only curb inflation but also boost economic efficiency, resilience, and long-term growth prospects.

According to the NESG’s economic forecast for 2025, an improved economic path is essential for enhancing engagement from the private sector, protecting living conditions, and reducing the effects of growing economic instability.

It acknowledged, however, that attaining strong economic growth poses a significant challenge requiring a reassessment of both present and future reform strategies.

This emphasizes three critical areas of reform for 2025: first, maintaining steady and mild inflation by reinforcing fiscal discipline via increased revenue from progressive taxation measures, cutting unnecessary spending, and channeling savings from reduced subsidies toward specific social programs; second, improving the effectiveness of monetary policies to ensure long-term price stability; third, removing import restrictions and lowering duties on crucial items to tackle bottlenecks in supplies and stabilize pricing.

The alternative approach involves increasing foreign exchange liquidity and stabilizing currency rates by simplifying trade procedures, improving remittances via digitization, and sustaining a trustworthy monetary policy framework to foster investor trust and guarantee exchange rate steadiness.

According to the NESG, enhancing fiscal performance and decreasing debt risks stands as the third key focus for reforms.

This focuses on revenue-driven fiscal consolidation, reallocation of spending, and the utilization of non-debt financing methods like public-private partnerships (PPP) to decrease debt levels and enhance fiscal stability.

Upon taking office, Tinubu’s administration initiated several reform measures. These included eliminating the fuel subsidy, consolidating exchange rates, and implementing tax reforms aimed at enhancing the nation’s revenue streams and bolstering domestic enterprises.

Even though the reforms aimed at fostering a stable economic climate favorable for investment, employment generation, and reducing poverty, they inadvertently led to rising costs of living. This increase has exacerbated poverty levels, causing both families and enterprises to struggle for survival.

During an interaction with reporters, Aduloju voiced his backing for the transformation of the Nigerian National Petroleum Corporation Limited into a publicly traded company.

He indicated that the project would enhance openness and responsibility along with guaranteeing adherence to global standards for corporate governance, thus benefiting every Nigerian.

He stated: “I strongly support making NNPC publicly traded. This would increase transparency. Therefore, any steps taken in that direction are highly appreciated.”

The higher the transparency, the greater the compliance with international standards for corporate governance. This makes it highly probable that NNPC will function more effectively for all Nigerians.

Although recognizing that the path to NNPC’s public offering is intricate and lengthy, he pointed out that Saudi Aramco began its transition several years back with preliminary measures akin to what NNPC is presently contemplating.

“It takes a considerable time for NNPC to reach the level of Saudi Aramco. However, Saudi Aramco embarked on their journey several years back. They initiated a similar process,” he stated.

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