Prevailing indices says otherwise, but finance minister claims Inflation dropping, economy growing

The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, has stated that Nigeria’s economy has undergone appreciable reforms and that the economy is experiencing an appreciable growth that resulted in the reduction of inflation in the country.

Mr Edun’s remark is contrary to the prevailing economic reality in view of the fact that the indices do not support his claims of Sunday when he featured as a guest on Channels Television’s Politics Today.

The National Bureau of Statistics report in its April’s consumer price index also contradicts the minister’s claim as Nigeria’s inflation rate rose to 33.20 per cent in March 2024 — up from 31.70 per cent in February

According to the bureau, food inflation also surged to 40.01 per cent in the month under review.

But the minister said that the situation was under control, saying the reforms and economic policies of President Bola Tinubu were gradually paying off.

He said, “Mr President has achieved relative growth and stability in his first year in office. The necessary fallout of the measures that had to be taken were higher interest rates to fight inflation and attract foreign currencies, which was successful. In terms of inflation, it is coming down. It is expected and projected to come down over the next few months.

“On the other indices, the important thing is that the economy is actually growing. It is very rare to have a situation where authorities, particularly the monetary authority set their target fighting to bring down inflation and prices generally and at the same time striving to keep the economy growing. We do have that.

“Quarter by quarter when compared to the first quarter of last year, the growth is up by virtually three per cent per annum above population growth compared to about the two per cent achieved by this time last year. So, we do have the economy going the right direction. We just need to stay that course. In staying the course, help and amelioration must be given across the board.

“I have talked about help that should be given to farmers and consumers. There is also help for small and medium scale businesses. By Monday, the economy stabilisation plan that deals with the factors affecting big businesses and industry will be on Mr President’s table so that they too can stabilise, begin investment again, create jobs and grow the economy.”