Vice President Kashim Shettima praised President Bola Ahmed Tinubu’s administration for its fiscal responsibility and transparency during the 141st meeting of the National Economic Council (NEC) held at the Presidential Villa on Thursday.
Citing a recent upgrade by Fitch Ratings, which improved Nigeria’s credit outlook to positive, Shettima noted the increased confidence in the nation’s economy. “There is no doubt that this government has demonstrated transparency in its financial dealings and protections,”
Shettima stated. “Fitch Ratings upgraded Nigeria’s credit outlook to positive, citing reform progress under President Tinubu. This reflects the increasing confidence in our economic trajectory, especially in light of policy changes aimed at reducing our debt service burden.”
The meeting, attended by members of the Institute Chartered Accountants of Nigeria, included discussions on the accountability index and state rankings in public financial management. These insights, Shettima emphasized, will help guide financial planning and adjustments at all levels of government.
NEC’s agenda also focused on supporting Micro, Small, and Medium Enterprises (MSMEs), which Shettima described as the backbone of Nigeria’s economy. “As we plan for stability, we must remember that the backbone of our economy isn’t solely comprised of our big corporations. While these entities play a vital role in tracking the nation’s productivity and employment data, it is our Micro, Small, and Medium Enterprises (MSMEs) that should keep us awake at night.
“Accounting for about 96% of all businesses in the country and contributing 49% of the national GDP, MSMEs are the backbone of our economy. The past few months of our efforts to mend the economy have caused disruptions that have sent shockwaves throughout the industry. We cannot afford to ignore this reality; immediate intervention is essential to mitigate the damage and ensure their survival,” he pointed out.
Shettima underscored the importance of access to capital for job creation and poverty eradication, aligning with President Tinubu’s promises. “Our agenda today revolves around the ongoing and proposed interventions we have designed to support our small businesses. Whether it is addressing the inflationary impacts of the inevitable solutions proposed to save the economy or tackling the issue of high-interest rates at our financial institutions, our focus is on ensuring the survival and prosperity of these enterprises.”
Highlighting the role of digital technology, Shettima discussed the Investment in Digital and Creative Enterprises (iDICE) initiative as a crucial effort to upscale MSMEs. “The potential of our creative and digital economic sector is vast, and iDICE presents an opportunity to explore it and offer our people an advantage to compete fairly with their counterparts from other parts of the world,” he explained.
In addition to economic issues, Shettima called for proactive measures to tackle flooding in 2024. “We cannot afford to be caught off guard by a disaster that we are all too familiar with, one that has devastated various communities across the nation, including our urban centers.
“We must not merely prepare for a cure; instead, we must take proactive measures to prevent this annual cycle of loss of lives and properties. While the tragedy itself may be natural, the management of the emergency is within our control,” he declared.
The Vice President also announced the launch of the implementation phase of the Human Capital Development (HCD) Programme, initiated by the previous administration. The federal government will commence this phase with the inauguration of the steering committee and core working group.
The meeting concluded with a briefing by Central Bank of Nigeria (CBN) Governor Yemi Cardoso, who provided updates on the Excess Crude Account (ECA), Stabilization, and Development of Natural Resources accounts. As of the end of April 2024, the ECA stood at $473,754.57, the Stabilization account at N17,209,155,588.20, and the Development of Natural Resources Account at N62,307,926,804.17.