Minister of State for Budget and National Planning, Prince Clem Ikanade Agba at the weekend, raised the alarm over the low revenue generation from non-oil sources largely from taxes.
“This is because businesses are not working, due to the pandemic-inspired shut down in Nigeria and the world over. Consequently, he said, businesses would suffer crippling losses with ultimate impact on employment.
To avert this disaster, he stated the need for economic sustainability programmes.
According to him, the Bonny Light crude oil price has dropped from a peak of US$72.2 per barrel on January 7, 2020, to below US$20 recently (a fall below the budget benchmark of US$57billion) due to a global shutdown in virtually every area of manufacturing, services and commerce.
Speaking at the 10th edition of Community of Practice (CoP) meeting, with the theme: ‘’Minimising the Impact of COVID-19 pandemic on the Nigerian Economy: A Strategic Approach’’ in Abuja, the minister stated that there was urgent need to reduce the impact of the pandemic, reduce the decline in economic activities and ensure diversification of the economy.
Agba said that the Federal Government was committed to building a resilient health system (COVID-19 Health) through favourable tariff to support domestic pharmaceutical companies and allied manufactures; improvement of infrastructure in public secondary and tertiary health institutions; stimulation of
jobs and food for all: Agriculture and Food Security by creating many jobs; focusing on increasing land under cultivation with state governments while contributing between 20,000 to 100,000 hectares and constructing rural road on agro- corridor to facilitate transportation of agricultural products to markets.
He also mentioned that the Federal Government had set out to create jobs for youths through Mines and Steel Development; artisanal and small scale miners in six zonal clusters. On social investment programme, the minister said that government would focus on supporting small businesses, giving bailout support to the Aviation Sector, WASH programme and Energy for All: Solar Power Strategy, among others.
Agba noted that most of the Federal Government intervention programmes would require active state and local government participation and support to achieve the desired success.
‘’We need active participation from stakeholders in the ongoing Nigeria Agenda 2050 and Medium-Term National Development Plan (2021-2025).
States and local governments are to participate at steering committee level and the various Technical Working Groups”, he emphasised.
Earlier, the Permanent Secretary, Budget and National Planning, Mrs Olusola Idowu, maintained that the theme of the meeting was apt and timely considering the prevailing global circumstances. She, therefore, expressed her gratitude towards UK’s DFID-PERL for their support towards the successes of the CoP meetings and their sustained back-up to the CoP/NEC Secretariat.
