Economist Tasks FG On Prevailing Economic Fundamentals

An economist, Dr Austine Nwaeze, has urged the Federal Government to change some prevailing economic fundamentals in order to get the country out of economic recession in 2017.
Nwaeze, who lectures Economics at the Pan Atlantic University, Lekki, spoke in an interview with newsmen in Lagos yesterday.
According to him, even if the National Assembly passes the 2017 budget in record time, capital expenditure in the current budget is not enough to change the current economic doldrums.
“The nation’s economy will eventually get out of the recession challenges in the last quarter of 2018 when there will be enough business investment to stimulate the economy.
“Although, quick passage of the 2017 budget by the National Assembly is key, it is not enough to change the current economic doldrums.
“The budgeted capital expenditure is not enough, as the government needs to change its position on some basic economic fundamentals.
“Since the country is an import-driven economy, having a tough stance on importation without a time lag on local alternatives is inimical to many sectors of the economy,” he said.
The economist also urged the government to revive the economy by building enough confidence for foreign investment inflow.
According to him, confidence in the system will encourage investors to plough their funds into the economy, and investors should not experience difficulties in getting their funds out when necessary.
He said that government should address the issue of multiple foreign exchange rates as investors would shy away from a country without a single exchange rate.
“Multiple foreign exchange rates are not helping issues and government should resolve that as quickly as possible,” Nwaeze said.