Why Nigerians Are Facing Current Economy Hardship— Bagudu

Nigeria’s Minister of Budget and Economic Planning, Abubakar Bagudu, has said that citizens should expect discomfort as a result of the policies of the Bola Tinubu-led administration but he believes the policies would translate into shared prosperity.

Bagudu said this on Tuesday during the presentation made by the economic team at the House of Representatives which was monitored by THE WHISTLER.

The cost of living in Africa’s most populous country has risen to its highest as inflation was measured at 28.92 per cent in December while the currency devalued by 98 per cent in 2023, according to PricewaterhouseCoopers (PwC) after the Central Bank of Nigeria introduced a managed float.

Basic staple food in Nigeria has seen its prices jump by almost double year on year. The price of staples like rice rose from N1,200 in May 2023 to N2,000 by January 2024 while beans surged to N1800.

Bagudu said the National Assembly particularly the House of Representatives was right to be worried about complaints on Nigeria’s cost of living.

“One of the quickest wins and this challenge does not come unanticipated. We reckon with global challenges that are impacting us domestically, and we reckon with the transitional nature of some of the measures that we have taken.

“We know that they will have some impact, but we have compensatory kindnesses, one of which is to support domestic production, particularly one that we are most familiar with 36 states of Nigeria plus the FCT and the agricultural production is a component as well as other infrastructural activities for which funding has been generously provided in the budget.

“What is happening in our country is akin to somebody visiting a reconstruction site. It might be inconvenient. Those living in it might be inconvenienced, especially when such a construction site involves people living in them. In improving the site, you have to discomfort those who are living there as well as those who are coming to help.”

The minister noted the government’s plan to prioritise projects that will stimulate economic activity as quickly as possible.

Bagudu said, “We are very clear that we are on the right track and the challenges of the moment are being dealt with.

“We are sure that we will overcome the challenge of the moment, and we build our path to sustain economic growth that includes everyone.”