Economic and Policy Review <p><span style="font-family: Calibri;">The NESG <em>Economic and Policy Review</em> (EPR) is a bi-annual publication of the Nigerian Economic Summit Group (NESG), established to serve as an avenue for constructive analysis of economic policies and their impacts on different aspects of the business and economic environment. The EPR aims to provide unbiased, non-partisan views, opinions and analyses on the Nigerian economy and a source of socio-economic indices for business leaders, policy makers and other stakeholders. Therefore, the thrust of the EPR is to provide readers with ideas that help them become smarter, more creative, and more informed about the business and economic environment in which they operate and work. EPR enlists experts in public policy, business, economic theory and practice to express their thoughts and views in the most influential way possible on economic policy and direction of government and the Nigerian economy in the short, medium and long terms.</span></p> en-US (Mr Wilson Erumebor) (Onyinye Uzuana) Fri, 26 Nov 2021 10:23:09 +0000 OJS 60 Review of the Nigerian economy in 2020 and key priorities for 2021 and beyond <div class="page" title="Page 2"> <div class="section"> <div class="layoutArea"> <div class="column"> <p>The Nigerian economy faced significant head winds in 2020 arising from the COVID-19 pandemic. The pandemic exacerbated the realities of rising inflation, unemployment, a tightening fiscal space, and a faltering currency. With the significant macroeconomic challenges facing the nation, critical steps need to be taken to promote economic recovery, sustained growth and socio-economic development. In its 2021 Macroeconomic Outlook Report, the NESG highlighted four key priority areas that are important in attracting private investment which is critical in achieving sustained growth and development in the short and long term. These priority areas are macroeconomic stability, policy and regulatory consistency, sector reforms and human capital development. The first two priorities are critical in the short run. The government has a key role to play in stabilizing the macroeconomic environment and implementing policies which will support economic recovery and promote sustained economic growth further into the future. Sectoral reforms and human capital development, on the other hand, will mainly support improved economic outcomes in the medium to long-run. The potential of key sectors of the economy to attract private investment needs to be harnessed through sectoral reforms. In addition, human capital development is critical to achieving human development and maximizing the productive capacity of the nation.</p> </div> </div> </div> </div> Wilson Erumebor Copyright (c) Thu, 25 Nov 2021 00:00:00 +0000 Analysis of the COVID-19 impact: Need to harness opportunities in the resilient sectors for sustainable growth in Nigeria <div class="page" title="Page 2"> <div class="section"> <div class="layoutArea"> <div class="column"> <p>There is an urgent need to implement critical macroeconomic policies which will directly support Nigeria's economic landscape, protect its vulnerable population, and set its economy on a pathway towards economic recovery. There should be a focus on sectors with the highest growth potential that showed remarkable resilience through the peak of the Covid-19 pandemic in 2020. In line with the focus of this policy paper, we recommend that the Federal Government carry out the following actions to achieve stable markets, promote economic prosperity through diversification, ensure business development, and reduce poverty in Nigeria.</p> <ul> <li> <p>Agricultural policies should aim at supporting the development and availability of high yield seeds in Nigeria. In addition, measures should be taken to boost the availability of irrigation facilities to aid all-year-round farming in Nigeria. These two measures would increase crop production in Nigeria and help curtail low agricultural productivity, a significant reason for the high prevalence and persistence of high food inflation, by keeping the rural population trapped in a vicious cycle of poverty.</p> </li> <li> <p>Strong focus to leverage Information and Communication Technology to address socio-economic issues and utilize its positive macroeconomic potential. A report by World Economic Forum shows that a 10 percent digitization increase of a country would result in a 0.75 percent increase in GDP per capita with a 1.02 percent drop in the unemployment rate. The pandemic has accelerated the pace of digitization globally. Better enabling conditions for remote work to support activities in other parts of the globe could help enable skills transfer, job creation, and improved forex inflows from exporting services from Nigeria.</p> </li> <li> <p>The monetary authority should review and maintain policies to boost access to credit. These measures include providing credit bureaus with more data to assess the creditworthiness of borrowers and driving financial inclusion to enable financial institutions to mobilize more deposits. This would increase the availability of funds available for lending, and banks will be more aware of borrowers likely to default. It would also reduce the cost of borrowing by manufacturers in the country. Currently, Nigeria has one of the highest lending rates in sub-Saharan Africa, pegged at a double-digit of 11.5 percent, compared to Kenya, Ethiopia, Namibia, whose MPR is pegged at a single digit.</p> </li> <li> <p>The apex bank should support policy measures that would increase the supply of forex into the country. Accessing new channels such as diaspora remittances and export of services from Nigeria could help in addressing the challenge around accessibility and affordability of forex. This would facilitate the importation of raw materials and other vital resources not locally available.</p> </li> <li> <p>The federal government should address the insecurity challenges in the northern and eastern parts of the country, endowed with natural minerals. This would attract both domestic and foreign investors to leverage the underutilized mining and quarrying sector.</p> </li> </ul> </div> </div> </div> </div> Wilson Erumebor Copyright (c) Thu, 25 Nov 2021 00:00:00 +0000 Securing Nigeria’s future: Urgent economic recovery and resilience strategies <div class="page" title="Page 2"> <div class="section"> <div class="layoutArea"> <div class="column"> <p>COVID-19 has shown and exacerbated health, social and economic vulnerabilities in Nigeria, just like in most other emerging nations of the world. With long-standing economic issues that predate the pandemic in Nigeria, this paper examines ways by which opportunities brought about by the pandemic in the form of social, technological, and environmental benefits could be adapted for reversing shocks and building resilience for a post-pandemic environment. The impact of the pandemic and the recommendations that follow in this paper were developed around key economic agents such as the individual (household), firms, institutions and the government.</p> </div> </div> </div> </div> Opeoluwa O. Runsewe Copyright (c) Thu, 25 Nov 2021 00:00:00 +0000 Reskilling the Nigerian labour force for effective productivity: Prosilience as the new normal <div class="page" title="Page 2"> <div class="section"> <div class="layoutArea"> <div class="column"> <p>Accelerating trends in remote work, e-commerce and automation mean that more Nigerian employees will need to change jobs and learn new skills. The fundamental question is whether the employees are ready to shift gears and the employers ready to guide the shift? This article aimed to explore how Nigerian employers (both in the public and private sectors) can strategize talent development, and identify the most effective options to ensure a competitive workforce.</p> </div> </div> </div> </div> Muhammed A. Akanji, Ruqayyah A. Baderinwa Copyright (c) Thu, 25 Nov 2021 00:00:00 +0000