Dipo Olowookere
President Muhammadu Buhari has revealed that the country’s economy urgently needs new fiscal and structural policies.
He said these policies are required to overcome the present worst economic challenge of Nigeria in decades.
Mr Buhari made this known to African Central Bank Governors during an interactive session. He also said that monetary policy alone could not expand Nigerian economy.
Nigeria’s Central Bank raised interest rates last month, and has been soaking up liquidity in order to support the naira, which has lost around 40 percent of its value since it was floated in June.
The President noted that the continent was confronted with slowing growth, weakening demand, rising inflation, restrictions to capital flows, rising debt levels, increases in exchange rate volatility and a depletion of foreign reserves.
The Central Bank Governors were meeting to discuss ways to safeguard their economies from the expected unwinding of loose monetary policies in the leading developed economies.
