Members of the Organised Private Sector and Civil Society Organisations have expressed deep concerns over the worsening economic conditions in Nigeria, highlighted by escalating inflation, rising food prices, and surging unemployment.

These groups are calling for an urgent review of government policies, which they argue have only brought hardship and despair to citizens.

Since President Bola Tinubu took office in May 2023, the average price of commodities has increased significantly, with inflation rising from 22.41% to 32.70% in September 2024.

This marks a sharp 10 percentage point increase over the 13 months of continued economic strain.

Several factors, including the removal of fuel subsidies and the depreciation of the naira, have further exacerbated the situation, pushing the cost of living to unprecedented levels.

A report from the National Bureau of Statistics paints a grim picture, showing a steady rise in inflation.

By January 2024, inflation had reached 29.90%, driven largely by soaring food costs.

This pattern continued into 2024, peaking at 34.19% in June before a slight drop to 32.70% in September.

Despite efforts by the Central Bank of Nigeria to curb inflation through an 850 basis point hike in interest rates, concerns remain over the long-term impact on economic growth and borrowing costs for businesses.

The removal of fuel subsidies, a cornerstone of Tinubu’s economic reforms, has triggered sharp increases in fuel prices, further straining households and businesses.

Fuel prices skyrocketed by over 488%, rising from N175 in May 2023 to N1,030 in October 2024. Despite promises to lower fuel prices during his campaign, the president’s policies have only deepened the struggles of ordinary Nigerians.

Although Nigeria’s GDP grew by 3.19% in the second quarter of 2024, this economic growth has not translated into tangible improvements in the lives of average citizens.

Rising production costs, weakened consumer purchasing power, and high borrowing costs continue to hamper businesses, especially in the manufacturing and small business sectors.

Key industry leaders have spoken out about the dire situation. The Director-General of the Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, called for a rethink of the government’s inflation-fighting strategy, which he said has been ineffective.

He emphasized the need for a comprehensive impact assessment of the persistent interest rate hikes, highlighting the toll they’ve taken on the manufacturing sector.

Ajayi-Kadir told The PUNCH: “I mean, it is evident. You can’t do the same thing for 18 or 28 months, and expect a different result. What this has proven is that we need to rethink our strategy. We need to rethink the way we have managed the issue of inflation and the economy in general.”

Ajayi-Kadir said MAN was one of the most impacted sectors by the rising inflation and urged the government to carry out an impact assessment.

“We have asked for an impact assessment of the persistent increase, and whether it has achieved its objective. And if it has not, we must be able to ascertain what else we need to do and what sectors have suffered as a result of this persistent increase.

“If we do that analysis, I think it will be evident that manufacturing has been the most impacted because it is no longer possible for you to borrow and produce and be profitable, competitive and sustainable. So you can’t borrow at a rate of more than 30 per cent or 34 per cent.”

He acknowledged that the country needs to grow what it eats and be able to fight insecurity affecting production to ease food inflation.

He added, “We also need to be able to check the activity of middlemen that have continued to create this steep rise. And then we need to give effect very quickly to the importation of the food.

“Though I need to say that we need to be very careful about that so that we set the right quota and we monitor the implementation so that it is those who have milling facilities as envisaged in the reform, in the measure for implementation.”

The MAN DG urged President Tinubu to consider the state of the economy to make necessary changes.

“In coming back, Mr. President would be best advised that well, the situation in the economy has not really improved so there is more to be done and all hands should be on deck to intentionally backtrack the resolution of the economic situation we are in as envisaged in the stabilisation plan of the government,” he advised.

Ajayi-Kadir’s sentiments were echoed by other sector leaders, including the National President of the Association of Small Business Owners of Nigeria, Dr. Femi Egbesola, who warned that small businesses face the risk of closure due to rising operational costs.

He said, “Rising costs for everything from raw materials, taxes, energy, fuel, other inputs and cost of doing business, eat directly into profits, making it harder to stay afloat.

“This squeeze is further amplified by weakened consumer spending power. As people have less money to spend, non-essential purchases often take a back seat, potentially leading to declining sales and eventually job losses as businesses continue to prune down costs.

“We strongly advocate for the re-jigging of the president’s cabinet, as some of the ministers are not making significant impact in their assigned ministry.”

Egbesola asserted that “best hands should be engaged to chart a more innovative way forward out of the economic quagmire we are.”

Public analysts and economic commentators have also urged the government to prioritize key sectors like food security, transportation, and infrastructure.

As Nigerians grapple with these challenges, the government is being urged to take more decisive actions to alleviate the economic hardships.

With inflation remaining stubbornly high, many argue that only bold and compassionate policy adjustments can provide relief to the millions of Nigerians affected by the current crisis.

The 2023 Labour Party (LP) presidential candidate, Peter Obi, has criticized President Bola Tinubu and his Vice, Kashim Shettima, for being absent from the country at the same time.

Obi equally said it is arguable to accept the explanation from the presidency that there is no vacuum in the leadership of the country as a result of the absence of the two leaders.

Speaking via a statement on his X account on Friday, Peter Obi submitted that Nigeria is facing a lot of domestic problems and it is concerning for both the President and the Vice President to be away from the country at such a time.

He noted that the two weeks President Tinubu was expected to be away from the country has elapsed and the President should have returned to Nigeria as the citizens need his attention to steer the country out of its predicament caused by harsh economic policies.

“While it is arguable that with the President and Vice President absent from the Villa , there is no vacancy in the Presidency, in a situation where both the President and Vice President are out of the country, as reported in the media yesterday, it’s concerning for a country with such myriads of domestic problems.

“The President had told us he would only be gone for 14 days. The 14 days have passed now, and we are waiting to see him in the country.

“One would have expected him to return earlier than expected, considering the volume of work that needs to be done in a troubled nation like ours.

“The untold hardship that has been unleashed on our people as a result of some of his administration’s policies is unimaginable and we need his urgent attention to pilot the nation out of this present situation,” Obi submitted.

The former Anambra State Governor also argued that it makes better economic sense for Tinubu to have travelled to Sweden himself from France instead of detailing Vice President Shettima to represent him.

According to Obi, making Shettima travel all the way to Sweden does not represent the kind of fiscal responsibility and common sense expected of Nigerian leaders at a time the country is battling with lean resources.

He called on the leaders of the country to show true commitment by prioritizing the welfare and well-being of the citizens.

“Again, since the President is reportedly in Paris, France, which is just about 833 nautical miles from Stockholm, Sweden, one wonders why he did not just attend the 2-day working visit to Sweden. He could simply have done it on his way back from France with his new powerful jet, which would have taken him a little over 2 hours.

“This would have saved time and the very scarce national resources we need critically at this time. Instead, he delegated the Vice President, who needed to travel 3055 nautical miles, over nine hours, and (about 4 times the travel time from Paris) Abuja, Nigeria, to Stockholm, Sweden, to represent him at the event. It would take about 4 times the time and distance it takes to travel from Paris to Stockholm to travel from Abuja to Stockholm.

“This does not represent the kind of fiscal responsibility and common sense that is expected of leaders whose people are facing severe hunger and poverty.

“This is the time to show true and committed leadership to the people by making decisions that prioritize the well-being of the people and effective management of the nation’s scarce resources in alleviating the sufferings of the people.

“A New Nigeria is POssible. -PO” Obi said.

President Bola Ahmed Tinubu has paid tribute to the late president of Ohanaeze Ndigbo Worldwide, Chief Emmanuel Iwuanyanwu.

In a statement he personally signed on Friday, Tinubu described Iwuanyanwu as someone who had the heart of a gladiator, resolute and indomitable.

The President noted that Iwuanyanwu, the founder of Heartland Football Club, believed in Nigeria’s human and material abundance and fecundity.

According to him, the passing of Chief Iwuanyanwu on July 25, 2024, is a massive loss to the nation.

He said with his wealth, the late Ohanaeze Ndigbo president served his people and the nation, providing scholarships to indigent students, building schools and hospitals, and supporting many charitable causes.

Read President Tinubu’s tribute below:

TRIBUTE TO THE LATE CHIEF EMMANUEL IWUANYANWU BY PRESIDENT TINUBU

The late Chief Emmanuel Iwuanyanwu was a colossus of many parts. In sports, he was a pioneer; in business, he was ingenious and resourceful; in politics, he was astute; and in philanthropy, he was relentless.

The late President-General of Ohanaeze Ndigbo served the nation in many official capacities. He was the founding chairman of the Raw Materials and Research Development Council (RMRDC) and the Nigerian Investment Promotion Commission (NIPC) chairman.

He also served as chairman of the Federal Road Maintenance Agency (FERMA) board, founding chairman of the Nigerian National Lottery, and chairman of the National Orthopaedic Hospital, Igbobi.

I mourn the passing of this illustrious son of Nigeria.

Chief Iwuanyanwu was courageous, defiant of injustice, and uncompromising. He had the heart of a gladiator, resolute and indomitable.

I recall his sports exploits with the Iwuanyanwu Nationale Football Club, now Heartland F.C., which he founded in 1985. Thanks to his acclaimed facility for excellence, the club won several national and international championships. He was a significant factor in Nigeria’s sports development.

Chief Iwuanyanwu was enterprising. He believed in Nigeria’s human and material abundance and fecundity, and his investments across sectors and the nation attest to this.

The late elder statesman lived a life of service. With his wealth, he served his people and the nation, providing scholarships to indigent students, building schools and hospitals, and supporting many charitable causes.

The passing of Chief Iwuanyanwu on July 25, 2024, is a massive loss to the nation. Though he lived to the advanced age of 81, his counsel and stabilising quality will be sorely missed.

I commiserate with the Iwuanyanwu family, the government, the people of Imo State, and Ndigbo Gburugburu as the burial rites of Chief Iwuanyanwu begin in a few days.

His life and remarkable accomplishments will always be remembered, and may God Almighty grant his soul eternal rest.

Bola Ahmed Tinubu
President of the Federal Republic of Nigeria
October 18, 2024