The International Monetary Fund (IMF) has advised Nigeria to urgently fix its struggling economy by keeping inflation in check and using public funds more wisely, especially to support poor Nigerians and improve infrastructure.
In a recent publication, the IMF said that although the Nigerian government has taken some bold steps, like removing fuel subsidies, inflation is still dangerously high and millions of people are being pushed deeper into poverty.
The Fund pointed out that poor electricity, bad roads, and a weak social welfare system are making life harder for everyday Nigerians and limiting opportunities for businesses to grow.
It urged the government to be more realistic with its budgets and ensure that public spending is transparent and focused on what matters most, food, jobs, education, healthcare, and access to electricity.
The IMF also wants Nigeria to ensure that money saved from removing petrol subsidies is not wasted, but instead used to build roads, schools, hospitals, and other projects that benefit ordinary citizens.
It suggested that once the pressure on the cost of living reduces, the government could consider adjusting taxes in line with what’s common in the region, but only after setting up a fair system that doesn’t punish the poor.
On inflation, the IMF encouraged the Central Bank to stay tough and consistent in controlling prices, to help rebuild trust in the economy and reduce uncertainty for businesses and families.
The IMF believes Nigeria has great potential, but only if leaders focus on smart planning, proper investment in people and infrastructure, and protect the vulnerable from further economic shocks.
