Economy: There’s Light At End Of The Tunnel, Tinubu Tells Nigerians

As the nation struggles to get past its second year of a cost-of-living crisis, President Bola Tinubu said on Friday. “There is a light at the end of the tunnel.”

After Tinubu, who was elected in 2023, liberalized the exchange rate for the naira currency and removed a costly fuel subsidy, the nation has experienced soaring inflation.

Although the government and other international organizations have stated that the reforms are urgent, ordinary Nigerians are experiencing the worst economic crisis in a generation.

When signing the 55.99 trillion-naira ($37-billion) budget, Tinubu said, “The past year tested our resolve, but we achieved what many deemed impossible.

The Nigerian economy increased by 3.8% in the fourth quarter of 2024, the fastest pace in three years, according to GDP figures released this week.

According to Tinubu, the growth, as well as the reforms that were implemented, such as the increase in government revenues to 21.6 trillion naira in 2024, are all indicators of how effective the changes were.

He claimed that the take-off was “very cloudy and uncertain” following the initial turbulence. The tunnel has a light at the end of it, according to the statement today.

Some analysts expressed cautious optimism this week as Tinubu approaches the halfway point of his first term in office, citing price stability.

In December, Tinubu stated that the government’s priorities for 2025 would be restoring macroeconomic stability and enhanced security, which were initially proposed at 47.90 trillion naira.

 Tinubu Signs the Budget for 2025 Bill into Law.

For 15 years, the country’s central and northern regions have experienced a jihadist insurgency. Gunmen who have connections to the Islamic State West Africa Province (ISWAP) and Boko Haram have also gained ground.

The government envisions a better-performing economy in 2025, with domestic refineries producing more oil and a bumper harvest that could lower reliance on imported food.

Nigeria’s inflation rate was revised recently, lowering official year-over-year inflation from December’s 34.80 percent to 24.48 percent.

However, many people still experience the squeeze, particularly in Lagos, the economic capital.

In some areas of the megacity, renters and real estate brokers have experienced rent spikes of between 100 and 200 percent.

Even those who saw smaller increases were still anticipating increases of 30%, which is a significant sum because many people’s salaries have not kept up with inflation.

Source: Channels TV