The Independent Media and Policy Initiative (IMPI) says President Bola Tinubu’s policies will have a positive impact on the Nigerian economy in spite the short-term pains.
Mr Niyi Akinsiju, Chairman, IMPI, made the assertion in a statement in Abuja on Wednesday.
He compared the Tinubu administration’s policy thrust to that of some former Western leaders, which was initially vilified but later hailed as successful.
He added that the IMPI policy think tank came to that conclusion after analysing the President’s nationwide broadcast in the aftermath of the Aug. 1 to Aug. 10 protest.
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“To illustrate this, we recall the vicious attack on the economic policies adopted and implemented by the administration of President Ronald Reagan in the United States of America between 1981 and 1989”.
He said that Reagan’s policies were described by opposition figures as “voodoo” economic policies.
He stated that the Reagan years were described afterwards as years of prosperity, with interest rates, the inflation rate, and unemployment falling faster than they did immediately before or after his presidency.
While dissecting Tinubu’s speech, the policy group outlined the pragmatic thinking behind many of the initiatives of his administration.
According to him, based on their findings, they established the relatively cheap cost of CNG compared to Premium Motor Spirit, otherwise known as petrol.
“Our independent investigation shows that 50 litres of PMS are equal to 30 kilogrammes of CNG.
“Whereas the average fuel economy for PMS is 10 to 15 km per litre for a typical passenger vehicle, the average fuel economy for CNG is 20 to 25 km per kilogramme.
“This, if mathematically captured, will be as follows: 50 litres of PMS at N650 per litre is N32,500, while 30 kg of CNG at N250 will amount to N7,500, with a difference of N25,000.
“This, to our mind, is pragmatic thinking”.
He said that the policy noted with interest the bouquet of ongoing implementation of programmes as highlighted by the President in his speech.
These, according to him, include the Consumer Credit Corporation, which has moved from the drawing board to disbursing credits to eligible beneficiaries for the first time in the history of this country.
“In tandem with this is the Nigeria Education Loan Fund (NELFUND), or the student loans scheme, another revolutionary initiative to support education.”
He said that based on IMPI findings, more than N2.5bn had been disbursed as loans to qualified beneficiaries out of the N150bn establishment fund in the first three weeks of the commencement of operations.
“Tinubu also revealed the Federal Government’s activation of the technology and innovation industry with $620 million under the Investment in Digital and Creative Enterprises (iDICE) programme”.
He said that the programme, whose objectives include empowering young people, would create millions of IT and technical jobs and produce millions of technical talents.
This, according to him, confirms the forward-looking capacity of the President, who determines that the national developmental trajectory will be pivoted on technology and innovation.
He said: “IMPI also acknowledged Tinubu’s assertion that his policies have paved the way for an increase in the nation’s earnings without a need to raise taxes or pile up more debts”.
He said that the president’s revelation of the reduction of revenue used in servicing national debt from 97 per cent to 68 per cent over a 13-month period is heartwarming.
He added that it was also suggestive of an economy that was distancing itself from the profligacy hallmarked by the fuel subsidy regime and multiple foreign exchange windows.
