FG will boost efforts to solve Hyperinflation in Nigeria – Wale Edun

Minister of Finance, Wale Edun has said the Federal Government will boost efforts to tackle the problem of hyperinflation in the economy.

Speaking during a 2-Day retreat held by the Presidential Committee on Fiscal Policy and Tax Reforms in Abuja, Edun was optimistic about the future as President Bola Tinubu’s ‘Renewed Hope’ agenda takes effect.

Edun acknowledged that the removal of the petrol subsidy had caused an economic slowdown.

He however assured Nigerians that interventions were already in place to cushion the effect and address the mismanagement of funds used as subsidies. He said:

“It is the wish of Mr. President to create jobs, reduce poverty, control micro and macroeconomic policies to create a stable environment to attract investors, stabilise the exchange rate and drive the economy to reduce poverty to the lowest level.”

“The era of the nation’s gross domestic product (GDP) per capita falling by 30 percent over the past 10 years will be a thing of the past with Tinubu’s Renewed Hope Agenda.”

Taiwo Oyedele, Chairman of Presidential Committee on Fiscal Policy and Tax Reforms, outlined the panel’s terms of reference, which include fiscal governance, revenue administration, and tax policy review.

According to Oyedele, the deliverables from the committee include optimum taxes, harmonised revenue collection functions, a revised national tax policy, national fiscal framework.

He also said preparation of bills for a constitutional amendment, revenue optimisation, production of a model template for sub-nationals and establishment of the national tax amnesty scheme, were also to be looked into.

Rising Inflation

Nigeria’s inflation surged to 24.08% in the month of July 2023, a 129 basis-point increase compared to 22.79% recorded in the previous month.

This represents the sixth consecutive increase in the headline index this year.

The significant jump is following the complete removal of petrol subsidies and the unification/devaluation of the official exchange rate.