•Call for proactive, not reactive fiscal policy

  By Yinka Kolawole

The Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) has called for the reassessment of a market-driven foreign exchange (FX) rate in the country while opting for a harnessed fixed rate systems to maintain stability.

National President of NACCIMA, Otunba Dele Oye, stated this, yesterday, in a statement to mark the Workers’ Day celebrations, adding that the government should adopt a fiscal policy for 2024 that is proactive, not reactive.

His word: “The decision to persist with a market-determined exchange rate in the face of our economic realities is concerning. We urge a thoughtful reassessment, taking cues from nations like China, Qatar, and Saudi Arabia, which have harnessed fixed rate systems to maintain stability and boost investor confidence.

“Inflation continues to erode the purchasing power of our citizens, and the instability of customs duties further exacerbates the uncertainty that businesses face. High interest rates coupled with the dearth of accessible short-term and long-term credit facilities are impediments that need urgent attention.

“Our fiscal policy for 2024 must be proactive, not reactive. It must be a policy crafted with inclusivity, enabling the private sector to drive growth and development.”

Oye acknowledged the resilience and determination of the workforce in Nigeria in spite of all the contending challenges.

He stated: “As we reflect on the resilience and determination that characterize our nation’s workforce, let us acknowledge the challenges that cast shadows on our collective aspirations. Our workers strive tirelessly, our businesses endeavor to innovate and expand, and our government works to shape policies that should underpin economic growth and stability. Yet, the path is fraught with hurdles that we must address with courage and foresight.

“We appeal to the government to recalibrate policies that currently impede access to credit for businesses, especially the Small and Medium Enterprises (SMEs) that are the backbone of our economy. We are witnessing a public sector that inadvertently crowds out the private sector, thereby stifling the growth that we desperately need. It is time to revisit and revise these policies to unlock the full potential of our private sector”.