The Nigerian economy has been in a state of turmoil for the past 18 months, experiencing volatility akin to a nation at war, according to Professor Adeola Adenikinju, the National President of the Nigerian Economic Society (NES). He attributes this economic downturn to the government’s tendency to prioritize advice from foreign and international bodies over the expertise of Nigerian economists. Adenikinju lamented the disconnect between the government and the wealth of economic talent within the country, emphasizing that greater collaboration with local experts could have mitigated the severity of the economic challenges. He highlighted the NES as a body comprising trained economists, researchers, and academics dedicated to addressing Nigeria’s economic woes, yet their counsel remains largely unheeded by policymakers.
Adenikinju’s critique centers on the government’s preference for external advice, often from international organizations, while neglecting the in-depth knowledge and understanding possessed by Nigerian economists. He argued that Nigerian experts, with their intimate knowledge of the local economic landscape, are better equipped to offer solutions tailored to the country’s unique circumstances. He pointed to the abundance of esteemed economists within the country, whose research and expertise often surpass that of foreign advisors. The NES president believes a collaborative approach, involving regular consultations between the government and Nigerian economists, is crucial to crafting effective economic policies and reforms.
The Nigerian economy has been battered by a series of shocks in recent months, including a dramatic devaluation of the naira, soaring inflation rates, and a sharp increase in fuel prices. Adenikinju likened the impact of these economic upheavals to that of a nation at war, stressing the immense burden placed on ordinary citizens. The exchange rate plummeted from around N500 to N2000, while inflation surged from 17% to 34%, all within a span of just seven months. The price of Premium Motor Spirit (PMS), a crucial commodity, also skyrocketed, further exacerbating the economic hardship. These combined shocks have created an environment of uncertainty and hardship for Nigerians, raising concerns about the long-term implications for economic stability.
While acknowledging that President Bola Tinubu’s reform agenda may be well-intentioned, Adenikinju criticized the implementation process, particularly the lack of consultation with economic experts. He emphasized the importance of policy sequencing, suggesting a more phased approach to reforms, allowing citizens time to adjust and minimizing the impact on vulnerable populations. Adenikinju also advocated for compensatory mechanisms to cushion the blow of economic shocks and ensure that the burden of reforms is not disproportionately borne by the most vulnerable members of society. He argues that a more thoughtful and strategic approach to reform implementation, incorporating expert advice, would have mitigated the harsh consequences experienced by ordinary Nigerians.
The inauguration of the Ogun State Chapter of the NES marks a significant step towards strengthening the organization’s presence and influence at the state level. Adenikinju expressed hope that the new chapter would serve as a hub for economists, policymakers, and stakeholders to collaborate on solutions for economic development, both within the state and nationally. The chapter’s formation also reflects the NES’s commitment to fostering dialogue and promoting economic knowledge across Nigeria. He charged the new executive with the responsibility of analyzing the specific economic challenges facing Ogun State and developing solutions tailored to its unique context.
Professor Comfort Amire, the newly appointed chairman of the Ogun State chapter, echoed Adenikinju’s sentiments, emphasizing the chapter’s dedication to advancing economic discourse, driving evidence-based decision-making, and supporting sustainable development. She highlighted the importance of collaboration between economists, policymakers, students, and practitioners in addressing critical economic issues. Professor Olusola Kehinde, the Vice-Chancellor of the Federal University of Agriculture, Abeokuta, where the inauguration took place, urged the NES to play a crucial role in educating the public about the current economic realities and the rationale behind government reforms, fostering understanding and support for policies aimed at long-term economic stability and growth.
