President Muhammadu Buhari has emphasized that his administration will consider all options to safeguard Nigerians from the economic impact of the coronavirus pandemic.
Speaking at the State House in Abuja on Tuesday March 17, during a briefing session by the Presidential Economic Advisory Council (PEAC) led by Professor Doyin Salami, the President mentioned the need to address the challenges posed by the fluctuating oil prices, which have fallen to $29-$30, contrasting with the $57 benchmark set for the 2020 Budget.
A statement released by the Presidency reads:
President Buhari expressed concern about the impact of the fallen oil prices on the economy, citing the variables that influence oil prices. He stressed the government’s commitment to protecting the people from the impact of international economic fluctuations and the fall in oil prices.
Highlighting the importance of education and healthcare, the President emphasized the role of an educated populace in resisting mismanagement by leadership or manipulation based on ethnic and religious sentiments. He also affirmed the government’s dedication to sustaining investments in agriculture, education, and healthcare to the extent possible.
Professor Salami, leading the PEAC, presented the potential scenarios of a prolonged Covid-19 pandemic on the Nigerian economy, including slower growth, global economic uncertainty, unilateral government actions, further decline in oil prices, increased lockdown measures, oil surplus, trade imbalances, reduced foreign reserves, and rising unemployment.
The PEAC stressed the need for rigorous efforts to prevent Nigeria from slipping into economic recession, proposing a revision of the 2020 Budget to prioritize healthcare, reallocate infrastructure expenditure to projects with pro-poor effects, reduce recurrent expenses, involve the private sector in enhancing healthcare infrastructure, and enhance government revenue. They cautioned that although the projections may appear grim, diligent implementation of policies and hard work could help avert the worst-case scenarios.