Building $1trn economy required careful planning, clear policy direction – CBN
Omeiza Bilal
The Central Bank of Nigeria (CBN) has said that building $1 trillion economy required careful planning, robust and clear policy direction and dutiful implementation.
Deputy Governor, Corporate Services, CBN, Ms Emem Usoro who made this statement in Abuja at a two-day seminar organised by CBN for Finance Correspondents Association of Nigeria and Business Editor said that building a one trillion-dollar economy is not an easy task.
According to her ” one trillion dollar would require careful planning, robust and clear policy direction, dutiful implementation, and averred commitment from stakeholders that would galvanise the various sectors of the economy.”
She explained that “today, our economy is valued at approximately $250 billion. As we aspire to build a one trillion-dollar economy, all hands must be on deck to push with strong ideas to sustain this vision that has very noble capabilities of making our economy develop faster and improve the quality of lives of our citizens.”
Usoro who was represented by Acting Director Corporate Communication, Mrs Sidi-Ali Hakama said “the global financial system and architecture have assumed a new dimension even before the new administration of Donald Trump in the United States of America, adding that globalisation has broken the limits of financial flows, and investors have inadvertently taken full advantage of the opportunities.
She, however, said that countries and their financial systems must be prepared and ready to utilise opportunities created by financial globalisation through appropriate policy support and actions, stressing that the financial system’s size and quality play critical roles in powering and financing an economy.
She said Literature has established that financial resources, complimented by quality human capital and technology, remain the major driving forces of industrialisation since the emergence of the 4th industrial revolution.
To play this critical role, she said the banking system must grow, expand and deepen through deliberate policy efforts. As you are aware, the Nigerian banking system has also undergone reforms, including bank recapitalisation and consolidation exercises.
Speaking further she said “the current global system has manifested even more dynamic paradigms, with intense globalisation and guided protectionism, with countries favouring trade wars and retaliations, it brings to the fore the readiness and preparedness of our dear country and banking system to build a more sophisticated, vibrant economy.”
As we work towards building a One-Trillion Dollar Economy, we must consider the recapitalisation of our banks to be able to fund, finance and power the economy and favourably compete globally with its peers in other climes.
“I think that if the current protectionist development approach by the US and other big economies continues to pervade the global system, we should particularly pay significant attention to bank recapitalisation to ensure that our banks are strong, resilient and stable enough to carry out financial intermediation, and the much-needed financing of development projects and programmes.”
Earlier in her opening remarks, Ag. Director, Corporate Communications Department, Mrs. Sidi Ali Hakama, said the seminar seeks to educate and enhance the capacity of financial reporters.
“This seminar, which is a well-thought-out initiative of the Central Bank of Nigeria, was established with a clear purpose to foster a healthy and constructive working relationship between the Bank and the media. At its core, the objective of this initiative is to educate and enhance the capacity of finance correspondents and business editors, enabling them to accurately interpret and report on contemporary financial and economic policy issues, as well as the Bank’s activities in alignment with its overarching mandate.
“Ladies and Gentlemen, as Nigeria positions itself more competitively in the global economic arena, the role of the media remains absolutely critical as conveyors of information but even more as strategic partners in national development. Your role in simplifying complex policy issues, ensuring public accountability, and building trust in financial institutions cannot be overemphasized,” she said.
