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The Governor, Central Bank of Nigeria (CBN), Godwin Emefiele has attributed the economic woes in the country to the 2015-2017 recession and the COVID-19 pandemic, which triggered dip in revenue and significant reduction in foreign investment portfolio.
Emefiele added that apart from its impact on the crude oil prices, the containment measures adopted to control the spread of the virus significantly affected growth in other critical sectors.
He spoke at the Ekiti State University, Ado Ekiti, yesterday, while presenting a convocation lecture entitled: ‘The role of Central Bank in managing economic downturns’, to mark the 40th anniversary of the university.
Emefiele, represented by the Deputy Governor, Corporate Affairs, Edward Adamu, said the apex bank has so far disbursed over N3 trillion to households, Small and Medium Scales Enterprise (SMEs) and small holders farmers to aid economic recovery.
Giving the breakdown of the intervention funds, the CBN governor said the Federal Government has disbursed N948 billion to 4,478,381 smallholder farmers to boost food production.
The CBN governor added that under the credit facility to help households and businesses that suffered significant losses during the pandemic, that the bank had disbursed N368.79 billion to 778,000 beneficiaries.
Emefiele noted that 648,052 households and owners of SMEs benefited from the Federal Government-driven policy.
The CBN boss said: “As you all know, one of the major challenges facing the economy is over reliance on revenue and foreign exchange earnings from the sale of crude oil, even though the petrol represents just 10 per cent of our GDP.
“Moreso, the non oil sector , particularly agricultural and manufacturing sectors, which contributes about 30 and 13 per cent to our GDP have been confronted with low investments, inadequate credit to real sector and weak infrastructure.’’
“Furthermore, with an annual population growth rate of 2.8 per cent ,it was important that all efforts were made available for Nigerians, particularly in sectors that had the potentials to absorb youth. We were aware that if necessary support was given to households and business, productivity will rise and and investment will flow into our economy.”.
The Vice Chancellor of EKSU, Prof Edward Olanipekun, described the 40 years of the establishment of the university as impactful in the life of the state, saying it has been a reliable training ground for the future leaders.
Olanipekun said though the institution is experiencing some challenges, assuring that no effort will be spared to keep the flag flying in its resolve to be a good citadel of learning for Nigerians.
The Chairman of the occasion and Catholic Bishop of Ekiti Diocese, Most Revd Felix Ajakaye, urged the governments to be more pragmatic in the implementation of some of their policies for them to be impactful on the citizens.
“Our thought and actions must be practical-oriented. We have to go beyond lectures by being practical in dealing with policies that can benefit poor Nigerians”, the Bishop advised.
