The Central Bank of Nigeria (CBN) Governor, Mr. Godwin Emefiele, is of the view that the unemployment rate in the country is scary and could lead to another economic recession. The CBN Governor noted that the failure of the economy to grow after the Nation’s general election is a huge disappointment for the business world.
Governor, Mr. Godwin Emefiele said: “There is a wide gap between the aggregate economic numbers and the living conditions of the average Nigerian family. Growth in a few sectors of the economy tends to obscure stagnation and declines in other sectors. Continuing job losses is reckoned to be a major front for spreading the multiplier effects of economic difficulties in the country. “The job creating capacity of the private sector has continued to weaken, as growth in the economy is failing to secure even existing jobs. This is an indication that regulatory interventions in the economy aren’t registering sufficient speed to trigger a job generating growth.
“The Nigerian economy needs to run on a new growth impetus in the post-election economy to recoup from considerable pre-election downturn. This hasn’t happened one year after the elections. Policies to stem the tide of unemployment are yet to be placed in the front burner and the crowding population of jobless youth continues to grow.”.
The CBN boss further noted the Nation is deficient in policies capable of stimulating growth. “This means Nigeria lacks current and future investments required to propel it to an accelerated growth path. “It is incapable of providing Nigeria with the investment impetus that will have the desired multiplier effect on output,” he said.
“The nation suffered the consequences of government’s failure to act in 2016. Greater consequences can be expected this time around, as the clock continues to thick with talks but no action, and that leaves the economy waiting on the wings of ‘wait-and see’ on which it has hung for five years. The business world is again waiting on Nigeria to rebuild confidence needed to spur the inflow of job creating investment capital,” Mr. Godwin Emefiele, added.