Speaking at the opening session of the 30th Nigerian Economic Summit (#NES30) in Abuja on Monday, Gill highlighted the importance of sustaining the reforms to pave the way for long-term economic growth.
The Vice President and Chief Economist of the World Bank, Mr Indermit Gill, has urged the President Bola Tinubu-led Nigerian government to press forward with its ongoing economic reforms, despite the significant hardships they are causing for many Nigerians.
Speaking at the opening session of the 30th Nigerian Economic Summit (#NES30) in Abuja on Monday, Gill highlighted the importance of sustaining the reforms to pave the way for long-term economic growth.
He commended the Central Bank of Nigeria (CBN) for its efforts in unifying exchange rates, a step seen as crucial for stabilizing the economy.
However, Gill acknowledged the tough conditions many Nigerians, especially the poor and vulnerable, are facing due to these changes.
He emphasised the need for the government to provide cost-effective safety nets to protect the most affected.
"The reforms are necessary to unlock the potential of Nigeria’s economy and that of Sub-Saharan Africa. Though they are painful now, they are the key to future prosperity," Gill stated.
According to Gill, "I’m not sure whether you agree with me or not, but if this is done, it will transform the economy of Sub-Saharan Africa.
"These things are incredibly challenging, but the rewards are enormous. This has been the lesson from the past 40 years, as seen in countries like Norway, Poland, and Korea.
"I might say something unpopular, but Nigeria’s reforms from 2003 to 2007 were exactly what was needed; however, they weren’t sustained. The current fiscal and monetary reforms are hurting everyone, especially ordinary Nigerians, who are facing high food and transport costs."
It said, "The government must do everything in its power to protect the most vulnerable citizens from hardships because their lives, along with the lives of 110 million children, depend on it.
"You must stay committed to these reforms because the future of Nigeria, and these 110 million children, is at stake. In the coming years, Nigeria’s policymakers have three crucial options. First, they should prioritize non-oil exports.
"Nigeria’s current exchange rate is the most effective it has been in 20 years. It’s a significant opportunity. The country must build its foreign reserves as a buffer against oil price fluctuations. I believe Governor Cardoso is already taking these steps and should be encouraged.
"Second, every vulnerable household requires government support to weather these tough times. Cost-effective safety nets should be implemented to protect the most vulnerable, funded by the savings from fuel subsidies and exchange rate adjustments.
"Nigeria has an immense need for jobs. In the next decade, over 12 million Nigerians will join the workforce. Jobs must be created, particularly by attracting investments in the non-oil sector," he added.