Amidst Inflation, W’Bank Again Urges Nigeria to Adopt Single FX Rate, Stop Import Restrictions
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As inflation rose to 24.13 per cent as at November this year when compared to the figure of 17.21 per cent recorded in November 2021 according to the National Bureau of Statistics (NBS) , the World Bank has again urged Nigeria to adopt single foreign exchange rate and end import restrictions.
In a report titled “Nigeria’s Choice”, the apex bank said for the country to return to its ‘rising growth star’ status recorded between 2001 and 2010, Nigeria must introduce reforms it classified as ‘sprint, medium distance runs and marathon’.
In the report known as Nigeria Development Update (NDU), the bank said to reduce “vulnerability to crisis and rise to its potential, in the short term, Nigeria must adopt single market-reflective exchange rate, increase non-oil revenues by raising Value Added Tax (VAT) and excise rates and strengthen its tax administration efforts”.
The bank, according to THISDAY Newspaper report called on Nigeria to facilitate trade and boost domestic value addition by removing import and foreign exchange restrictions.
The bank also said what Nigeria could do in the medium term was to eliminate petrol subsidy by establishing a ‘compact’ which also protects the poor and vulnerable as well as contain inflation by reducing the government’s recourse to the Central Bank of Nigeria (CBN) financing.
Still in the medium term, the World Bank advised that Nigeria should increase access to finance by strengthening institutional infrastructure for financial intermediation.
In a report titled “Nigeria’s Choice”, the apex bank said for the country to return to its ‘rising growth star’ status recorded between 2001 and 2010, Nigeria must introduce reforms it classified as ‘sprint, medium distance runs and marathon’.
In the report known as Nigeria Development Update (NDU), the bank said to reduce “vulnerability to crisis and rise to its potential, in the short term, Nigeria must adopt single market-reflective exchange rate, increase non-oil revenues by raising Value Added Tax (VAT) and excise rates and strengthen its tax administration efforts”.
The bank, according to THISDAY Newspaper report called on Nigeria to facilitate trade and boost domestic value addition by removing import and foreign exchange restrictions.
The bank also said what Nigeria could do in the medium term was to eliminate petrol subsidy by establishing a ‘compact’ which also protects the poor and vulnerable as well as contain inflation by reducing the government’s recourse to the Central Bank of Nigeria (CBN) financing.
Still in the medium term, the World Bank advised that Nigeria should increase access to finance by strengthening institutional infrastructure for financial intermediation.
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