Wale Edun: Tinubu understands concerns of Nigerians over high cost of living

Wale Edun, minister of finance, says President Bola Tinubu understands the concerns of Nigerians over the high cost of living.

Speaking on July 31 during the world press conference on the state of the nation, Edun said the high cost of living is not peculiar to Nigeria.

He attributed the rise in global inflation to the wars between Russia and Ukraine and other conflicts around the world, adding that Nigeria is experiencing inflation because of its reliance on imported raw materials.

“The President truly understands the concerns that are being expressed, particularly the high and elevated cost of living which is not peculiar to Nigeria at this stage with wars in Ukraine, Gaza and Sudan,” Edun said.

“There is disruption around the world and there has not even been a full recovery from Covid. So inflation is high around the world, and costs are high around the world.

“With our import dependency for raw materials, we too are feeling the effect. However, inflation is falling around the world and in Nigeria.”

The minister said Tinubu’s concern is for the protest to remain peaceful and orderly so that the progress made over the past 12 to 15 months is not lost.

A nationwide protest began on August 1 over Nigeria’s soaring cost of living and economic hardship.

Providing an update on the country’s economic situation, the minister said Nigeria’s economy has been turned around and saved from the precipice over the past 15 months.

‘NIGERIA’S REVENUE HAS DOUBLED DUE TO REFORMS’

Edun said Nigeria has come from a situation where the nation was living in debt to a growing economy due to the reforms implemented by Tinubu’s administration.

“Every time there was a bill to be paid, it was not paid from revenue. It was not paid from investment funding but it had to be paid from debt, particularly from the central bank and of course, that was not sustainable,” the minister said.

“That is no longer the case. The revenue of Nigeria, as a result of diligent application of technology and new processes to federal government expenditure and revenue, including that of the revenue-earning ministries, departments, and agencies, as well as federal government-owned enterprises, has doubled.

“Compared to the first half of 2023, the 2024 revenue of the federal government has doubled and is expected to maintain that trajectory and on the cost side, there has been rejigging.

“There has been reconfiguration of the procedures and the processes such that costs are now under control, spending more visible and accountable, and the money of Nigerians is being well spent.

“So, that was the basis on which, as a result of implementing measures that were necessary, reform measures that were needed to save the economy. Yes, they had led initially to a spike in costs, however, already we are seeing that the benefits are coming.”

‘NIGERIA’S ECONOMY GREW IN FIRST HALF OF 2024’ 

Edun said the economy experienced growth in the first half (H1) of 2024, adding that agriculture, which had been in a negative trend, started to recover in the first quarter (Q1) of the year.

The minister said the industrial sector is also expanding and generating employment opportunities, while the services sector is showing signs of growth.

He also referenced President Bola Tinubu’s campaign promise to ensure that the cost of economic reforms does not affect the poorest and most vulnerable citizens.

Edun said the president had committed to distribute the burden of reform more equitably, with wealthier individuals bearing a larger share.