Nigeria's Central Bank governor, Mr. Godwin Emefiele has said that the apex financial institution will continue to use unconventional monetary policy tools to address the nation's economic challenges, create employment and enhance real growth.
The Central Bank honcho stated this in his lecture titled: "The Role of Monetary Policy: Towards Economic Growth in Nigeria." at the first Convocation lecture of the Edo University, Iyamho, Edo State.
He explained that the introduction of unconventional monetary policy to tackle economic challenges has yielded positive result as the nation's Gross Domestic Product (GDP) has improved significantly after five consecutive quarters of negative growth beginning in the first quarter of 2016.
He said conventional tools were unable to address constraints to economic growth and that the policy requires encouraging local production by imposing high tarrif and levies on imported goods so that local production, especially farming can grow.
"That is why we closed our borders so that goods can not be smuggled into the country to grow our industry and farmers can continue to produce. People criticise us for closing the borders but that is what we need to do to grow and diversify the economy from oil and encourage agriculture"
According to him a coordinated approach by the fiscal and monetary authorities supported a rebound in the nation's economy during the second quarter of 2017. The recovery, he said, is driven largely by non-oil activities especially the agricultural sector which was reinforced by the pickup in the oil sector as oil prices rallied in 2017. This has been sustained for nine consecutive quarters.
As a result of the new monetary policy strategy introduced and intervention programmesin the agricultural and industrial sectors, as well as improved foreign exchange inflows, inflation began to decline, from its peak of 18.7 percent in January 2017 to 11.24 percent in September, 2019.
The Central Bank of Nigeria also introduced Import and Export (I&E) window along with improvement in domestic production of goods which has helped shore up the nation's external reserves.
Mr. Emefiele said: "Transaction have reached over $55billion since the inception of the window and our foreign exchange reserves has risen to US $42bn in September, 2019 from US $Webb in October, 2016.
"Nigeria's current stock of external reserves is now able to finance over 9 months of current import commitment. With improved availability of foreign exchange, the exchange rate at the I&E FX Window has remained stable over the past 24 month at an average of #360/US dollars and the parrallel market exchange rate has appreciated from #525/US $ in February 2017 to #360/US# today."
He, however, acknowledged that there are still unresolved economic challenges occasioned by population explosion. According to him, the pace of population growth at about 2.6 percent still outstrip real growth rate and incidence of poverty remain at unacceptable levels.
Mr. Emefeile recommended that strengthening efforts at enhancing growth in production sectors of the economy will help insulate it from external shock.
While thanking the Central Bank honcho, Mr. Godwin Emefiele for his scholarly presentation, the Vice Chancellor of the Edo University, Engr. Prof. Aluyor Emmanuel said that the university graduates and awards degrees to a total of 50 students found worthy in character and learning in their various discipline.
He added that five students graduate with First Class Honours, 26 with second Class (Upper Division) and 16 students for second Class Honours (Lower Division) while three students earn third Class Honours.
According to him the university also awards a prize of #5 Million to the graduating students who had the best entrepreneurial business ideas.
He said that the goal set for the univeesity is that any graduating students with entrepreneurial skills that will make them not only job ready but will also empower them to be employers of labour.
"The output from the university will contribute significantly through the knowledge and skills acquired to the development of Edo state in particular and Nigeria in general." He furthered.
The Edo State governor Godwin Obaseki, said the State has benefited immensely from the CBN monetary programme, particularly the one related to the bank's agricultural programme.
"Edo state has so far enjoyed N5 billion in terms of Commercial Agric Projects, and today we have over 5,000 hectares of cultivated farm land in Sube, Warake and Agenegbode, ilushi among others areas".
He dislosed that the CBN has been instrumental to the economic growth being recorded in the state, especially in the areas of agriculture and industrialisation.
The governor said a $20 million deal has been struck with a reputable, world renowned textile company to establish a cotton-weaving and spinning industry at the Benin Enterprise and Industrial Park, next year.
The Central Bank honcho stated this in his lecture titled: "The Role of Monetary Policy: Towards Economic Growth in Nigeria." at the first Convocation lecture of the Edo University, Iyamho, Edo State.
He explained that the introduction of unconventional monetary policy to tackle economic challenges has yielded positive result as the nation's Gross Domestic Product (GDP) has improved significantly after five consecutive quarters of negative growth beginning in the first quarter of 2016.
He said conventional tools were unable to address constraints to economic growth and that the policy requires encouraging local production by imposing high tarrif and levies on imported goods so that local production, especially farming can grow.
"That is why we closed our borders so that goods can not be smuggled into the country to grow our industry and farmers can continue to produce. People criticise us for closing the borders but that is what we need to do to grow and diversify the economy from oil and encourage agriculture"
According to him a coordinated approach by the fiscal and monetary authorities supported a rebound in the nation's economy during the second quarter of 2017. The recovery, he said, is driven largely by non-oil activities especially the agricultural sector which was reinforced by the pickup in the oil sector as oil prices rallied in 2017. This has been sustained for nine consecutive quarters.
As a result of the new monetary policy strategy introduced and intervention programmesin the agricultural and industrial sectors, as well as improved foreign exchange inflows, inflation began to decline, from its peak of 18.7 percent in January 2017 to 11.24 percent in September, 2019.
The Central Bank of Nigeria also introduced Import and Export (I&E) window along with improvement in domestic production of goods which has helped shore up the nation's external reserves.
Mr. Emefiele said: "Transaction have reached over $55billion since the inception of the window and our foreign exchange reserves has risen to US $42bn in September, 2019 from US $Webb in October, 2016.
"Nigeria's current stock of external reserves is now able to finance over 9 months of current import commitment. With improved availability of foreign exchange, the exchange rate at the I&E FX Window has remained stable over the past 24 month at an average of #360/US dollars and the parrallel market exchange rate has appreciated from #525/US $ in February 2017 to #360/US# today."
He, however, acknowledged that there are still unresolved economic challenges occasioned by population explosion. According to him, the pace of population growth at about 2.6 percent still outstrip real growth rate and incidence of poverty remain at unacceptable levels.
Mr. Emefeile recommended that strengthening efforts at enhancing growth in production sectors of the economy will help insulate it from external shock.
While thanking the Central Bank honcho, Mr. Godwin Emefiele for his scholarly presentation, the Vice Chancellor of the Edo University, Engr. Prof. Aluyor Emmanuel said that the university graduates and awards degrees to a total of 50 students found worthy in character and learning in their various discipline.
He added that five students graduate with First Class Honours, 26 with second Class (Upper Division) and 16 students for second Class Honours (Lower Division) while three students earn third Class Honours.
According to him the university also awards a prize of #5 Million to the graduating students who had the best entrepreneurial business ideas.
He said that the goal set for the univeesity is that any graduating students with entrepreneurial skills that will make them not only job ready but will also empower them to be employers of labour.
"The output from the university will contribute significantly through the knowledge and skills acquired to the development of Edo state in particular and Nigeria in general." He furthered.
The Edo State governor Godwin Obaseki, said the State has benefited immensely from the CBN monetary programme, particularly the one related to the bank's agricultural programme.
"Edo state has so far enjoyed N5 billion in terms of Commercial Agric Projects, and today we have over 5,000 hectares of cultivated farm land in Sube, Warake and Agenegbode, ilushi among others areas".
He dislosed that the CBN has been instrumental to the economic growth being recorded in the state, especially in the areas of agriculture and industrialisation.
The governor said a $20 million deal has been struck with a reputable, world renowned textile company to establish a cotton-weaving and spinning industry at the Benin Enterprise and Industrial Park, next year.
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