Publications

February 26, 2010

Issues In Fiscal Policy Management Under The Economic Reforms

This paper was produced as part of a larger project which was jointly financed by the UKDepartment for International Development in Nigeria (through its Policy and Knowledge facility)and the Research Committee of the World Bank.

Download Label
March 13, 2018 - 4:00 am
application/pdf
5.96 MB
v.1.7 (stable)
Read →


Author:Dr. Bright Okogu &Philip Osafo-Kwaako

Publication Date: April 2008

Document Size: 22 pages


Oil-dependent economies face two interrelated challenges in the management of oilresources: in the short run, there is the need to create a stable macroeconomic environmentby delinking oil revenue earnings from public expenditures, while in thelong run it is necessary to maintain a sustainable use of resources that ensures intergenerationalequity. In most of the past three decades, Nigerias management of oilresources was poor. The Nigerian economy has experienced significant macroeconomicvolatility, driven largely by external terms-of-trade shocks, the countrys largereliance on oil export earnings and poor policy choices in the management of oilrevenues. By some measures, Nigeria ranked among the most volatile economies inthe world for the period 19602000. Moreover, contrary to the receivedwisdom of increasing financial assets as a means of saving oil revenues, Nigeria hadaccrued significant domestic and foreign liabilities.




Related

 

Nigeria Economic Update (Issue 22)

Power sector analysis shows a decline in power generated by 15.07 percent from a peak of 3,424 mw to 2,908 mw between May 8, 2016 and May 15, 20169. The declining power supply is attributable to vandalism of pipelines and gas shortages, which has a debilitating effect on power generation. As part of the efforts by the Federal Government to improve power supply in the country, the Bank of Industry (BoI) is currently funding intervention projects to provide alternative source of energy (solar) in rural areas across the country10. Since the major problem facing power generation in the country is gas shortages, the government should make concerted efforts to combat vandalism.

Nigeria Economic Update (Issue 33)

The naira depreciated by 4.3 percent to a record low of N313/$ at the interbank market segment on July 29, 2016.Precisely, the lack of liquidity in all FX market segments continues to weaken the naira. In order to increase FOREX liquidity, moderate inflationary pressures, encourage capital inflows and support the naira, the CBN may need to increase the supply of FOREX in the interbank market while simultaneously mopping up idle funds through the sale of securities.