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By Ifeoma Nwajei
Nigeria has achieved a major fiscal breakthrough, with its first-quarter revenue for 2024 swelling to N9.1 trillion, more than double the earnings recorded in the same period of the previous year.
This was disclosed by Mr. Wale Edun, Minister of Finance and Coordinating Minister of the Economy, during the 17th Annual Banking and Finance Conference, hosted by the Chartered Institute of Bankers of Nigeria (CIBN) in Abuja. Represented by Dr. Armstrong Takang, Managing Director of the Ministry of Finance, Incorporated, Edun revealed that the government had achieved this remarkable feat without resorting to tax increases.
Edun attributed the revenue surge to the government’s enhanced collection strategies, coupled with the adoption of advanced technologies that have streamlined the process. He emphasized that this upward trajectory not only strengthens Nigeria’s financial standing but also creates room for critical investments in infrastructure and social programmes.
“This progress enables us to channel resources into impactful projects that will improve the livelihoods of Nigerians and stimulate economic growth,” Edun remarked.
Despite the success, Edun acknowledged that food inflation remains a critical concern. He assured the audience that measures are already being implemented to address this, with initiatives designed to bolster food supply and bring relief to Nigerians struggling with rising prices.
In his submission, the Central Bank of Nigeria (CBN) Governor, Dr. Olayemi Cardoso, amplified his optimism for Nigeria’s economic future, projecting that actionable outcomes from the conference could accelerate the nation’s journey to a $1 trillion economy.
Represented by Dr. Blaise Ijabor, Director of CBN’s Risk Management Department, Cardoso emphasized the pivotal role of the banking sector in driving this growth. He called on financial institutions to innovate and contribute actively to the country’s development goals, particularly in areas that promote inclusive growth.
Meanwhile, Mr. Bello Hassan, Managing Director of the Nigeria Deposit Insurance Corporation (NDIC), expressed confidence in the banking sector’s resilience. He reiterated the NDIC’s commitment to safeguarding public trust, assuring that the corporation remains dedicated to protecting depositors and maintaining stability within the financial system. Hassan commended the CIBN for providing a platform that fosters collaboration and thought leadership within the banking industry.
In a tearse keynote address, Tony Elumelu, Chairman of the United Bank for Africa (UBA) Group, highlighted the urgency of addressing Nigeria’s food security crisis. Speaking on the theme, “Accelerated Economic Growth and Development: The State of Play and the Way Forward,” Elumelu identified insecurity, limited access to electricity, and insufficient support for youth entrepreneurship as major barriers to Nigeria’s development.
He drew a connection between food insecurity and the broader security challenges facing the country, stressing that resolving these issues is key to unlocking Nigeria’s full economic potential.
Elumelu also commended past and present leadership at the Central Bank of Nigeria for the reforms that have bolstered the banking sector. These efforts, he noted, have laid a solid foundation for future growth, enabling financial institutions to better serve the needs of Nigeria’s population.
In his welcome address, CIBN President, Prof. Pius Olanrewaju, highlighted the impressive growth in net credit from the banking sector to the private sector, which stood at N74.9 trillion by July 2024, up from N46.3 trillion a year earlier.
The increase, Olanrewaju stated, accentuates the vital role that banks play in driving Nigeria’s economic growth by providing the necessary capital for private sector expansion.
