President Muhammadu Buhari will formally launch his administration’s economic recovery and growth plan, ERGP, on Wednesday in Abuja.
Presidential spokesperson, Femi Adesina, said the plan is part of efforts by the government to sustain and build on the successes so far recorded in tackling corruption, improving security and revamping the economy.
The medium-term ERGP, which had earlier been approved by the Executive Council of the Federation, FEC, has amongst its broad strategic objectives, restoring sustainable, accelerated inclusive growth and development; investing in the people; and building a globally competitive economy.
Following the Strategic Implementation Plan, SIP, formulated for the short-term objective of executing the 2016 ‘Budget of Change’, the government recently unveiled the comprehensive ERGP to pursue the medium to long-term objectives of realising certain national targets in the economy between 2017 and 2020.
Below are 21 things Nigerians should know about the plan.
- The ERGP has three broad strategic objectives: restoring growth of the economy, investing in the Nigerian people, and building a globally competitive economy;
- It targets the growth of Nigeria’s gross domestic product, GDP, by 2.19 percent in 2017 and 7.0 percent by the end 2020;
- It envisages reducing inflation to single digit by 2020 and increasing federal government’s revenues from N2.7 trillion in 2016 to N4.7 trillion in 2020;
- It prioritizes key turnaround interventions and enablers to generate concrete, visible impact by 2017 and articulates medium term economic policies for implementation between 2017 and 2020;
- It focuses on achieving macroeconomic stability; economic growth and diversification; competitiveness and business environment; and governance and security;
- It builds on the short-term Strategic Implementation Plan, SIP, for the 2016 ‘Budget of Change’ towards sustainable accelerated development for 2017-2020;
- It is a multi-pronged agenda to tackle corruption, improve security and re-build the economy;
- It is consistent with the Sustainable Development Goals, SDGs, as it addresses economic, social and environmental sustainability issues;
- It is different from previous plans, as there appears to be a strong political determination, commitment and will at the highest level to realize the objectives;
- It has a delivery unit in the presidency to drive implementation of economic priorities;
- It outlines initiatives to boost oil production to 2.5 million barrels by 2020, privatise selected public enterprises/asset, and revamp local refineries to reduce petroleum product imports by 60 per cent by 2018;
- It builds on the National Industrial Revolution Plan and the Nigeria Integrated Infrastructure Master Plan;
- It seeks to promote effective collaboration and coordination between the federal and state governments’ work towards achieving national objectives;
- It emphasises improvement on public and private sector efficiency towards increased national productivity, sustainable diversification of production, food and energy security.
- It focuses on tackling constraints to national economic growth, by leveraging the power of the private sector towards economic recovery and transformation;
- It has five execution priorities to kick-start economic recovery: stabilization of the macroeconomic environment, achieving agriculture and food security, ensuring energy sufficiency in power and petroleum products, improving transport infrastructure, and driving industrialization through local and small business enterprise;
- It is a blueprint for recovery in the short term and a strategy for sustained growth and development in the long term.
- It merges the budget and planning functions into one ministry to create a better and stronger link between annual budgets and the national economic plan;
- It seeks to help improve oil revenues earnings from N700 billion in 2016 to N1.3 trillion per year in 2017 and N1.45 trillion per year by 2020;
- It aims to boost oil production from 1.4 million barrels per day in 2016 to 2.2 million barrels per day in 2017 and 2.5 million barrels per day by 2020.
- It aims to boost efficiency in savings of N50 billion per year and reducing government overhead expenditures by 25 per cent.