- Governor Obaseki criticizes recent CBN policies, citing raised interest rates as hindrance to small business growth and economic expansion
- He advocates for policies promoting local production to reduce import dependency and stresses the importance of job creation for youths
Governor of Edo State, Mr. Godwin Obaseki, has criticized the recent policies introduced by the Central Bank of Nigeria (CBN), stating they are not conducive to supporting the country’s economic growth.
Addressing an event organized by the Edo Zone of Bankers’ Committee in Benin City, Governor Obaseki expressed concern that the raised interest rates would impede small business owners’ access to loans, hindering the expansion of their businesses and consequently stunting the country’s growth.
He emphasized the need for Nigeria to create an enabling environment for local production of goods and services, reducing reliance on imported goods rather than solely worrying about interest rates.
“The policies recently rolled out by the central bank will unfortunately not facilitate the growth of our economy. The current high interest rates will further limit small businesses’ access to credit, hindering their growth. Instead, we need policies encouraging production and reducing our dependence on imports,” Governor Obaseki remarked.
Highlighting the importance of job creation for Nigerian youths, Governor Obaseki stressed the necessity of focusing on fiscal policies to stimulate economic growth rather than solely relying on monetary policies.
“While I understand the challenges the monetary authorities face, we cannot solely focus on exchange rates. Tightening liquidity and increasing cash reserves may worsen our economic situation. We must prioritize job creation and domestic production to address our economic challenges,” he added.