The Deputy Registrar, Institute of Chartered Accountants of Nigeria, Mr. John Evbodaghe, and a Professor of Accounting, Obafemi Awolowo University, Taiwo Ashaolu, have urged President Muhammadu Buhari to assemble a team of economic experts to address Nigeria’s economic and fiscal challenges.
They raised the alarm that the full implementation of the 2016 budget of N6.06tn would be hampered by the falling value of naira.
They also identified the scarcity of dollar as another factor inhibiting the implementation of the budget.
They spoke on the sidelines of a high school residency/awareness programme for the north central zone by ICAN in collaboration with Landmark University in Omu-Aran, Kwara State on Friday.
The programme is an invitational programme for non-accounting undergraduates, who may desire to pursue accounting as a profession, according to ICAN’s Deputy Director, Directorate of Students Affairs, Folake Olawuyi.
Evbodaghe and Ashaolu identified Nigeria’s low production and export capacities, import dependence and the Niger Delta crisis as factors fuelling naira’s depreciation.
Evbodaghe advised that to stem the depreciation of the naira and the scarcity of forex, especially the dollar, Nigeria should increase its production and export capacities.
He said, “The fall in naira and the currency crisis is going to hamper the implementation of the 2016 budget. Already the budget was predicated on about N2trn loan, and now we are not able to meet the N4trn that we had budgeted that we are going to need from our own generation.
“I just feel that it will not be for too long. Once the Niger Delta crisis reduces, we will not spend money buying arms and ammunition to fight them and at the same time stop production.”
Ashaolu called on President Muhammadu Buhari to assemble national financial and economic management experts to assist his administration in solving the current economic challenges.