Obaseki decries persistent inflation, dollarization of Nigeria’s economy

_*…urges urgent economic policy review, others*_

The Edo State Governor, Mr. Godwin Obaseki, has decried the surge in inflation and the dollarization of the nation’s economy.

Obaseki spoke while delivering his keynote address at the Delta State Executive Retreat 2023 with the theme, “Delivering the M.O.R.E Agenda for advancing Delta: Strategy and Enablers,” held in Asaba, Delta State.

According to Obaseki, “Everything we do today is based on the dollar exchange rate, and it’s like most of our existence depends on what we import. Imagine a Country of 200 million people that has to depend on an external economy.

“We spend about $40 billion a year in this country and you would expect that it should be enough for any country to develop but no, today, we earn less but our demand for foreign exchange is more.

“We spend about $2 billion paying school fees abroad, $3 million for healthcare treatment abroad, about $500 million buying milk and milk products, and about $10 billion importing food. We no longer earn dollars as we used to but the dollars keep going up. We will deal with inflation for a long time.”

The governor who noted the need for deliberate steps to change the narrative, said, “Four years ago, it was a different world, a different country, and a different Delta State but things are different today regarding how we handle our development because COVID-19 has changed our thinking. Nobody envisaged that there would be a pandemic that will put the world on a standstill. So, it’s not advisable to continue to adopt the same method.

“The implication is that leaders across the world pumped money into the economy to keep the economy moving and this led to global inflation which we never had in many decades and centuries.

“States, and local governments all go and collect salaries and spend more than they earn from oil. They just collect money from Abuja to just share and no country develops like that.

“The Federal Government has the responsibility of monitoring and fiscal policy. They can go the extra mile of printing money and spending what is not there. The Federal Government over the decade has perfected that and it got to a crisis point in the last administration in Nigeria.

“The nation has to deal with unprecedented levels of inflation. Inflation in Nigeria has gone up to almost 30 percent today. Who can borrow money and pay interest of 30 percent? It's not possible. If you are not giving me 30 percent of my money, I am actually losing money. Can an economy operate like this at 30 percent? Who can borrow at 30 percent to do business and make a profit? It's not possible.

“By the time a State borrows at 30 percent, will it be able to pay back? It will spend most of its resources paying debt. What is frightening and worrisome is that we depend so much on dollars for our existence. The exchange rate is all we focus on. In Nigeria, we focus on the exchange rate instead of worrying about the interest rate because everything we do today is centered on the dollars.”

In his address, the governor of Delta State, Sheriff Oborevwori thanked Governor Godwin Obaseki for the insight, noting, “We are proud to have you in our midst as we consider it very important for you to participate and share your experience of over seven years as governor of Edo State.”

*PHOTO CAPTION*

L-R: Secretary to the Delta State Government, Dr. Kingsley Emu; MD/CEO, Sewa Resource Enterprise, Mrs. Angela Jide-Jones; Delta State Governor, Sheriff Oborevwori; his Ed0 State counterpart, Mr. Governor Obaseki, and Delta State Deputy Governor, Monday Onyeme, at the Delta State Executive Retreat 2023, held in Asaba, Delta State.

https://www.godwinobaseki.com/News/obaseki-decries-persistent-inflation-dollarization-of-nigerias-economy

This Obaseki guy seems to have a basic understanding of how the economy works, unlike most other governors.

Obaseki you are a major player what have you done to better the lives of people living in Edo state.

This man is always making brilliant and thought provoking submissions

But you'll see Zombies come to attack his person because of oshio-pikin who can't tell his right from his left when it comes to national discourse other than telling lies

At least, this is coming from an opposition governor, let's see how headless mobs will attack him. I could recall that Okonjo Iweala was collecting salaries in dollars under the administration of GEJ, the minister of finance for that matter, while pretending to manage the economy, she was destroying it at the same time. GEJ was painting the country with bundle of dollars across geopolitical zones during his campaign. As we speak, private colleges are accepting payments in dollars, people are converting their naira balance into dollars in speculation of fall of naira. Nigerians are the enemies of Nigeria, greedy and full of evil but you will fail and Nigeria will progress.

Another bad leader from Edo.

What happen to Edo state pallatives , wating for Edo election, so he can use it as weapon. Indeed evil lye in d heart of blackman.

COOOOOORECT.

COOOOOORECT.

OBASEKI ON FOREX AND THE SPRAWLING INFLATION,
AKEREDOLU ON HOMELAND SECURITY ARE THE TWO VERY SERIOUS AND EFFECTIVE MINISTERS OF THE FEDERAL REPUBLIC OF NIGERIA. MAY GOD BLESS THEM.

thesicilian:
This Obaseki guy seems to have a basic understanding of how the economy works, unlike most other governors.

Its all talks, implementation is the problem.
Come to edo state you will realize that an agbero with motor park knowledge can do better than the governor is doing.

Everyday he speaks Grammers like "industrial clusters, economic clusters, rejuvenative masterplan, modern edo masterplan" and yet nothing to show for it.

During his first term he was blaming oshiomhole at every given chance for distracting his govt and during his second term he shifted the blame to fg, obaseki blames fg the the insecurity in edo state, he blames fg for the bad roads, economy, lack of water he still blames the fg.

His own cluelesness is on another level that the likes of yahaya bello, ikpeazu, Mr oppostoristic budget are workaholics compared to him.

Na him teach tinubu how to sleep for occasion.

Well said your excellency.Some time ago you predicted that 1dollar will be equivalent to 1thousand naira today it is happening.Government at the higher level should
listen to your counsel if they must grow economically.

As usual people wil come and attack the person of the govenor, instead of taking crtical heed of his message. He warned in the past about many of the problems we are currently facing, but nobody listned.
Nigeria has a CRTICAL problem in how it functions. This centralized model of states and LGs sharing money every month is totally untenable. The country needs to be re-structured so that the states and LGs become fisically autonomous. Let all the sub nationals raise revenue by taxation and invesments. This will force them to be much more accountable to their people

It is manifestly obvious that those who intend to rape and loot our common patrimony thereby nose diving the Nigeria nation into economic quagmire and marodico oipkoloi are the once beefing Gov. Godwin Obaseki.

Until we put this Nation in the hands of capable hands or technocratic bostraps as G. G. O. we shall continue to suffer in poverty and qualour.

If only everyone can just understand that His Excellency, Gov Godwin Nogheghase Obaseki is an economic dynamo and listen to his economic analysis, Nigeria will come out of the economic problems bedivilling our great nation.
Kudos Your Excellency 👏👏👏👏👏

@QUINandmore



You intentionally didn't state that Edo State Government pays a higher minimum wage than the Federal Government. Give him credit for Civil Service and Pension Reforms.
Do you want us to go into Human Capital Development? Edo Jobs, Victor Uwaifo Creative Hub etc?
Digital New Nigerian Observer and web Printing Press
The likes of Okomu and Presco Oil respectively, recruit from host companies before recruiting others. The Edo State Government makes sure priority is given to Edo indigenes during recruitment in Green Hill Ethanol Plant, Ossiomo Power Plant and the list goes on.

Rest Abeg

You said water?😁😁😁

When Governor Godwin Obaseki spoke about the Naira fall, critics came at him and called him unprintable names. He's a financial expert and knows what he is saying
He even said N1000 to 1$, here we are.

Again, Gov Obaseki has spoken like the man who saw today from yester-days!

This is another brilliant, courageous, bold and factual submission

I hope the reckless apc APC-led FG wakes up and take this as a challenge

His excellency the governor of Edo State emphasis on urgent review of economy. He emphatically said Nigerians should focus on INTEREST RATE rather than EXCHANGE RATE in order to curb inflation

Ride on Your Excellency Sir! You are on the right track and as such, you are speaking the hearts and minds of majority of Nigerians. May God bless you for standing by the truth Sir
You are indeed a MEGA BLESSING not just to Edo State but Nigerians.

Pakute:
At least, this is coming from an opposition governor, let's see how headless mobs will attack him. I could recall that Okonjo Iweala was collecting salaries in dollars under the administration of GEJ, the minister of finance for that matter, while pretending to manage the economy, she was destroying it at the same time. GEJ was painting the country with bundle of dollars across geopolitical zones during his campaign. As we speak, private colleges are accepting payments in dollars, people are converting their naira balance into dollars in speculation of fall of naira. Nigerians are the enemies of Nigeria, greedy and full of evil but you will fail and Nigeria will progress.

Nigerians will fail and Nigeria will progress

When you have done zombeism such that you're just typing but you don't even know what you're typing

aQUINandmore:

Its all talks, implementation is the problem.
Come to edo state you will realize that an agbero with motor park knowledge can do better than the governor is doing.

Everyday he speaks Grammers like "industrial clusters, economic clusters, rejuvenative masterplan, modern edo masterplan" and yet nothing to show for it.

During his first term he was blaming oshiomhole at every given chance for distracting his govt and during his second term he shifted the blame to fg, obaseki blames fg the the insecurity in edo state, he blames fg for the bad roads, economy, lack of water he still blames the fg.

His own cluelesness is on another level that the likes of yahaya bello, ikpeazu, Mr oppostoristic budget are workaholics compared to him.

Hahaha
So the guy's a scammer

Voluntary slave

Pakute:
At least, this is coming from an opposition governor, let's see how headless mobs will attack him. I could recall that Okonjo Iweala was collecting salaries in dollars under the administration of GEJ, the minister of finance for that matter, while pretending to manage the economy, she was destroying it at the same time. GEJ was painting the country with bundle of dollars across geopolitical zones during his campaign. As we speak, private colleges are accepting payments in dollars, people are converting their naira balance into dollars in speculation of fall of naira. Nigerians are the enemies of Nigeria, greedy and full of evil but you will fail and Nigeria will progress.