We’ve started seeing positive results from our reforms - Tinubu Tells IMF Chief

President Bola Tinubu has affirmed that Nigerians are beginning to experience the positive effects of his administration's economic reforms. During a meeting with Kristalina Georgieva, Managing Director of the International Monetary Fund (IMF), at the G20 Leaders’ Summit in Rio de Janeiro, Brazil, Tinubu reassured that his government is focused on safeguarding the welfare of the nation’s most vulnerable citizens as the reforms progress.

“We are already witnessing encouraging outcomes from our reforms, and Nigerians now understand their necessity. However, we must alleviate the hardships caused by their implementation,” Tinubu said, according to a statement from his spokesperson, Bayo Onanuga, on Thursday. Since assuming office in May 2023, Tinubu has introduced key policy changes, such as removing the petroleum subsidy and floating the naira. While these measures aim to stabilize the economy, they have also triggered inflation and widespread difficulties for many citizens. Recognizing the impact on purchasing power, Tinubu committed to strengthening social safety nets to support the most disadvantaged.

He also stressed the importance of education in combating poverty and hunger, calling for significant investments in infrastructure and resources to ensure universal access. “Too many children are out of school, and education is a pathway out of poverty. We are developing incentives to keep children in school and need your support for those eager to continue their education,” he told Georgieva.

Regarding tax reforms, Tinubu explained that his administration is engaging stakeholders to broaden the tax base without overburdening already struggling Nigerians. “We are working with stakeholders to expand the economy’s tax base for inclusive growth, ensuring we don’t impose additional taxes on those already contributing significantly. We will need your support in this endeavor,” he added. Tinubu also congratulated Georgieva on her re-election and thanked the IMF for its assistance in implementing reforms. He urged further institutional support to bolster economic stability and sustainable growth.

Georgieva commended Tinubu’s reform efforts, acknowledging their transformative potential, and expressed her willingness to visit Nigeria while assuring continued IMF support for the country’s economic diversification. “The social investment programs are excellent for cushioning the effects on the most vulnerable,” she noted, pledging additional technical and financial aid.

She also highlighted the IMF’s commitment to supporting emerging economies and vulnerable populations, offering technical assistance to optimize Nigeria’s budgeting process for better use of financial resources.