As the concern over rising food prices intensifies, top economists have compiled a crucial task list for President Tinubu. These recommendations aim to alleviate the burden on consumers and stabilize the economy amidst inflationary pressures.
Task List:
1. Tax and Dues Reduction: Implement steep reductions in taxes and dues to ease financial strain on businesses and consumers.
2. Spending Realignment: Redirect spending towards initiatives focused on enhancing human capital development, ensuring a more sustainable allocation of resources.
3. Infrastructure Investments: Provide equity to Julius Berger for urgent power infrastructure improvements and grant equity to China Civil Engineering Construction Corporation (CCECC) to facilitate rail connectivity between ports and all regions.
4. Immediate Food Import Strategy: Initiate zero-duty importation of essential food items to rapidly mitigate food price spikes and curb inflation.
5. Customs Reforms: Direct Customs to reduce dollar-based charges, thereby lowering import costs and easing inflationary pressures.
6. Payment Holidays: Facilitate payment holidays for key institutions such as NNPC, NAFDAC, JAMB, and FIRS to alleviate financial burdens and support operational sustainability.
7. Tax Credits for Salary Increases: Offer tax credits to firms that prioritize increasing workers’ salaries, promoting wage growth and consumer purchasing power.
8. Import Ban and FX Conservation: Enforce a ban on certain imported goods, particularly those related to food and clothing, to conserve foreign exchange reserves and strengthen the local economy.
9. Debt Moratorium: Impose a moratorium on select debts to provide temporary relief to businesses and individuals facing financial challenges.
10. Border Reopening: Consider the reopening of northern borders to stimulate trade and enhance regional economic integration.
Implementing these recommendations can play a pivotal role in addressing the current challenges posed by escalating food prices. By adopting a comprehensive approach that combines fiscal policy adjustments, strategic investments, and regulatory reforms, the government can mitigate the impact of inflation and foster sustainable economic growth.
