President Bola Ahmed Tinubu has expressed his disappointment with Nigeria’s poor electricity power generation, particularly given the country’s vast size.
During the inauguration of a 31-member Presidential Economic Coordination Council at the Council Chamber within the Presidential Villa in Abuja, President Tinubu described it as shameful that Nigeria is still producing only 4.5 gigawatts (GW) of electricity.
He emphasized the need for significant improvements in the energy sector to drive economic growth and development in the country.
President Bola Ahmed Tinubu highlighted the necessity for creative approaches to address Nigeria’s economic issues, emphasizing collaboration between the public and private sectors.
He stressed the need to enhance energy security, particularly in the oil, gas, and electricity sectors.
Tinubu described Nigeria’s current electricity generation of 4.5 gigawatts (GW) as shameful and outlined ambitious goals to increase this to 6 GW over the next six months and boost oil production to 2 million barrels per day within a few months.
To achieve these objectives, Tinubu unveiled the Economic Stabilization Programme, which includes initiatives for energy security, agriculture, food security, and healthcare. The programme aims to:
1. Increase Electricity Generation and Oil Production: Boost electricity generation to 6 GW and oil production to 2 million barrels per day by the end of the next year.
2. Remove Investment Barriers: Enhance competitiveness in the energy sector by removing obstacles to investment.
3. Agricultural and Food Security: Increase staple crop production by small-scale farmers to 135 million metric tons and collaborate with commercial farmers for enhanced production. Support farmers through satellite imagery for land use planning, crop rotation, and agricultural expansion monitoring.
4. Healthcare and Social Welfare: Ensure essential medicines at affordable prices for 80-90 million Nigerians, extend healthcare insurance to 1 million vulnerable individuals, deploy 20,000 healthcare workers, and upgrade 4,800 primary healthcare centers and hospitals with renewable energy sources.
In the fiscal measures, Tinubu proposed several interventions to improve access to finance for housing, MSMEs, and manufacturing sectors, including:
1. Youth-Owned Enterprises: Support for new and existing youth-owned enterprises, creating 7,400 MSMEs within the next 6-12 months.
2. MSME Support: A ₦650 billion facility to provide lower-cost short-term facilities to youth-owned businesses, manufacturers, and MSMEs across various industries.
3. Manufacturing Stabilization Fund: A fund to rejuvenate up to 250 companies with lower-cost long-term facilities for manufacturers producing goods for domestic and export markets.
4. Sub-National Matching Fund: A Grow Nigeria Development Fund with a single-digit interest rate loan portfolio and matching fund agreement with sub-national governments to grow MSMEs.
5. Bank of Industry’s Rural Development Programme: Support for rural economies to develop 300 new MSMEs per state, resulting in 11,100 new rural-based MSMEs.
6. Mortgage Finance Acceleration Facility: Support for the construction of 25,000 additional housing units to deliver affordable housing.
These measures aim to improve access to finance for MSMEs, create jobs, and drive economic recovery and stability in Nigeria.
Tinubu’s comprehensive strategy seeks to address key sectors and provide the necessary support for sustainable development and growth.