Make Food Insecurity Your Immediate Priority – IMF Tells FG

The International Monetary Fund (IMF) suggests that the Nigerian government’s immediate task should be combating food insecurity.

The IMF announced this in its End-of-Mission statement, released following the wrap-up of the IMF Staff 2024 Article IV Mission to Nigeria.

The statement was made by IMF staff teams during their visit to a country.

The statement highlights that the new government has taken over amidst a challenging economic climate characterized by stagnant growth, reduced revenue, rising inflation, and longstanding external imbalances.

Furthermore, it notes that the Monetary Policy Committee’s (MPC) move to tighten monetary policy further is expected to help control inflation and alleviate pressure on the naira.

An IMF delegation, headed by the IMF’s mission chief for Nigeria, Axel Schimmelpfennig, issued the following statement:

“Nigeria’s economic outlook is challenging. Economic growth strengthened in the fourth quarter, with Gross Domestic Product (GDP) growth reaching 2.8 per cent in 2023. This falls slightly short of population growth dynamics.

“Improved oil production and an expected better harvest in the second half of the year are positive for 2024 GDP growth, which is projected to reach 3.2 per cent, although high inflation, naira weakness, and policy tightening will provide headwinds.

“With about eight per cent of Nigerians deemed food insecure, addressing rising food insecurity is the immediate policy priority. In this regard, staff welcomed the authorities’ approval of an effective and well-targeted social protection system.

“The team also welcomed the government’s release of grains, seeds, and fertiliser, as well as Nigeria’s introduction of dry-season farming.”