Buhari’s 8-Year Naira Printing Approach Spurs Inflation Without Productivity Upswing
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has attributed the current inflation in Nigeria to the printing of trillions of naira during President Muhammadu Buhari’s administration “without productivity.” Edun made these remarks during an interaction with the Senate Committee on Finance on Wednesday, emphasizing the need to audit the N22.7 trillion printed by the Central Bank of Nigeria (CBN) through the Ways and Means overdraft for the federal government from 2015 to 2023.
Edun asserted that the massive printing of money, without corresponding increases in productivity, led to hyperinflation in Nigeria. He pointed out that the inflationary pressures resulted from eight years of indiscriminate money printing, which did not align with actual economic output. During this period, he suggested, the privileged few benefitted at the expense of the wider population, exacerbating wealth disparities.
The minister highlighted the government’s strategy to address the economic challenges, mentioning the Senate’s mandate to raise N7 trillion. This involves withdrawing money from the market to pay back the CBN and creating a balanced financial book for the government. Edun stressed the importance of bringing the money supply back into alignment with actual economic productivity.
Edun concluded his remarks by acknowledging the support of the distinguished senators in this effort. He assured them that the government would conduct an audit of the N22.7 trillion printed without clear purpose.
In response, Senator Sani Musa, Chairman of the Committee, indicated that the interactive session would be an ongoing exercise. The committee aims to stay updated on the government’s short and long-term plans to address the current economic situation in the country. The continuous dialogue with the committee reflects a commitment to transparency and accountability in managing Nigeria’s economic challenges.
