Delta State Commissioner for Works (Rural Roads) and Public Information, Mr Charles Aniagwu, has said the economic reforms of President Bola Tinubu are gradually stabilising Nigeria’s economy and laying the foundation for improved purchasing power and sustainable growth.
Aniagwu, who spoke on Morning Dew, a programme on DOTT TV, said the reforms should be assessed not only by the immediate hardship associated with them but also by their long-term objective of repositioning the economy.
He likened the reform process to treating an injury, saying that although the application of iodine to an open wound could intensify pain temporarily, the ultimate objective was to facilitate healing.
According to him, Nigeria had suffered years of economic distortions, including fiscal pressures, inadequate revenue, foreign exchange challenges and weak productive capacity, which made fundamental reforms necessary.
He said: “When you sustain an injury, there is a tendency that you are going to experience some pain. Again when you apply iodine to treat such open wound, it tends to cause further discomfort, but after some time, the injury begins to heal.”
Aniagwu also compared the reform process to choosing between two vehicles travelling to different destinations. He said Nigerians might prefer the comfort of a luxury vehicle, but if it was heading in the wrong direction, a less comfortable vehicle travelling towards the desired destination would ultimately be the better route.
He said the Tinubu administration had chosen the latter path by undertaking difficult reforms designed to correct structural problems in the economy.
The commissioner acknowledged that the reforms had brought significant pressure on households, particularly through higher prices of goods and services, but argued that the government’s focus was gradually shifting from macroeconomic stabilisation to measures capable of improving conditions at the grassroots.
His position is partly reflected in recent assessments by the International Monetary Fund and World Bank. The IMF said reforms implemented over the past three years had improved Nigeria’s macroeconomic outcomes and resilience, while noting that poverty and food insecurity remained serious challenges.
The World Bank similarly said Nigeria had made progress in restoring macroeconomic stability, with inflation easing, external and fiscal positions strengthening and economic growth remaining resilient, although household incomes had yet to recover fully.
Aniagwu said one of the key benefits of stabilising the macroeconomic environment was that governments would have greater capacity to pay salaries, pensions and contractors, thereby injecting money into the wider economy.
He explained that when workers receive their salaries on time, the money circulate through schools, shops, transport operators, landlords, farmers, traders and other businesses.
He said the same principle applied to government infrastructure projects, arguing that payment to contractors create economic activity because contractors subsequently purchase materials, engage workers and patronise other businesses.
“Once the purchasing power is enhanced, people make more demands. When they make more demands, farmers can afford to grow more,” he said.
Aniagwu also cited government intervention programmes targeted at small businesses and vulnerable Nigerians as part of efforts to move the benefits of economic stabilisation from the macroeconomic level to households.
He said the Federal Government and states needed to continue implementing measures that would strengthen productive capacity, support small businesses and improve the ability of Nigerians to participate meaningfully in economic activities.
The commissioner said the reforms should therefore be understood as a gradual process, stressing that economic transformation could not be achieved overnight.
He added that the objective should be to create an economy in which improved fiscal stability, stronger production, increased investment and enhanced purchasing power eventually translate into better living conditions for Nigerians.
The IMF has projected Nigeria’s real GDP growth at 4.1 per cent for 2026 and 4.3 per cent for 2027, while stressing that sustained reforms, fiscal discipline and policies that support inclusive growth would remain important.
