‘Tinubu’s Reforms Daring, However Introduced Pains on Residents, Companies’

The Lagos Chamber of Commerce and Business (LCCI) yesterday stated President Bola Tinubu’s administration within the final two years has been characterised by daring macroeconomic reforms and vital coverage shifts.

The LCCI, nevertheless, stated the measures have imposed short-term hardships on companies and households, significantly Small and Medium-sized Enterprises (SMEs), which stay the spine of the Nigerian financial system.

The Director Normal of LCCI, Dr Chinyere Almona, said this on Thursday in Lagos within the LCCI’s second yr anniversary message to President Tinubu.

Dr Almona asserted that the daring reforms have been geared toward correcting long-standing structural distortions.

She stated whereas these reforms got here with vital short-term socio-economic prices, they supplied the potential for long-term macroeconomic stability and inclusive progress.

“These measures have additionally imposed short-term hardships on companies and households, significantly Small and Medium-sized Enterprises (SMEs), which stay the spine of the Nigerian financial system,” she stated.

Addressing the nation’s macroeconomic outlook, Almona famous that Nigeria had recorded Gross Home Product (GDP) progress.

She stated the expansion, whereas optimistic, was but to be whilst manufacturing and agriculture continued to wrestle as a consequence of excessive manufacturing prices, insecurity, and logistical inefficiencies, limiting enterprise competitiveness.

The LCCI additionally said that inflation remained a essential problem, at 23.71 per cent as at April 2025 as a consequence of gas subsidy elimination and international alternate liberalisation.

She stated whereas these reforms improved the fiscal outlook, they elevated enterprise working bills, significantly logistics, agro-processing, and retail SMEs.

Almona stated the present macroeconomic panorama mirrored a nation in transition.

“There are additionally rising issues about coverage coordination.Whereas financial authorities goal inflation, fiscal coverage expands by way of borrowing and recurrent expenditure.

“This divergence has weakened the affect of financial interventions,” she stated.

Almona stated so as to realise a greater enterprise surroundings, the federal government should contemplate enhancing its coverage coordination with higher synergy between financial and financial insurance policies.

She said that the Central Financial institution of Nigeria, Ministry of Finance, and the event finance establishments ought to work in tandem to handle inflation with out stifling productive funding.

The DG additionally famous the necessity to strengthen the Ease of Doing Enterprise framework by streamlining regulatory processes, eliminating a number of taxation and increasing digitisation of presidency providers.

“We name for the total implementation of the tax reforms not too long ago accredited by the Nationwide Meeting and lots of different coverage reforms.

“Authorities should scale up focused SME Assist by introducing concessionary mortgage schemes tied to output targets for agro-processing, tech innovation, and light-weight manufacturing sectors.

“We additionally advocate improved infrastructure, expanded social security nets, the promotion of native content material and worth addition, sustained reforms within the international alternate market and deepened stakeholder engagement,” she stated.

Almona stated, “The second anniversary of the Tinubu administration is each a second of reflection and a name to motion. Nigeria stands at a pivotal juncture the place the right combination of coverage coherence, institutional reforms, and stakeholder collaboration can unlock the nation’s huge financial potential.”

Additionally talking with our correspondent, Dr Muda Yusuf, foremost economist and Chief Government Officer of Centre for the Promotion of Non-public Enterprises (CPPE), stated the administration got here in at a time when the basics of the financial system have been “virtually damaged.”

Dr Yusuf stated the primary two years of the administration had been devoted largely to fixing these fundamentals and stabilising the financial system.

He, nevertheless, admittedly stated the reforms have inflicted vital pains on the residents.

Yusuf stated whereas some companies collapsed on account of the shocks of the reforms, others exited Nigeria.

“However it’s additionally vital to say that as vital and as crucial because the reforms have been, the reforms inflicted vital pains on the residents.

“It adversely impacted companies. It affected revenue margins. Price of manufacturing escalated. Many companies have been thrown into misplaced positions. Just a few different ones, significantly the massive ones, needed to exit the nation. Some companies in actual fact collapsed on account of the shocks of the reforms.

“So, the price of the reform has been very phenomenal. And on the particular person degree or on the welfare degree, the reforms had a devastating impact on the welfare of the individuals. We had an aggravated state of affairs with poverty on account of the spike in inflation, the collapse of buying energy. And that created a significant drawback prior to now two years,” he stated.

He stated the excellent news is that some progress has been made by way of stabilising the financial system, following the reforms.