As members of the Federal Executive Council resume this week, the ministers tasked with overseeing the nation’s economy face difficult responsibilities and high expectations.
These policies attracted critical acclaim to the government and bolstered the belief of some experts and social commentators that Nigeria’s economy is on the track to recovery. However, the applause has waned following indications that the economic hardship and the plights of the masses have been exacerbated by these policies.
The situation is particularly challenging for small manufacturers who have been facing an acute shortage of raw materials, a slowdown in production, and increased operating costs. “The new ministers must realise that the private sector and entrepreneurs in Nigeria are really struggling, and many of us are throwing in the towel. These economic policies are adversely affecting us in the country.
However, despite their significance, SMEs often face considerable challenges, including coping with the impact of government policies. “Most of the government’s drive to boost SMEs flop because they do not involve the real stakeholders in the private sector,” he said. Iche stressed that it has become imperative for the government to focus on the manufacturing sector to ameliorate the sufferings citizens are passing through.“We want to move from where we are presently, which is importing, to a place where we are exporting more and so, it is imperative we get the manufacturing sector up and running.
He lamented that many small businesses were no longer running at profit level, stating that sales have dropped sharply and turnover is on the downside. “Again, diversification of businesses should be embraced at all costs. And manufacturers must consider value addition and creative packaging/branding to improve their sales of products/services,” he said.
“In this regard, there should be strict application of the margin of preference, effective monitoring and periodic evaluation of compliance, and appropriate sanctions meted out to MDAs acting in breach of the executive order,” he said.
Source: Financial Digest (financialdigest.net)