Six Actions Tinubu Must Take to Achieve Success — Atiku

ABUJA: Former Vice President Atiku Abubakar has outlined six crucial steps President Bola Tinubu must take to succeed in his current role. Atiku, the presidential candidate of the Peoples Democratic Party (PDP), shared this advice in a public statement in Abuja yesterday.

He began by saying, “First, pause and reflect. The government needs to understand the necessary reforms and their proper sequence. A clear framework with stated reform objectives and strategies is essential.”

“Second, a comprehensive review of the 2024 budget is needed within the new reform framework. The current budget, whose size is unknown, doesn’t address the structural issues of the Nigerian economy or the cost-of-living crisis. It won’t create prosperity or opportunities for young people to lead productive lives.

“The review should prioritize fiscal measures to combat the unprecedented rise in commodity prices, which have increased misery for the poor and pushed millions below the poverty line. Immediate measures should include easing restrictions on selected food imports.”

“Third, review the Social Investment Programme (SIP) to mitigate the impact of these policies on vulnerable households. The SIP should go beyond Conditional Cash Transfers to support Micro, Small, and Medium Enterprises (MSMEs) across all sectors, offering the greatest potential for inclusive growth. Additionally, support for medium and large-scale enterprises is crucial to navigate the aftermath of the PMS subsidy withdrawal.”

“Fourth, Tinubu must avoid further impoverishing the poor by introducing new taxes or increasing tax rates. There are behind-the-scenes attempts to raise the VAT rate from 7.5% to 10%, reintroduce excise taxes on telecommunications, and increase excise rates on various goods. We cannot tax our way out of this situation. Instead, Tinubu should focus on expenditure rationalization and budget alignment with fiscal reality, improving revenue utilization efficiency, refining procurement processes, and reducing the size and cost of government.”

“Fifth, provide clarity on the fuel subsidy regime, including fiscal commitments, benefits from the reform, and its impact on Federation Accounts. Since April 2024, fuel queues have increased, and the black market has flourished. What are the costs and quantities of PMS being imported and distributed? What is the implicit subsidy?”

“Sixth, tackle security head-on. President Tinubu needs to overhaul the nation’s security architecture as it currently fails to meet the people’s needs. Pervasive insecurity adversely affects agricultural production, especially in the northern regions, due to terrorism, banditry, kidnapping, and cattle rustling, causing many farmers and pastoralists to abandon their lands. This has drastically reduced food production and increased food prices. A report by Cadre Harmonize warns that between June and August this year, about 31.5 million Nigerians might face severe food shortages.”

Atiku emphasized, “I have always advocated for reforms. The Nigerian economy requires substantial reform measures to accelerate its transformation after years of lackluster growth. I was prepared for reform fallouts. Tinubu wasn’t. However, it’s not too late for him to change course for the good of our people and nation.”

Why Tinubu’s One-Year Rule Hasn’t Yielded Desired Results

Explaining why Tinubu’s first year in office has not met expectations, Atiku said, “Tinubu laid out no plans for economic remodeling but soon embarked on a series of policies to achieve it. In May 2023, he eliminated PMS subsidies, and a month later, the CBN implemented a new foreign exchange policy, unifying multiple official FX windows into a single official market. More policies followed rapidly: tightening monetary policy to reduce naira liquidity, increasing monetary policy rates, introducing cost-reflective electricity tariffs, and implementing a cybersecurity tax.

“Predictably, 12 months on, Tinubu’s promises of economic growth and ending misery remain unfulfilled. His actions or inactions have worsened Nigeria’s macroeconomic stability. The economy remains fragile, more so than a year ago. Joblessness, poverty, and misery, which marked the Buhari-led administration, have only worsened. Africa’s leading economy has slipped to fourth place, behind Algeria, Egypt, and South Africa.

“Citizens’ hopes have been dashed, contrary to the administration’s propaganda, as economic woes have multiplied. In a press statement earlier this year, I expressed concerns about the risks of unplanned reforms. Implementing policies without proper planning and clear goals is trial-and-error economics. My concerns remain. I will focus on four areas to highlight the risks of Tinubu’s reforms and their dire consequences for Nigeria’s growth and development.

“First, Tinubu’s policies do not create prosperity; they impoverish the poor and bankrupt the rich. They spare no one. Most Nigerians, already poor, are experiencing the worst cost-of-living crisis since the 1980s structural adjustment program. Annual inflation at 33.69% is the highest in nearly three decades. Food prices are unaffordable, with food inflation at 40.53% in April, the highest in over 15 years.”