NLC calls for measures to stimulate economy

The Nigeria Labour Congress (NLC) on Thursday in Abuja urged the Federal Government to fashion out measures to stimulate the economy.

A statement signed by the NLC President, Mr Ayuba Wabba, stated that such measures would help to cushion the harsh effects brought on the average Nigerian by the harsh economic realities.

“These measures should operate at various tiers of government or sectors of the economy and could be short- term or long-term.

“In plain language, the CBN has devalued the naira once again.

“The proof of which is that within 24 hours of this policy announcement, the naira in the primary market exchanged to the dollar at N245 from N197 while in secondary market, the naira exchanged to the dollar at N385 from N364.

“While this movement raised a ray of hope of convergence of the markets, the incontrovertible truth remains that for now, Nigerians will have to pay higher for goods and services and commodities.
“This is without a commensurate rise in salaries, pensions or other earnings.”

The statement said that there was an unexpected liquidity pressure that came upon the money market as the interbank rate surged to 60 per cent from 18 per cent.

It said that the pressure would be passed on to borrowers who would equally pass it on to consumers, which is another source of burden to Nigerians.

Wabba said in the statemen that the intervention of the CBN by providing 150 million dollars was not sufficient to keep the naira from depreciating.

The NLC President also noted that the Federal Government was indebted to many state governments over the maintenance of federal roads in their territories.

“In line with the spirit of palliative intervention, we call on the government to make refunds on verified claims to state governments.

“This intervention will help in no small way in ensuring that salaries and pensions are regularly paid and contractors also paid.

“This, in our view, will stimulate the economy, one way or the other and the government’s palliatives should, however, not be limited to this,” he added. (NAN)