The Emir of Kano, Muhammadu Sanusi II, has said Nigeria’s economy has recovered from the brink of total collapse, citing improvements in macroeconomic indicators under President Bola Tinubu’s administration.
Speaking on the country’s economic direction during an interview on News Central Television, Sanusi said the government inherited an economy marked by severe instability caused by years of loose monetary policy and uncontrolled growth in money supply.
According to him, the tough monetary measures introduced over the past year, including efforts by the Central Bank of Nigeria (CBN) to reduce excess liquidity, have helped stabilise the economy despite the pain of high interest rates.
“We are coming from a background of very high levels of instability as a result of loose money and uncontrolled growth in money supply,” he said.
Sanusi noted that the exchange rate has become more stable, while inflation, though still around 20 per cent, was declining from the much higher levels recorded in previous years.
He said Nigeria had also strengthened its external reserves, which he said have risen to over $40 billion.
The former CBN governor further noted that the economy expanded by more than three per cent in the first quarter and by over four per cent in the second quarter, describing it as a significant milestone.
“This is the first time in a long time that this economy has been growing faster than the population,” he said.
Sanusi maintained that the recent economic indicators suggested that the country had moved away from the risk of total economic collapse, although he acknowledged that inflation and high interest rates remained major challenges for businesses and households.