• Envisages N185bn monthly shortfall in federal allocation
Olalekan Adetayo, Abuja
It also expressed the fear that millions more may slide into extreme poverty before the pandemic ends.
Vice-President Yemi Osinbajo painted the gloomy picture on Thursday while presenting the report of the Economic Sustainability Committee to the President, Major General Muhammadu Buhari (retd.).
Buhari set up the committee on March 30, 2020 in response to what was then becoming a threat of the most severe economic downturn in the country’s history, largely caused by the pandemic.
Its terms of reference include to develop a clear economic sustainability plan in response to challenges posed by the COVID-19 pandemic and to propose monetary policy measures in support of the plan.
Others are to provide a fiscal/monetary stimulus package, including support to private businesses and vulnerable segments of the population, among others.
Presenting the report to Buhari, Osinbajo noted that the lockdowns and social distancing measures put in place to curb the spread of COVID-19 had had a severe negative impact on farms and factories as well as on trade, transport and tourism.
He said the federation might experience a shortfall of about N185bn monthly in the amount available for allocation to the three tiers of government.
The Vice President said, “Several projections, including those done by the NBS on behalf of the Economic Sustainability Committee, showed a severe downturn in our oil earnings, as a result of which, even with oil price at $30 a barrel, we would still have a shortfall of about N185bn every month in the amount available for allocation to the three tiers of government.
“They showed that unemployment may rise to 33.6 per cent or about 39.4 million people by the end of 2020, if we fail to take prompt preemptive measures.
Please do something now before its two late, because may are dieing of hunger while others are surfing of health challenges
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