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Don’t rely on allies to revamp your economy, U.S. expert tells Nigeria


A Washington, United States business analyst, Yun Sun, has called on the Federal Government to prioritise revamping of the nation’s economy rather than trusting in any foreign country to do the job better than Nigerians.

Sun, who spoke yesterday at the China-Africa Summit in Abuja, noted that all assistance accruing from President Muhammadu Buhari’s trip to China were not aid but loans that would be repaid depending on agreed timelines.

On the currency swap deal between the nations, the U.S. expert said the move would create a breather for the naira and popularise the Yuan on the continent through dealings with Nigeria.

Also speaking, former United Kingdom Secretary of State, Business and Trade, Sir Vince Cable, said Nigeria’s credit rating at the international market was low, attributing the development to sliding crude oil prices, the nation’s main revenue earner.

He noted that repayment of loans may pose some challenges because of dwindling foreign exchange, adding that the situation could only be remedied if government developed non-oil revenue generating sources.

Cable decried that the nation was yet to pursue in a coordinated manner a sector it hopes to explore in cushioning the effects of sliding oil revenue.

“Nigeria needs to adjust its economic base. We are yet to see this happen in concrete terms. Obviously, Nigeria has poor credit rating because of the fall in world oil price. There is the need to immediately find other non-oil revenue generating sources to support her economy.

“Otherwise, taking loans are good, but repayment can be a challenge in this circumstance unless something is done quickly to salvage the situation. Loans themselves are no silver bullets,” he stated.

The British envoy added that the current disputes between Saudi Arabia and Iran were also likely to impact negatively on the rebound of crude prices.

“There are no prospects, going by latest developments between Saudi Arabia and Iran that the price of crude is likely to hit $100 mark any time soon. This has implications for Nigeria too,” Vince submitted.

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