President Muhammadu Buhari's Economic Management Challenges
6 Pages Posted: 25 Aug 2015
Date Written: August 24, 2015
It is necessary to distil some of the economic management lessons from the first three months of President Muhammadu Buhari’s regime and highlight needful reforms. Five issues stand out:
-While it is true that a myriad of problems were inherited from the previous regime, the new regime appears to be too preoccupied with internal challenges of government to be able to chart a future policy path for others outside government to plug into. The euphoria that heralded President Muhammadu Buhari’s regime is giving way to rising economic policy uncertainty as the regime is not providing any holistic indication of its fiscal or broader economic policy directions that others outside government can base their planning on. The regime appears to be struggling with the present, finding it hard to contemplate a future for the country, and even harder to engage others about that future.
-It is becoming obvious that the regime inherited weak institutions of economic management and would do well to urgently build those institutions now to stand any chance of confronting the myriad of economic problems inherited from 16 years of democratic deficit in which elected officials largely passed the buck of policy conception to appointees that they failed to hold accountable.
-To overcome the weak Presidential and Parliamentary economic engagement, the regime urgently needs to create economic management institutions that will help him and the National Assembly engage more directly on economic issues and generate ideas and policy directives for ministries to implement.
-The tasks of budgeting and policy coordination that previous regimes left in the hands of ad-hoc economic management teams are best undertaken from the Presidency.
-Finally, the need to build some capacity for economic intelligence cannot be overemphasized.
The regime needs to draw practical clues from effective institutions of economic management in the US.
Keywords: Nigeria, President Muhammadu Buhari, Economic Management, Economic Policy Uncertainty, Economic Institutions, Presidential and Parliamentary Economic Engagement, Budgeting and Policy Coordination, Economic Intelligence, Council of Economic Advisers, Joint Economic Committee, Democratic Deficit
JEL Classification: O55, P11
Suggested Citation: Suggested Citation