The Governor of the Central Bank of Nigeria, Godwin Emefiele, has predicted that the nation’s economy will likely come out of recession by the fourth quarter of this year, Punch reports.
Emiefele said the the economy will bounce back when the result of the various measures put in place by the Federal Government and the monetary authorities becomes manifest.
Emefiele, who spoke to media executives in Lagos on Saturday, said, “We are already in the valley, the only direction is to go up the hill and the government is doing everything possible to ensure that we move up the hill. I am optimistic that based on the actions being taken by the monetary and fiscal authorities, the fourth quarter results will show evidence that we have started to move out of the recession.
“The worst is over. The Nigerian economy is on the path of recovery and growth. So, please if you are a bystander or sideliner, you are losing; join the train now before it leaves the station.”
While explaining the reasoning behind the bridge fund, the apex bank boss said, “Both the monetary and fiscal authorities are working together and that is why you can see a situation where today even when we have revenue shortage or deficit, the monetary authority is trying to bridge the gap.
“We said to the fiscal authority that we can give you a bridge to go ahead and spend, and when you obtain the foreign loan that you are negotiating, or when your revenue improve, you can repay the bridge that we have created for you in order to stimulate spending. That is a practical case of collaboration between the monetary and fiscal authorities.”
He alluded to the release of another batch of N350bn by the Ministry of Finance to stimulate the economy as another measure taken by the government to get the nation out of recession.
The Federal Government in a bid to stimulate economic activities said it was releasing additional N350bn for capital projects captured in the 2016 budget according to News24.
The Minister of Finance, Kemi Adeosun, gave the figure on Friday while briefing journalists on interventions measures being taken by the government to reflate the economy which is currently in recession.