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Agora Policy, a think tank, has called for an alignment in the Federal Government’s monetary, trade, and fiscal policies.
The think tank identified fiscal discipline as a crucial requirement for maximising benefits from the ongoing reforms carried out by the federal government.
In a report titled: “FG’s Fiscal Policy Horizon Remains Cloudy,” released on Friday, Agora Policy noted that fiscal authorities cannot pursue expansionary policies while the monetary authorities are on a contradictory path.
The report read: “For a country battling with a high debt burden, expanding budget deficit, and strangulating inflation, the different actors in the economic policy arena should be singing from the same hymn sheet of inflation control and fiscal consolidation.
“In conclusion, we submit that sustained fiscal discipline is crucial to ensure that the potential gains from fiscal reforms are maximised for the benefit of citizens.”
This, Agora Policy, said would require improved transparency and accountability in public financial management.
The company stressed the need for sustained and strategic investments in social welfare programmes, infrastructure, and human capital development to make growth more inclusive and close socioeconomic disparities.
“The different policy arms need to work in concert, not at cross-purposes,” it stated.
The think tank also called for a reduction of government costs to build more confidence in the federal government and fiscal institutions.
By: Babajide Okeowo
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