The governor also announced that his agenda seeks to reduce the rate of unemployment which currently stands at over 23 per cent in the country and that employment will be a point of consideration at the MPC meetings going forward.
“Nigeria has witnessed impressive GDP growth rates over the past seven years yet there is an absence of a corresponding reduction in the unemployment rate in Nigeria,” Godwin Emefiele announced.
According to data from the National Bureau of Statistics, youth unemployment in the country currently stands at over 25 per cent posing dangerous implications for the economy. Emefiele believes that with an annual addition of 1.8 million Nigerians to the labour pool, the central bank cannot afford to concentrate only on price and monetary stability.
“Additional measures would be required towards identifying productive sectors of the economy and channelling credit towards these sectors, while imposing proper monitoring and performance measures in order to ensure that the goals of increased employment and poverty reduction,” he said.
Emefiele explained how this will be done, “To do this, the bank will require a review of its development finance program, the participatory agencies responsible for the disbursement of funds, improving our monitoring capacity and developing performance targets relevant to our focus on generating employment and poverty reduction.”
The new governor further assured Nigerians that the measures that will be taken by the bank will not work in isolation.
“We will work with the fiscal authorities in reducing other structural distortions to productive growth as this will enhance access to credit, as well as stimulate growth and employment generation,” he added.