By Erewunmi Peace

World Trade Organization (WTO) Director-General Dr. Ngozi Okonjo-Iweala has weighed in on Nigeria’s economic reforms under President Bola Tinubu, describing them as being “in the right direction” but emphasizing the need for stronger social safety nets to cushion their impact on vulnerable Nigerians.

Her comments came during a recent visit to President Tinubu, sparking widespread discussion about the true state of Nigeria’s economy.

Olu Fasan’s Perspective

Writing in his Vanguard column, public policy analyst Olu Fasan argued that while Dr. Okonjo-Iweala acknowledged some level of economic stabilisation, this does not equate to full economic stability as recognized by institutions like the IMF and WTO.

“Economic stabilisation is not the same as macroeconomic stability,” Fasan wrote, warning that inflation, currency volatility, and unemployment remain pressing challenges.

What Okonjo-Iweala Said

According to Okonjo-Iweala:

The government’s reforms—including subsidy removal and exchange rate unification—are steps in the right direction.

Nigeria must expand social protection programs to support the poor during the adjustment phase.

Economic reforms require consistency and strong institutional backing to deliver long-term results.

Current Economic Reality

Despite the optimism around reforms:

The naira remains under pressure, trading at historically high levels.

Inflation continues to hit household incomes, with food inflation exceeding 30%.

Unemployment remains high, particularly among youths.

Olu Fasan’s analysis calls for urgent structural reforms, including boosting local production, diversifying exports, and tackling systemic corruption, to achieve true stability.