Stockbrokers Urge FG To Tackle Structural Issues Impeding Growth

By Clement Alphonsus

Stockbrokers exposed the need for the incoming administration to tackle structural issues impeding the nation’s economic growth.

Reviewing the nation’s economic growth in 2022 and forecast for 2023, the stockbrokers expressed optimism that the economy, and by extension, the capital market would record meaningful growth this year, despite the current headwinds bedeviling the economy and uncertainty in the global market.

Speaking at a conference organised by the Chartered Institute of Stockbrokers (CIS) with the theme: “The Nigerian Economic Review of 2022 and Outlook for 2023”, the market operators, however, assured the investing public that the economy had strong potential to bounce back this year.

Specifically, the President of Association of Capital Market Academics, Professor Uche Uwaleke said: “Contrary to projections in several quarters, government’s fiscal position is likely to improve in 2023 on account of the following: improvement in crude oil revenue from increase in crude oil production, assuming crude oil price does not disappoint and incidence of oil theft continues to go down. Savings from fuel subsidy removal will increase in government revenue. Implementation of Finance Act 2022 and unification of exchange rates will boost economic growth and development.”

Also speaking at the event, Chairman, Research and Technical of CIS, Ayo Ebo, stated that expected higher crude oil would increase government revenue this year.

According to him, increased spread of working-class Nigerians in the diaspora is expected to continue supporting the strong performance of the transfers account, especially, the remittance component.

He further added that political stability post-2022 and more market-oriented policies of the new administration are expected to drive a steady recovery in portfolio inflows over the medium term.