OPINION: IMF Chief, Christine Lagarde's visit to Nigeria is both Timely and Necessary. By Abdulmumin Yinka Ajia

Date: 2016-01-06

In the light of recent public commentaries by concerned Nigerians regarding Christine Lagarde's visit to Nigeria, I would like to say as a Nigerian trained economist that there is absolutely nothing wrong in the visit, I would also add that the visit couldn't have come at a better time - especially given the present acute financial distress occasioned on the one part by the crash in oil prices and on the other by the stripping of national assets and outright theft of public funds by the ruling elites from the major political parties over the last 16 years.

In spite of my position, I acknowledge the skepticism prevalent in emerging markets towards the IMF. This skepticism has been on going over the last 45years since the collapse of the Bretton - Woods system and the emergence of a more assertive IMF. There have been and still ongoing a dichotomy between the major economic powers that are behind the IMF and the periphery economies of the emerging markets that are sometimes recipient of IMF interventionist policies. Despite this schism, the IMF is not totally useless and as the global lender of last resort, its intervention while sometimes a bit hard for emerging market politicians to swallow are actually on further scrutiny sound and achievable initiatives.

When emerging markets face a balance of payment crises and the IMF intervenes, it is important that the government bureaucrats charged with the task of negotiating a fair deal with the IMF technocrats are up to speed with the issues involved.

The most glaring failure of IMF intervention in Nigeria till date has to be Babangida's structural adjustment program (SAP) of 1986. Let us note however that during the same period, other emerging markets of the time like Singapore and other Asian tiger economies equally applied SAP and came out economically stronger, it is obvious that the failure of SAP in Nigeria is actually more of Babangida's duplicity than IMF's role in crises resolution.

This is not to suggest however that the IMF is completely without fault, after all, since its inception shortly after World War II, the IMF has undergone a number of reforms and many of these reforms came about because emerging markets insist to be treated fairly as they restructure their balance of payment issues and debt during a crisis.

Nigeria is not an island unto itself and we need to continuously partner and dialogue with other nations and global institutions. The current IMF's intervention in Nigeria while it may not be the overall answer to our economic dilemma, it is yet a right step in the right direction; I am confident that under the leadership of President Muhammadu Buhari, Vice President Yemi Osinbajo, Finance Minister, Kemi Adeosun, the cerebral Babatunde Raji Fashola, the equally cerebral AbdulRahman Dambazzau and a plethora of egg heads in and out of government associated with this administration, Nigeria can get a fair interventionist deal from the IMF.

Abdulmumin Yinka Ajia is of the Department of Global Leadership, College of Business, Indiana Institute of Technology, Fort Wayne, Indiana, USA. The writer can be reached at abdulajia@yahoo.com, follow me on twitter @AbdulAjia

 

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Florence Saraki     Salman Suleiman     Khadijat Ayoola Yusuf     Abubakar Bature Sulu-Gambari     Ayo Salami     Mohammed Haruna     Ajeigbe     Law School Scholarship     Age AbdulKareem     Ayodele Olaosebikan     V.O. Abioye     Ajayi Okasanmi     Oko     Suraj Tunji Oyewale     Salihu Ajia     Opaleke Bukola Iyabo     Charcoal     N-Power     Abdulkadir Jimoh     PharmAccess Foundation     Ilorin Emirate     Ridwan Agboola     Abdulraheem Yusuf     Ahmed Shuaib Buranga     Metro Park     Hausa     Pius Abioje     The Herald     Olosi Of Osi     Abdulwahab Ololele     David Oyepinola Adedumoye     Adijat Adebiyi     Unilorin     Sa\'adu Salahu     Mazars Consulting     Chief Imam Of Offa     Ben Duntoye     Abatemi Usman     Olokoba Sulyman     Lanre Jimoh     Gabriel Fashanu     Mohammed Lawal Bagega     Ayodele Shittu     State Bureau Of Internal Revenue     Yemi Osinbajo     Alore     Baakini     PAACO-PCL Consortium     Bayo Lawal     Tanke Road     Abdullahi Biffo     Rice Farmers Association Of Nigeria     Bolakale Ayo     Zulu Gambari     REO CAKES     Maigida     Akom Construction And Engineering Synergy Ltd     Abdulsalam A. Yusuf     Iyiola Oyedepo     Rafiu Ibrahim     Jide Oyinloye     Abdulkareem Alabi     Olomu     Razak Atunwa     Pakata Patriots     Bibire Ajape     Labaeka     Democracy Day     Edret Sabi Abel     Bolakale Saka     Idris Amosa Oladipo Saidu     Bursary     Jimoh Olusola Imam     Sheikh Ridhwanullah El-ilory     Saka Isau     Demola Banu     Abdulquowiyu Olododo    

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Ishaq Salman     Sarkin Malamai     Muhammed Aliyu     Kwara Apc     Allocation     Lateef Ademola Olatunji     Oluronke Adeyemi     Mashood Abdulrafiu Agboola     Timothy Akangbe     Abdulkarim Adisa     Jare Olatundun     Adisa Logun     Kwara Central     Oke-Ero     Funmilayo Mohammed     Gafaru Olayiwola Olorisade     Kwara 2023     Moronfoye     Kayode Oyin-Zubair     Alagbado     Alaaya     Sango-UITH Road     Habeeb Saidu     Ayo Salami     Alfa Yahaya Road     NTA Ilorin     Bayo Lawal     Abdulrahman Onikijipa     Kamoru Kadiri     Omotoso     Vasolar     Saadu Gbogbo Iwe     Bola Iyabo Ibiyeye Adisa     Abraham Ojo     Sulyman Age AbdulKareem     Farouk Salim     Kayode Ibrahim     Gbadeyan Gbadura Yomi     Raji Ayodele Kamaldeen     Ayobami Akanbi     Sheriff Shagaya     Tosin Saraki     Abdulsalam A. Yusuf     Bola Magaji     Idris Garba     Kola Adesina     Alabere     Matthew Okedare     Binta Abubakar Mora     Mohammed Danjuma     Earlyon Technologies     Igbomina     Taofik Abdulkareem Babaita     Ilorin South Constituency     Kola Bukoye     Femi Oladiji     Kolawole Akande     Ilesha-Baruba-Gwanara     Saliu Mustapha     NFAI     Yahaya Dumoye     Muhammed Akanbi     Olatunde Michaels     Kola Olota     Deji Ajani     Lotus Bank     Akeem Olatunji     Raliat Islamic Foundation     NYSC     Guber Aspirant     Muritala Awodun     Oluwatoyin Lukman     HICA     Balikis Jawondo     Owo Isowo     Kayode Oyin Zubair     Ahmed