The Potential Economic Implications of the US Advisory on Terrorism and Insecurity in Nigeria

By Sogeyinbo Abdulrahmon Adebanji (SIWES GATEWAY ICT POLYTECHNIC)

The Federal Government has criticized the recent travel advisory issued by the United States of America to its citizens in Nigeria, stating that such advisory could unnecessarily cause panic and have adverse economic impacts.

On November 3, the US issued a warning to its citizens in Nigeria, highlighting “elevated threats” to major hotels in the “larger cities” of Nigeria. However, the advisory also noted that Nigerian security agencies were actively working to counter these threats.

During a briefing with editors in Abuja yesterday, the Minister of Information and National Orientation, Mohammed Idris, expressed concerns that such advisories could undermine the government’s ongoing efforts to attract investors to Nigeria. He emphasized that the government has consistently prioritized the safety and well-being of all visitors to Nigeria.

“We have implemented comprehensive security measures at both federal and state levels to ensure the safety of tourists and international guests. These measures include intense intelligence gathering, acquiring and deploying additional security platforms, continuous training of personnel, and cooperation with international law enforcement agencies, among other strategies to maintain a secure environment,” he stated.

Regarding economic interventions following the removal of the oil subsidy, Idris mentioned that the present administration has introduced various palliatives in the short, medium, and long terms to mitigate the effects of the subsidy removal. These measures include a monthly wage increment of N35,000 for six months to enhance the federal minimum wage, without causing undue inflation. Additionally, the government has launched a N100 billion CNG bus rollout program to provide CNG-powered buses and has established a presidential committee to oversee its implementation.

Furthermore, the government is in the final stages of implementing a cash transfer program, which will provide N25,000 monthly to 15 million of the poorest and most vulnerable households in Nigeria for three months. A presidential directive for the release of 200,000 metric tonnes of grains from strategic reserves to households across the 36 states and the FCT is currently in effect. Additionally, measures such as providing 225,000 metric tonnes of fertilizer, seedlings, and other inputs to farmers have been taken to alleviate the hardships faced by Nigerians.

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