The IMF’s BIG Reset in Nigeria

The IMF’s BIG Reset in Nigeria

Nigeria: IMF, we need help here as we are low on cash to fight Covid-19 pandemic.

IMF: The Nigerian people must agree on one thing:  pay full cost of electricity consumption with all subsidies removed.

Nigeria:  There is no problem. We will do that from 2021. Can I send our bank account to wire the money?

IMF: Not yet, I need a written commitment.

Nigeria: Draft and we will sign.

IMF: Perfect – document sent.

Nigeria: We have signed. The bank account has been sent also.

IMF: Transfer of $3.4 billion done.

Nigeria: Daalu, e dupe, na gode

People, IMF may be accomplishing the near impossible: get Nigerians to pay the full cost of electricity. Sure, people claim nothing is offered for them to pay. Interestingly, without the improved tariff, investors will not pump money to fix any paralysis in the energy sector. With naira losing value to global currencies, and the power business not relying on sand from Okija or metals from Ogbomosho or trees from Sambisa forest, rate increment seems like a good idea. Of course, not many will agree. But now that the IMF has conditioned on that, we will see what happens. This is a BIG reset if it happens.

Nigerian Government to Remove Electricity Subsidy – It will Be A Battle.

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One thought on “The IMF’s BIG Reset in Nigeria

  1. When I saw the report earlier today, I was oscillating between shock and bemusement.

    Our fiscal and monetary managers were busy secretly answering ‘yes ma, yes sir’ to IMF demands, including review of VATs. Nigeria has traitors as managers, no question about that.

    The ridiculous IMF didn’t impress on our managers to cut public servants pays and overheads by more than 50%, as one of the conditions for the loan; rather they went for only soft targets: high energy bills, VATs etc. Wouldn’t it be great to get the guys to commit to paying the three arms of government responsibly? They left that component untouched and focused on things we all know will hit majority of Nigerians hard, considering the fallen state of naira.

    The institution giving us loan detest ordinary people, the people collecting loans on our behalf don’t care, because they are not the ones to pay back, and most of them are on their way to retirement.

    See how they rape Nigeria with impunity, and no one can even make a case for her…

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