Finance minister calls for bold steps in economic diversification

The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, has emphasized the urgent need for aggressive economic diversification, calling for a shift from oil dependency to alternative revenue sources.

Speaking at the 5th National Treasury Workshop organized by the Office of the Accountant-General of the Federation in Abuja, Edun, who was represented by Permanent Secretary, Mrs. Lydia Shehu, stressed the immense potential of non-oil sectors in driving economic growth and job creation.

According to him, “Several non-oil sectors have strong potential for revenue generation, job creation, and economic growth. It is time to explore these aggressively.”

He identified key focus areas, including: Agriculture and Agro-Processing, Solid Minerals and Mining, Manufacturing and Industrialization, Tourism and Hospitality, Digital Economy and ICT

Edun acknowledged several obstacles limiting revenue mobilization, including insecurity, inadequate infrastructure, bureaucratic bottlenecks, and low tax compliance. While he noted that the government was implementing financial management reforms, digital revenue collection systems, and improved tax administration, he stressed the need for further collaboration between national and sub-national governments to maximize revenue opportunities.

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He also highlighted the importance of government-private sector partnerships, stating:

“Accountability and transparency in public financial management are crucial for building trust and attracting investment.”

In her remarks, the Accountant-General of the Federation (AGF), Dr. Oluwatoyin Madein, described the workshop as a key platform for fostering collaboration and improving revenue generation efforts.

Dr. Madein pointed out that global energy policy shifts and fluctuating oil prices make it clear that Nigeria **cannot afford to rely solely on oil revenues.

“The recent global shifts in energy policies and fluctuating crude prices show that we cannot afford to rely solely on oil revenues. We must embrace a diversified approach tapping into agriculture, solid minerals, manufacturing, tourism, and the digital economy,” she said.

She further noted that exchange rate volatility, low revenue performance, and rising costs have complicated fiscal operations, reinforcing the need to explore non-oil revenue sources to ensure long-term economic stability.

As Nigeria faces evolving economic challenges, both government officials and financial experts agree that diversification is no longer an option but a necessity for sustainable development.

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