39.4 million may be jobless before year end, says Nigerian Government

The Federal Government has raised the fear that except something urgent is done, about 39.4 million Nigerians may be jobless by the end of the year as a result of the impact of the COVID-19 pandemic.

It also expressed the fear that millions more may slide into extreme poverty before the pandemic ends.

Vice-President Yemi Osinbajo painted the gloomy picture on Thursday while presenting the report of the Economic Sustainability Committee to President Muhammadu Buhari .

Buhari set up the committee on March 30, 2020 in response to what was then becoming a threat of the most severe economic downturn in the country’s history, largely caused by the pandemic.

Its terms of reference include to develop a clear economic sustainability plan in response to challenges posed by the COVID-19 pandemic and to propose monetary policy measures in support of the plan.

Others are to provide a fiscal/monetary stimulus package, including support to private businesses and vulnerable segments of the population, among others.

Presenting the report to Buhari, Osinbajo noted that the lockdowns and social distancing measures put in place to curb the spread of COVID-19 had had a severe negative impact on farms and factories as well as on trade, transport and tourism.

He said the federation might experience a shortfall of about N185bn monthly in the amount available for allocation to the three tiers of government.

In the report titled ‘Bouncing back: The Nigerian economic sustainability plan,’ Osinabjo said the committee recommended that the government embarked on mass job creation to cushion the effect of COVID-19 pandemic.

He added, “We have therefore recommended that we must carry out mass programmes that create jobs and utilise local materials.”

The committee also recommended the expansion of the Social Investment Programme through an increase in the number cash transfer beneficiaries, N-Power volunteers and sundry traders enjoying small and micro loans through the MarketMoni and TraderMoni schemes.

– Punch