President of the Association of Bureaux De Change Operators of Nigeria, ABCON, Alhaji Aminu Gwadabe, has highlighted steps to achieve a virile real sector growth in Nigeria.
He said that the Nigerian business environment is becoming more hostile and unbearable, adding that the adverse business environment is being compounded by the escalating exchange rates and forex scarcity coupled with the Covid-19 pandemic.
Gwadabe said this at an event organized by Commerce and Industry Correspondents Association of Nigeria, CICAN, titled: “Effects of COVID-19 on the Real Sector/SMEs Financing,” in Lagos.
He pointed out that the one and half years border closure and multiple taxations are major challenges hindering the sector, while also advising the government to remove all multiple taxes levied on manufacturers if it must come out of recession.
He advised economic managers to encourage manufacturers by way of formulating investment friendly policies, saying: “The government should grant tax holiday to manufacturers during this period of general economic hardship if we must come out of recession. They should think of incentives to manufacturers and not exploiting or punishing them with levies and taxes. The government should make low single digit loans available with less bureaucracy if the country must experience growth.”
He said that the lifting of tax burden of the manufacturers will help in creating more employment, thereby lifting jobless youths out of the street, urging the government to develop policies that would encourage competitiveness of the Nigerian manufacturers.
He stated: “Government should think of tangible grants to the manufacturers as well as non interest loans to attract more visitors into the manufacturing sector. The government should warn its agencies to desist from seeing manufacturers as avenues to make money for themselves.
“Manufacturers are not making profit due to massive infrastructural deficit that has plagued the nation over the years.”