By Friday Idachaba, Lokoja.
A Professor of Monetary Economics, Prof.Gbenga Moses Niyi Omofa has called for the establishment of a National Economic Coordinating Council (NECC), a high-level institutional mechanism to align the Nigerian fiscal and monetary priorities.
Speaking at the 28th Inaugural Lecture series of the Federal University Lokoja (FUL), on Wednesday, Prof. Omofa emphasized the need for institutional harmonization to bridge the gap between monetary and fiscal policies.
The Lecture titled: “Financial Sector Development and Macroeconomic Performance in Nigeria: An Uneasy Marriage Between the Monetarists and the Fiscalists.”
The expert hinted that addressing the persistent disjunctions between Nigeria’s monetary and fiscal policy frameworks requires a shift from ideological rigidity to pragmatic synthesis.
He said that at the heart of Nigeria’s policy incoherence is the absence of a sustained platform for strategic coordination between key macroeconomic institutions.
According to him, financial sector development cannot meaningfully contribute to macroeconomic performance unless it is grounded in a coherent policy regime that harmonizes inflation control with inclusive, productivity-driven growth.
Omofa observed that the Central Bank of Nigeria (CBN), the Ministry of Finance, the Budget Office, and other economic planning agencies often operate in silos, with limited consultation or alignment.
To attain a fruitful union, the renowned economist called for an end to policy silos as he underscored the imperative need to recognize and internalize the interconnectedness of various institutions and policy domains.
It is against this backdrop that he called for the establishment of the National Economic Coordinating Council (NECC), to be tasked with developing joint macroeconomic frameworks and forecasts, reviewing trade-offs between inflation control, employment, and growth.
The Don hinted that despite various government initiatives and the growth of the financial sector, unemployment rates have remained high, underscoring the challenges of “jobless growth” where economic expansion does not translate into sufficient employment opportunities.
He urged that production should be prioritize saying that financial sector growth should not be an end in itself but a means to support and catalyze the real economy.
“Aligning monetary policies and financial sector development with the needs of productive sectors such as agriculture manufacturing and services will ensure that financial resources collectively contribute to sustainable economic growth and job creation”, Prof. Omofa explained.
He also advocated sectoral recalibration and reconfiguration of financial flow to redirect capital market liquidity and credit expansion towards priority sectors such as Agriculture, Manufacturing and Technology.
Speaking earlier in his welcome remarks, Vice Chancellor of the University, Prof. Olayemi Akinwumi, thanked God for the success of Inaugural Lecture series of the University and commended Prof. Omofa for chosing to share his rich research journey with the University community.
He pointed out that the Inaugural Lecture platform was was not just an academic tradition, but a celebration of knowledge, research, and the intellectual achievements of the Professors.
“This tradition is more than ceremonial, it is a platform where our Professors, having attained the pinnacle of their academic careers, share with the University community and the general public the journey of their learning, the impact of their research, and their contributions to the advancement of knowledge in their respective fields”, he said. (Ends)
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