FG harps on domestic savings, partners with CBN, SEC

On Feb 23, 2022

The Minister of Finance, Budget and National Planning, Mrs. Zainab Ahmed has stated that the mobilization of domestic savings for capital formation and investment are critical success factor for harnessing the true growth potential of the Nigerian economy.

The Minster stated this during the submission of report of the Working Group on National Savings Scheme in Abuja.

She stated that the just launched Medium-Term National Development Plan 2021-2025 recognizes the role of a deep financial market in supporting the high and sustainable growth the plan aims to attain.

“I hope the proposals made in this report will guide Government in taking actionable steps to actualize the objectives outlined” she said.

She assured that she would review the report and work with the Securities and Exchange Commission and other stakeholders to ensure that the country fully realizes the potential benefits of the Scheme to the Country.

According to Ahmed: “We understand that this initiative will involve several other agencies such as the CBN, FIRS, NAICOM and other important stakeholders. We will leverage on our collaborative working environment within the Government to ensure we get necessary buy-in and commitment from relevant stakeholders.”

Earlier, the Director General, Securities and Exchange Commission (SEC), Mr. Lamido Yuguda explained that the need to establish a National Savings Strategy was outlined in the 10 Years Capital Market Master Plan “as one of the key strategies to enhance capital formation by mobilizing domestic funds for investment to drive rapid economic growth.”

While presenting the report, Dr. Ore Sofekun, Member of the Committee and CEO of Foothold Advisors Limited who presented the report on behalf of the Committee Chairman, Mr. Fola Adeola, said the scheme will be open-ended and considering its medium-term to long-term objective, participants will have the opportunity to decide how their contributions will be invested and will be able to make periodic re-allocations.

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