Set up a Coronavirus economic relief fund now, expert tells FG

An economists and member of the Central Bank’s Monetary Policy Committee, Prof. Mike Obadan has urged the federal government to set up a covid-19 economic relief fund immediately.

He said that the relief fund which will be coordinate by the federal government through the finance ministry will aid in mobilizing funds from stakeholders and private individuals.

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He was speaking as a guest on a breakfast programme “Good morning Nigeria” on the Nigerian Television Authority an monitored by Daily Times.

Obadan said both fiscal and monetary measures currently taken to cushion the effect of the covid-19  did not take cognizance of group of people that will not be working during a lockdown, as they will eventually, add to the unemployment rate

“US government took cognizance of such group of people as so many people went to the unemployment when the government ordered a shutdown.

‘This is why the government put up a $2 trillion stimulus bill and taken cognizance of all these category of individuals. However, both the CBN and the federal government have not taken cognizance of such groups and there is a void,” he said.

He recalled that stakeholders have begun making contributions towards containing the coronavirus through monetary, food supplies, equipment’s and drugs, as CBN bankers committee has announced.

He however urged the federal government to go further by setting up a relief fund and coordinate funds that will serve those that will be affected at the macro level.

“What can be done in fiscal measures is that FG can coordinate the mobilization of funds from stakeholders and a situation where we have a coronavirus economic relief the fund is established and Fg coordinates.

“Stakeholders are enjoined or requested to contribute and then FG will sit down and decide on how to meet the need of the vulnerable which have not been catered for in the macro policies,

“The monetary policy measures meet a group of people and the government needs an economic relief the fund, I say this because FG has noticeable challenges in the area of revenue and if you lock down economy, we cannot talk of generating more income and the capacity would have reduced and so we have to rely on stakeholders,” he said.