Economy Is On The Right Track -Jonathan Campaign Group


The Jonathan/Sambo Presidential Campaign Organisation has reiterated that the Nigerian economy remains on a strong path of growth.

The Campaign Organisation was reacting to a recent alarm raised by former Vice President Atiku Abubakar on the state of the Nigerian economy.

The former Vice President who is contesting against President Jonathan for the ruling party presidential ticket for the 2011 elections had recently raised alarm about the continuous depletion of the nation’s foreign reserves and the implication for the country’s economy.

As if in confirmation of the anxiety expressed by Atiku, Fitch Ratings last Friday also lowered its sovereign credit outlook on Nigeria to negative from stable, citing the depletion of its windfall oil savings and heightened political uncertainty ahead of elections next year as major reasons.

According to the global rating agency, continued withdrawals from the excess crude account (ECA), into which Nigeria saves crude oil earnings above a benchmark price, and lower forex reserves were a threat to economic stability.

“The depletion of the ECA and continued gradual fall in international reserves at a time of high oil prices and record high oil production is a major concern,” sovereign ratings analyst Veronica Kalema said in the statement.

“In addition, elections in the first half of next year have increased short-term political uncertainty,” she said.

But in its reaction, the Jonathan/Sambo Group said there is “no cause for alarm on the economy”.

In a press release signed by Sully Abu, its Director of Media and Publicity, the Jonathan/Sambo Campaign Group also accused the former VP of maintaining his “drumbeat of doom and gloom on the state of the economy”.

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The Campaign Group however insisted that the Nigerian economy remains of the path of growth as the fundamentals remains strong both at the short and the long term inspite of the Fitch rating.

The group also affirmed that the administration of President Jonathan is committed to growing the economy of Nigeria with the on going massive investments in the power sector.

” We want to reiterate that the

fundamentals of the nation’s economy remain promising on the short term and the long term.

“Fitch or not, the economy remains on the path of strong growth.

“The government is committed to growing the economy in such a way that the results of the current massive investment in infrastructure especially power will be there for all to see.

By Oluokun Ayorinde/Abuja

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