CIBN Advocates Import Substitution for Increased Revenue

Gilbert Ekugbe

The Chartered Institute of Bankers of Nigeria (CIBN) has stressed the need for Nigeria to boost productive sectors of the nation’s economy in its quest to reduce importation and increase its revenue base.

The president, CIBN, Dr. Ken Opara, at the 2023 edition of the Bankers Night tagged, “Exchange Rate Unification: Glocal implications for Households, Organisation and the Country,” explained the urgent need for Nigeria to look inwards to meet most of its import needs to reduce dependence on foreign exchange for importation.

“We need to support the real sector and ensure that we are not just importing what we ought to produce locally. We must begin to look inwards for import substitution. We need to begin to look at things we can produce locally to reduce our dependence on foreign exchange and imports and once we do that, we will be able to earn foreign exchange market and increase our revenue base as a nation,” he said.

He, however, refuted reports saying that the institute is against the Central Bank of Nigeria’s (CBN’s) unification policy, stressing that Institute has thrown its full weight behind the policy.

“We applaud the reform especially as it relates to the exchange rates. We have seen that the effort initiated by CBN is already yielding dividends. We can see that the exchange rate between the naira and the dollar is already coming down. It is a good initiative and a market driven model. As people who operate in the banking community, we have always advocated for a free market, “he added.

Also speaking, Founder & Chief Consultant B. Adedipe, Dr. Biodun Adedipe, advised that to boost the economy, more attention should be given to strengthening domestic manufacturing, export and also anchor the economy around either a sector or an activity. 

He cited countries like Indonesia, Dubai Germany, Russia, China etc; that anchored their economy around a particular sector or product or activity and is thriving. 

“So when you do that it means all your effort in terms of investment in infrastructure, incentives of all manners will be anchored on that activity or sector, “he said.