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Reps Committee tasks DMO on economic recovery

By on February 16, 2016

Members of the House of Representatives Committee on Aids, Loans and Debt Management, using the instrumentalities of the Debt Management Office (DMO) Nigeria  will  come out of the current  economic challenges.

The Chairman of the Committee, Honourable Adeyinka Ajayi, who led members of the committee on a familiarisation visit to the DMO in Abuja last week said  the  DMO is  the engine room of the nation’s economy that  is  always expected to provide sustainable debt management models for the overall prosperity of the country.

“While acknowledging the crucial role the DMO has continued to play in the management of the country’s economy, this visit is significant and historic. The DMO is the engine room of the Nigerian economy whose initiatives have often prevented the economy from going into recession,” Ajayi said.

He noted that  with the “current stiff challenges facing the country as a result of the sharp decline in revenues from the sale of crude oil, the DMO is once again, expected to play a pivotal role in the effort to steer the economy out of trouble.”

Earlier in his welcome address, the Director General of DMO, Dr. Abraham Nwankwo thanked the chairman and members of the committee for “the special favour of coming to be with” them and expressed the DMO’s appreciation of the invaluable support and deep collaboration it has always enjoyed from the committee, which he said has taken the DMO through turbulent times in the nation’s recent economic experience.

In his presentation titled ‘Brief on the Mandate and Activities of the Debt Management Office, Nwankwo traced the  history of  DMO and outlined the milestones achieved by the office since its inception.

He reviewed the successes recorded by the DMO in revamping the hitherto moribund domestic debt market and the successful launch of the Nigerian flag in the International capital market with its debut $500million Eurobond issuance in 2011 and subsequent issuances in 2013 to raise funds towards financing the deficits in the national budget.

Citing the successful programme through which the DMO assisted the 36 States of the Federation and the FCT to establish their own Debt Management Departments (DMDs) and the novel fiscal stabilisation intervention  which saw to the restructuring of the debts owed to  commercial banks by some States into long tenured bonds, the DG stressed the need for Nigerians to face the reality that oil boom was over and may not reoccur anytime soon and should be making wise decisions to invest in infrastructure, revamp agriculture, improve power supply and focus on the real sector. This, he said, would make the economy more productive and competitive.

 

[ThisDay]