Read Now Balance of trade deficit, the facts (A Nigeria case study) RTF
‘Importation ends employments and market prices of commodities are at the mercy of the exporter’s prices in dollar rate. Deficit in budget and trade is a common feature in a poor economy. This is an indictment on the apex bank managers from the governor to the committees including the national economic intelligence team. By studies, all have failed to be functional in their primary duties especially in the management of the reserves and the circulating liquidity in the nation. There are reasons why the nations, despite the vast deposit of resources, human and non-human, minerals and climatic resources with rising external reserves in dollars, cannot produce enough to meet the local consumption’ wrote Amusa Abdulateef. The three Ls, loans, land and labour and the two Ms materials and machines are the factors needed to boost domestic and exports markets. Nation must be able to have food and raw material security before such thinks on exports markets. The author critically looked into the positions of all the factors, those in control and spanner in the wheel to raise outputs and the sources of funding the sectors and budgets without borrowing either commercial or concessionary loans. The profit repatriation policy, the cash cow auditing, graft elimination, prevention of theft, the use of idle funds among other burdens on the apex bank are some of the ways of funding the investments hence the national outputs. He also delved into how each is affecting the economy of the nation especially in the area of balance of trade deficit with the below performance of the regulatory institutions. By his studies, tools of the apex banks are wrongly used to perform the oversight functions on the conventional banks. It was made crystal clear from the book that the private investors in the banking sectors commit economic and financial crimes that are affecting the national output and the pace of economic activities. Author Amusa Abdulateef identified the reasons for rejections of the locally made goods and the human resources from the schools with their adverse effects on the value of the legal tender. He further wrote ‘There is no balance of trade, deficit or surplus without state of economy. An economy that is productive of products of international best standard with right attractions in foreign economic policies to enter the global market shall have trade surplus vice versa’. The author wrote verbatim ‘Nations are suffering from imbalance of trades simply because the domestic production as well as the patronage of the local products and services is low as a result of non-challant attitudes and incapability of the financial resources managers. The economy that is economic-dependent on imports from abroad has exposed the legal tender into an ordinary paper that has no store value. By these, the book looked into the SWOTs and other factors that would promote the economy to be healthy and grow steadily. The contents of the book further identify the low use of the resources to meet the right standard as a result of inability to control the rising inflation of raw materials pushing up the costs of productions. The low earners among nations are mostly importing nation. The low income results into low per capita income and the suffering of the people that would continually wallow in abject poverty. The book unveils what can be done to improve all the sectors of the economy and halt monolithic economic system. It simply proffered solutions shall help the economic think tanks and the executives on how to enjoy accolades from all administrators and the populace which shall make them rise to the podium for awards of high performance from increasing the productivity levels across the sectors’.
