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The Democratic Front (TDF) has welcomed the recent assessment of Nigeria's economy by the International Monetary Fund (IMF), describing the report as largely positive about the reform agenda of President Bola Ahmed Tinubu's administration.
However, the group argued that the increase in Nigeria's poverty rate to 61 per cent, as referenced in the IMF statement and based on World Bank data, should not be directly attributed to the current administration's economic reforms.
In a statement signed by its Chairman, Mallam Danjuma Muhammad, and Secretary, Chief Wale Adedayo, TDF noted that the IMF acknowledged that about three-quarters of the increase in poverty—from 40 per cent to 61 per cent—occurred between 2019 and 2023, before President Tinubu assumed office.
According to the group, the period coincided with the aftermath of the COVID-19 pandemic, which severely disrupted economic activities, weakened household incomes and affected national cash flow through supply chain disruptions.
"The increase in poverty to 61 per cent, as reported by the World Bank and referenced in the IMF assessment, was largely not a direct consequence of the Tinubu administration's Renewed Hope reforms, but rather the economic fallout from the COVID-19 pandemic that negatively impacted livelihoods across the country," the statement said.
TDF also pointed to external factors affecting Nigeria's economic outlook, particularly the ongoing tensions in the Middle East.
The group maintained that before the escalation of hostilities involving Iran and the resulting disruption of global energy markets, the Tinubu administration's reforms had begun to yield positive results, including relative stability in petroleum prices and improvements in the foreign exchange market.
It argued that the government's economic reforms helped cushion the country against emerging global shocks, especially in a nation where fuel prices significantly influence the cost of living.
According to TDF, Nigeria's economic situation could have been more challenging without the reforms already implemented by the administration.
The group further cited recent assurances by the Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, regarding the government's commitment to ensuring that the benefits of economic reforms translate into improved living conditions for Nigerians.
As evidence of that commitment, TDF highlighted the Federal Government's recent approval of more than N700 billion for payments to 1,240 local contractors, saying the move would stimulate economic activities, improve cash flow and strengthen the supply chain.
The group expressed optimism that ongoing reforms, combined with targeted government interventions, would deliver long-term economic benefits and support broader national development.