Expert cautions against mass retrenchment

By Moses Ebosele – 
  AN economist, Matthew R. Otoide has challenged the Federal Government to ‘do everything within its power’ to stop ongoing retrenchment across the country.
 In a chat with City BusinessNews, Otoide explained that the development if not curtailed, “will erode dwindling confidence in the nation’s economy”.
   He said: “We need to act fast. Unfortunately, the Government is not fast enough. We have a serious crisis on our hands.
 “Government policies are not clear enough. Confidence is dwindling every day. The Federal Government needs to act fast. The first thing to do is to make sure people are not thrown out of their jobs anymore. It will make the situation worse”.
 Meanwhile, the International Monetary Fund (IMF) has predicted that Nigeria’s economy may contract by 1.8 per cent this year as against its forecast in April that it would record an expansion of 2.3 per cent.
 IMF explained that a combination of factors such as plunging oil revenues and weakened investor confidence may push Nigeria into recession.
 “In 2016, regional output growth will fall short of population growth, implying declining per capita incomes,” said IMF.