Economists, Prof. Ken Ife and Mr Eze Ubiji, have urged the Federal Government to prioritise agriculture and reduce domestic production costs to improve living standards.

They made the call in separate interviews with the News Agency of Nigeria (NAN) on Sunday in Lagos.

The economists said translating macroeconomic gains into improved living conditions required targeted interventions in agriculture, affordable financing, electricity supply and critical infrastructure.

Ife, President of the Institute of Professional Economist and Policy Management, acknowledged significant successes in Nigeria’s macroeconomic reforms, recognised by international financial institutions and rating agencies.

“However, the gains from the economic reforms are yet to reflect in our living standards,” he said.

He urged the government to address food insecurity by tackling agricultural production challenges, reducing post-harvest losses and improving the transportation of farm produce.

Ife said Nigeria’s substantial food production capacity was undermined by inadequate mechanisation, poor agronomic practices and insufficient infrastructure for preserving and distributing agricultural produce.

He cited cassava, yam, plantain and cocoyam among the country’s major food crops, lamenting that substantial quantities were lost before reaching consumers.

According to him, Nigeria produces more than 200 million metric tonnes of food, but over 50 per cent is wasted because of post-harvest losses.

He attributed the losses to inadequate mechanisation, which limits productivity, as well as poor farming practices and insufficient transportation facilities.

Ife particularly identified the inadequate railway network for moving agricultural produce as a major obstacle to reducing food distribution costs.

He said rail transportation accounted for about five per cent of the movement of agricultural produce, leaving road transport to bear much of the burden.

The economist argued that expanding rail services would reduce transportation costs, minimise waste and improve the availability of food in domestic markets.

He also identified rising diesel prices as a major constraint on domestic production, particularly for manufacturers of fast-moving consumer goods (FMCGs).

According to him, high energy and operating costs weaken manufacturers’ capacity to produce.

Ife urged the government to leverage increased crude oil earnings to ease the financial burden associated with domestic production.

“Since the country is earning more from increased crude oil prices, the government should offset its about 3.3 billion dollars loans from the African Export-Import Bank (Afreximbank),” he said

He argued that addressing the loans would create room for the government to provide crude oil to local refineries at more subsidised rates.

“Then the government is free to supply adequate crude to local refineries at a more subsidised rate to ameliorate the cost of domestic production and check the economic hardship,” Ife said.

He said cheaper energy and improved agricultural logistics would help businesses lower operating expenses and make essential goods more affordable to Nigerians.

The economist’s recommendations come amid continuing concerns over the extent to which Nigeria’s economic reforms have translated into tangible improvements in household welfare.

On his part, Ubiji, Executive Secretary of the National Association of Small and Medium Enterprises (NASME), identified affordable credit as critical to supporting small businesses.

He said access to financing on favourable terms would enable Small and Medium-sized Enterprises (SMEs) to sustain operations, expand production and contribute more effectively to economic growth.

“The government should replicate its economic prosperity through disbursing credit facilities at a long-term moratorium to help the SME sector,” Ubiji said.

He noted that many small businesses had struggled with the economic hardship associated with the government’s reforms.

“Considering that most SMEs have been grappling with the economic hardship caused by government reforms, affordable financing is essential,” he said.

Ubiji stressed that credit facilities should provide businesses with sufficient time to stabilise their operations before repayment obligations became due.

He said accessible financing would help entrepreneurs manage operating expenses, invest in productive capacity and maintain business activities despite prevailing economic pressures.

The NASME executive also called for urgent improvements to critical infrastructure, particularly electricity supply, to reduce the cost of doing business.

He urged the government to ensure that electricity became more available and affordable in small-business clusters across the country.

“Government should ensure electricity is more available and affordable in most SME clusters across the country.

“This will enable the sector to operate at a lower cost and contribute adequately to the country’s economic growth,” Ubiji added.

He said addressing infrastructure deficiencies alongside financing constraints would strengthen SMEs’ capacity to support employment, domestic production and broader economic development.

NAN reports that the economists’ recommendations highlight the importance of complementary policies to ensure that macroeconomic reforms deliver practical benefits to businesses and households.

While Ife emphasised agriculture, food preservation, transportation and affordable energy, Ubiji focused on credit access and infrastructure improvements for small enterprises.

Both economists maintained that reducing production costs would help businesses operate more efficiently and improve the affordability of goods and services.

NAN recalls that President Bola Tinubu recently declared that Nigeria had entered a new phase of economic development, saying the country was moving from reform toward prosperity.

In his Independence Anniversary address, Tinubu said, “the age of reform has done its work” and that “now begins the age of prosperity.

The President said Nigeria was approaching the next phase “from a position of strength”, citing what he described as a correction in the economy’s fundamental direction.

He said his administration had confronted difficult choices and laid the foundations for lasting prosperity.

However, the economists’ calls underscore the need for the government to translate the claimed macroeconomic gains into lower production costs, stronger businesses and improved living standards.