With the Coronavirus still raging and ravaging societies, speakers at the Lagos State University’s 7th virtual lecture have advised Nigeria and the world at large to put in place an enduring structure to cushion the effects of the economic downturn caused by the novel disease.
Speaking at the lecture entitled, “COVID-19: Lockdown blues and diagnostics”, Dr. Roseline Oluitan, of the Department of Banking and Finance in the university, noted that there would be after effects on the world economy due to the shutdown but only countries and economies that had something to fall back on would not feel the impact.
She said from statistics, financial institutions in Nigeria and around the world felt the adverse effects of the global pandemic.
“Agriculture is a very important part of any society. The manufacturing sector must be up and running. The liquidity resilience of the country is another thing,” she said.
She stated that immediately the lockdown was eased, the massive and unending queues at most banks were pointers to the level of liquidity in the country.
Oluitan berated the Federal Government for sidelining the financial institutions during the cash transfer to vulnerable Nigerians.
She said that if the financial institutions were involved, it would have added to the liquidity process.
To withstand the shock that would come as a result of COVID-19, the don advised that governments at all levels must strategise and redirect efforts towards agriculture, manufacturing, services as well as value chain.
She frowned on the present practice where Nigeria’s oil, through the refining of crude outside the country, contributes to the profit and Gross Domestic Products of other countries.
“To get out of this quagmire, there must be availability of long-term funds for organisations, improvement in the value chain system, availability of bank services and products to individuals. Nigeria’s response after the COVID-19 crisis will determine her economic success,” she said.
For Dr. Folusho Jayeoba, the total or partial lockdown by governments, companies, organisations and institutions led to job loss, even in Nigeria.
According to him, working from home is a new norm, which people are trying to adhere to.
Going forward, he suggested that with the new paradigm shift, employers must collaborate with health authorities and employees must adapt and be familiar with working from home and they must embrace change through technology.
He, however, advised governments “to think and act globally, protect businesses, especially small-scale, with intervention funds, just like what Lagos State Government is doing.”
