The Federal Government Unveils Integrated Economic Strategy to Tame Inflation and Boost Growth

The Federal Government, in partnership with the Central Bank of Nigeria (CBN), has introduced a comprehensive economic framework aimed at reducing inflation, accelerating growth, and doubling household incomes. Known as the Dis-Inflation and Growth Acceleration Strategy (DGAS), the initiative represents a new phase in President Bola Tinubu’s economic reform agenda.

Announced at the 2025 Annual Executive Policy Seminar organized by the CBN in Abuja, the strategy seeks to lift GDP growth above 7%, return inflation to single digits, and align fiscal and monetary policy actions to deliver sustainable economic transformation.

Minister of State for Finance, Doris Uzoka-Anite, described DGAS as a unified framework designed to harmonise fiscal spending and central bank policy around shared macroeconomic objectives. She said the approach marks a shift from fragmented policy interventions to a cohesive national growth agenda.

“What Nigeria needs at this stage is a unified framework that integrates both monetary and fiscal levers to drive non-inflationary growth and structural transformation,” Uzoka-Anite stated.

The framework will operate through a single-window execution platform, bringing together development finance, private capital mobilization, and project performance management. This structure aims to enhance coordination between the Ministry of Finance and the CBN, ensuring policy coherence and accountability in execution.

Capital Mobilisation and Industrial Replication

A key pillar of DGAS focuses on deepening capital formation and encouraging long-term financing. The government plans to attract investment through diaspora funds, global institutional partnerships, and guarantee-backed mechanisms that reduce dependence on volatile short-term inflows.

Uzoka-Anite highlighted the importance of replicating industrial success stories such as the Dangote Refinery across sectors to expand job creation, boost tax revenues, and transfer wealth within the economy.

“If we replicate the Dangote Refinery model in multiple industries, we will generate large-scale employment and drive inclusive prosperity,” she said.

The strategy also prioritises energy diversification, targeting expansion in oil, gas, hydro, solar, wind, biomass, and hydrogen to power industrial output. DGAS aligns with global carbon market mechanisms to attract green investment and support Nigeria’s transition toward a sustainable energy mix.

In human capital development, the government aims to enrol 10 million young Nigerians annually in vocational and technical programmes linked to priority sectors, turning demographic growth into productive capacity.

Revitalised Credit System and Regulatory Reforms

DGAS will also introduce a restructured consumer credit system to strengthen financial inclusion and domestic demand. The initiative will enable citizens to access financing for housing, education, healthcare, and other essential needs, transforming households into active participants in economic growth.

To enhance competitiveness, the Federal Government plans to review and streamline regulatory frameworks across agencies, potentially eliminating up to 40% of existing regulations that impede enterprise and investment.

CBN’s Role in Policy Credibility

CBN Governor Olayemi Cardoso reaffirmed the apex bank’s commitment to working closely with fiscal authorities to implement DGAS effectively. He underscored that restoring price stability remains central to the Bank’s mandate, adding that credible inflation targeting would improve predictability and investor confidence.

“Investors are drawn to predictability,” Cardoso said. “Once we stabilise fundamentals and sustain the right policy mix, investor participation will naturally follow.”

Cardoso also reiterated that the CBN would continue reforms to strengthen institutional credibility and human capital while avoiding unsustainable fiscal practices that previously distorted macroeconomic stability.

Outlook

DGAS represents a structural shift in Nigeria’s economic management, integrating fiscal and monetary coordination to achieve balanced, inclusive, and sustainable growth. If effectively implemented, the strategy could reposition Nigeria as a more stable, investment-friendly economy with a stronger foundation for long-term prosperity.