She will assume the role of the inaugural Gregory and Ania Coffey Professor of Economics in Harvard’s Department of Economics.

Confirming her departure in an official statement on Monday, Kristalina Georgieva, IMF managing director, recognised Gopinath outstanding contribution to the fund.

“Gita has been an outstanding colleague, an exceptional intellectual leader, dedicated to the mission and members of the Fund, and a fabulous manager, always showing genuine care for the professional standing and wellbeing of our staff.

“She came to the Fund as a highly respected academic in macroeconomics and international finance. Admiration for Gita only grew through her time at the Fund, where her analytical rigour was paired with practical policy advice to the membership during an especially challenging period, which included the pandemic, wars, the cost-of-living crisis, and major shifts in the global trading system.”

She also highlighted Gopinath’s strive for the highest standards of rigorous analysis while steering the fund’s analytical and policy work, especially at a time of high uncertainty and a changing global economic environment.

Gita Gopinath expressed her appreciation to the fund for the opportunity to serve during a period of uncertainty and global economic challenge, while looking forward to returning to her roots in academia.

Gita Gopinath, who first arrived at Harvard University as a visiting professor in 2005, left Harvard to join the fund in 2019 and was named the first female chief economist, and was later promoted to the fund’s first managing director in 2022.

Speaking at the opening of the IMF-supported Headquarters Mission at the Revenue House in Abuja, Paulo Paz, a senior economist at the IMF Fiscal Affairs Department, commended FIRS for its implemented reforms and reaffirmed the Bretton Woods institution’s backing for the new tax reform laws.

“We want to know how we can best support you with this new challenge. Our take on the four tax laws is, first, a recognition of the outstanding work that FIRS has been providing to the citizens.

“You have at the same time the recognition and new responsibilities with these very powerful laws, which will increase the relevance of the tax administration in Nigeria. I want to express our honour of being here and being a partner of FIRS. Thank you for your trust in our advice. We congratulate you on the good results so far. There is more to come, and we are here to help.”

Zacch Adedeji, chairman of FIRS, represented by his Chief of Staff, Tayo Koleosho, extended gratitude to the IMF for its continuous support, particularly noting the collaboration on digital transformation, VAT automation, and compliance automation.

In her remark, Bolaji Akintola, coordinating director, Corporate Services Group at FIRS, acknowledged the IMF’s pivotal role in the FIRS tax reforms aimed at boosting Nigeria’s domestic revenue.

She noted that with the IMF’s support, the FIRS conducted two systematic evaluations in 2018 and 2023 using the Tax Administration Diagnostic Tool (TADAT) to identify weaknesses.

Some of these identified issues have since been addressed in the four tax reform laws signed by President Bola Tinubu.

According to the IMF report derived from the Staff Report for the 2025 Article IV Consultation with Nigeria, released on Monday, the Fund highlighted that while recent reforms are beginning to yield results, poverty and food insecurity remain high in the country.

“While progress has been encouraging, significant challenges remain. Inflation still exceeds 20 percent. Poor infrastructure, especially for electricity, inhibits economic activity. Poverty and food insecurity remain high. Nigeria lacks an effective social safety net to cushion the impact of shocks on the most vulnerable,” IMF said.

It stressed that the country needs to focus on three key priorities. First, the country needs to make growth more inclusive by scaling up the existing cash transfer system.

It highlighted that this is necessary as the country needs stronger and more sustained growth to lift millions out of poverty and food insecurity.

The second priority focuses on the country establishing an effective budget framework as delivering effective investments in people requires realistic budget assumptions, strong expenditure management, and transparent implementation and reporting which will help strengthen accountability.

Third, it emphasized a continued increase in domestic revenues, citing Nigeria’s substantial funding needs in growth-enabling areas like agriculture, infrastructure, electricity, and climate adaptation.

Noting that the government’s tax reforms will make it easier to pay taxes and ensuring that all tax debtors pay.

It acknowledged the current administration’s bold reforms over the last two years noting that since the implementation of these reforms, the international reserves increased, there has been better access to foreign exchange in the official market, and there have been recent upgrades by rating agencies.

However, it emphasized the need for continued reform for the country to achieve its full potential and ensure inclusive growth.

Addressing the downside risks highlighted in the International Monetary Fund (IMF) Article IV Consultation report, Wale Edun emphasised that the implementation of the 2025 budget is being carried out with a focus on safeguarding reforms and ensuring economic stability.

The Minister expressed appreciation for the IMF’s recognition of the Federal Government’s ongoing reforms and the notable progress achieved over the last two years.

Highlighting that the reforms have contributed to notable improvement in the country’s fiscal and external positions, bolstering investor confidence, and strengthening the resilience of the economy.

Minister Wale Edun acknowledged the Fund’s recognition of growth in the agricultural sector, especially the rise in food production, which has helped ease inflationary pressures.

He noted that the inflation in the country has improved, declining lower than the figures reported during the IMF mission in April, as the headline inflation eased to 22.9%, while food inflation also declined to 21.4% in May.

Highlighting the impact of Nigeria’s economic reforms, he cited the IMF’s positive outlook as evidence of the country’s growing resilience to external shocks.

These reforms, which include the unification of the exchange rate, fuel subsidy removal, and a boost in non-oil revenue, have strengthened macroeconomic stability and restored investor confidence.

He reiterated the government’s commitment to ensuring sound economic management, macroeconomic stability, and an improved standard of living for all Nigerians.

This projection, revealed in the bank’s latest Global Economic Prospects Report released on Tuesday, places its forecast above that of the International Monetary Fund (IMF)

Despite revising down growth forecasts for nearly 70% of economies globally, the World Bank has maintained its earlier 3.6% projection for Nigeria.

This stability is attributed to monetary policy tightening, aimed at addressing currency depreciation and inflation, which is expected to drive economic expansion.

“Growth in Nigeria is forecast to strengthen to 3.6% and to an average of 3.8% in 2026-27. Following monetary policy tightening in 2024 to address rapid currency depreciation, inflation is projected to decline gradually. 

“Domestic reforms have helped spur investment, supporting growth in the services sector, especially in financial services and information and communication technology.”

The World Bank further predicts an improvement in Nigeria’s growth rate, reaching 3.7% and 3.8% in 2026 and 2027 respectively.

Global, the bank has lowered its growth forecast to 2.3% in 2025, a 0.4% reduction from its January prediction. Despite these cuts in global growth, the World Bank does not foresee the global economy entering a recession.

It also highlighted that sub-Saharan African countries face minimal exposure to any escalating trade tensions between the United States and China, as the region exports relatively few raw commodity goods to the U.S.

This 3.6% growth forecast from the World Bank is a divergence from the IMF’s revised projection for Nigeria, which stands at 3.0% for 2025. This difference reflects varying assessments of the country’s economic prospects.

While the IMF’s decision was reached amidst escalating global trade tensions and uncertainty in the crude oil sector, Nigeria’s major source of revenue, the World Bank looked at reforms and monetary tightening policies driving positive growth in the country.

The council, established by IMF Managing Director Kristalina Georgieva, is tasked with shaping global policies that drive innovation and economic expansion.

Elumelu’s appointment places Africa’s entrepreneurial ambitions at the centre of high-level economic discussions. 

A fierce advocate for entrepreneurship, he has long led private sector-led development across the continent. Through his Tony Elumelu Foundation, over 25,000 African entrepreneurs have received funding, mentorship, and training since 2015. 

His philosophy of Africapitalism—the belief that Africa’s private sector must spearhead the continent’s transformation—aligns closely with the council’s objectives.

The IMF Advisory Council is a heavyweight gathering of business leaders, policymakers, and academics. Members include Salesforce co-founder Marc Benioff, Vodafone Group CEO Margherita Della Valle, Tata Group chairman Natarajan Chandrasekaran, and Vista Equity Partners CEO Robert Smith. 

Others on the list are Argentine Minister of Deregulation and State Transformation Federico Sturzenegger, University of Chicago economist Ufuk Akcigit, Saudi Ambassador to the U.S. Reema Bandar Al-Saud, and Banco Santander’s executive chair Ana Botín.

Speaking at the council’s inaugural meeting on 26 March 2025, Kristalina Georgieva said: “The Council brings together a group of leading thinkers and practitioners in business, finance, academia, and policymaking to share their views and experiences on how macroeconomic and financial policies can provide a supportive environment for innovation, entrepreneurship, and productivity—key ingredients for a thriving private sector and strong economic growth.”

For Elumelu, this will help push Africa’s business agenda globally. His influence, combined with his deep-rooted belief in sustainable investment, will ensure discussions on removing barriers to entrepreneurship. 

According to the latest IMF Regional Economic Outlook (REO) for sub-Saharan Africa, entitled, “Reforms Amid Great Expectations,” the multilateral lender which projected a 3.2 per cent GDP growth for Nigeria in 2025, said ongoing reforms in the SSA region were bearing fruits, although macroeconomic vulnerabilities persist.

Based on the report, GDP headline inflation is expected to continue on a downward trajectory.

“The regional GDP-weighted headline inflation is projected to decline substantially, from 18.1 per cent in 2024 to 12.3 per cent in 2025, with significant decreases

“In Angola, Ghana, and Nigeria. median inflation will decline slightly, from 4.7 per cent to 4.5 per cent. However, inflation will remain substantially higher in oil exporters than in the rest of the region.

Angola, Cameroon, Chad, Congo,  Equatorial Guinea Gabon, Nigeria, and South Sudan are oil exporting countries in Sub-Saharan Africa. Nigeria’s inflation rate for September 2024 stood at 33.4 per cent.

The report stated that policy adjustments have helped reduce internal and external imbalances as policymakers have tightened monetary policy to curb inflation.

The IMF explained that as a result of the measures, inflation is declining in most countries,  adding that in about one-half of countries, inflation is already below or within the target band.

According to the IMF, fiscal consolidation efforts are helping to rebuild buffers and ensure debt sustainability.

More than two-thirds of countries have consolidated their fiscal accounts in 2023, with the median primary fiscal deficit narrowing by 1.3 percentage points of GDP (including notable improvements in Côte d’Ivoire, Ghana, and Zambia among others).

Noting that Sub-Saharan Africa is navigating a complex economic landscape marked by both progress and persistent macro-economic vulnerabilities,   it pointed out that countries in the region were trying to implement difficult and much-needed reforms to restore macroeconomic stability in the aftermath of repeated negative shocks and the ensuing need for support.

Overall, internal and external imbalances have started to narrow, mainly reflecting policy adjustments, but the picture is varied; about one-half of countries still exhibit high imbalances, the IMF said.

While monetary tightening has curbed inflation, which is within target in about half of the region, it added that significant fiscal consolidation has stabilised the average debt-to-GDP ratio, albeit at a high level.

This adjustment, detailed in the latest World Economic Outlook, reflects weaker-than-expected economic activity in the first quarter of the year.

The IMF highlighted that this revision also impacts the broader Sub-Saharan Africa growth outlook, which decreased from 3.8 per cent to 3.7 per cent.

The Fund also urged countries facing high inflation, including Nigeria, to adopt tighter monetary policies to stabilise their economies.

In April, the IMF had earlier projected Nigeria’s growth to be 3.3 per cent in 2024, but lowered its forecast to 3.1 per cent in July.

The report was presented by Pierre-Olivier Gourinchas, IMF’s economic counsellor and director of Research, during a press conference unveiling the World Economic Outlook (WEO) at the ongoing IMF/World Bank annual meetings in Washington, D.C.

Gourinchas emphasised the importance of balancing monetary and fiscal policies to address inflation and debt challenges in affected regions.

The IMF stressed the need for governments to strike a delicate balance between curbing inflation and providing necessary support to vulnerable populations. Using Nigeria as an example, Gourinchas explained, “Fiscal consolidation becomes difficult when governments must also allocate resources for relief efforts, such as responding to flooding or supporting the poor and vulnerable.”

Debt sustainability remains a persistent issue across the region.

“Although some progress has been made in controlling debt, it is still too high, and the debt service burden remains significant,” Gourinchas added.

He expressed optimism, however, that the region could make further strides toward stabilising its economies if the right policy mix is maintained.

The IMF’s recommendations reflect its broader strategy of using monetary tightening as a tool to combat inflation while urging fiscal prudence.

“The challenge is immense, but there has been some progress over the past year,” Gourinchas remarked. “The key now is for countries to remain committed to these reforms, even though the road ahead may be difficult.”

The IMF/World Bank annual meetings have brought together policymakers and financial experts from around the globe to discuss strategies for addressing the economic headwinds facing both developing and developed nations.

For many African countries, particularly those battling inflation and high debt levels, the IMF’s guidance could play a critical role in shaping their policy responses in the coming months.

“In countries where inflation is very high, we recommend a tight monetary policy stance. In some cases, when possible, fiscal consolidation can help, though this is complicated by trade-offs many nations face,” he said.

The IMF highlighted Sub-Saharan Africa as a region of particular concern.

According to the WEO report, the region’s economic growth rate is expected to remain steady at 3.6 per cent this year, with projections showing a modest rise to 4.2 per cent next year. Despite these improvements, the economic landscape remains challenging due to weather-related shocks and conflicts.

“Growth in the region is subdued and uneven,” Gourinchas noted. “Weather shocks and conflict have affected several countries, and inflation, although stabilising in some places, still poses significant challenges.” He pointed out that while some nations are seeing inflation decline and approach target levels, about one-third of the countries in the region continue to struggle with double-digit inflation.

Weeks of flooding killed hundreds of Nigerians earlier in the year, washing away homes and farmlands and further threatening food supplies, especially in the hard-hit northern region.

The floods were mostly attributed to poor infrastructure and dams, killing 185 people and displacing 208,000 in 28 of Nigeria’s 36 states, according to the National Emergency Management Agency.

Unrest in the nation’s Niger Delta region has equally impacted oil production, Nigeria’s main source of revenue.

The report noted that global growth is expected to remain stable yet underwhelming in the year.

“However, notable revisions have taken place beneath the surface since April 2024, with upgrades to the forecast for the United States offsetting downgrades to those for other advanced economies, in particular, the largest European countries.

“Likewise, in emerging markets and developing economies, disruptions to production and shipping of commodities—especially oil—conflicts, civil unrest, and extreme weather events have led to downward revisions to the outlook for the Middle East and Central Asia and that for sub-Saharan Africa.

“These have been compensated for by upgrades to the forecast for emerging Asia, where surging demand for semiconductors and electronics, driven by significant investments in artificial intelligence, has bolstered growth, a trend supported by substantial public investment in China and India. Five years from now, global growth should reach 3.1 per cent—a mediocre performance compared with the pre-pandemic average.”

As global disinflation continues, the IMF said services price inflation remains elevated in many regions, pointing to the importance of understanding sectoral dynamics and calibrating monetary policy.

With cyclical imbalances in the global economy waning, near-term policy priorities should be carefully calibrated to ensure a smooth landing, it said.

“At the same time, structural reforms are necessary to lift medium-term growth prospects, while support for the most vulnerable should be maintained. Chapter 3 discusses strategies to enhance the social acceptability of these reforms—a crucial prerequisite for successful implementation.”

The multilateral institution also urged the federal government to address governance and business regulation bottlenecks to grow the economy at five to eight percentage points annually.

Dr. Christian Ebeke, IMF Resident Representative for Nigeria, gave the advice On Tuesday in Lagos at the “Lagos Chamber of Commerce and Industry (LCCI) International Business Conference and Expo 2024, Invest Nigeria”.

In his presentation, titled, “Nigeria Must Stay the Course on Reform Agenda,” Ebeke stated that the country was faced with acute policy trade-offs that stemmed from inherited imbalances.

He added that Nigeria’s outlook was predicated on strong policies since “higher and durable growth required macro stability and further reforms”.

He said IMF believed that Nigeria’s economy was currently turning the corner, but warned that the country must sustain the bold reforms.

According to him, reforms in governance and business regulations can lift Nigeria’s output by 6.4 per cent in the next three years.

Ebeke said,

“When we look at Nigeria, it is always better to compare it with what it aspires to be, which is to be a large emerging market nation.

“So, we want to compare Nigeria with India, China and Indonesia. We strongly believe that this is where Nigeria should be.

“But you can see that governance and business regulation remain something that needs to address. Compared to other emerging markets, governance remained a challenge in Nigeria. At different levels, it could be corruption, rule of law or other governance indicators. The same thing can be said for business regulation.

“Over the last decade, there has not been enough progress in reducing the gap between Nigeria and other emerging markets in terms of governance and business regulation.

“Governance and business regulation are where more actions are still needed.”

Ebeke asserted that Nigeria could lift its economic output by 6.4 percent if it could do the type of reforms India and other emerging market countries did, simply by reducing the gaps in governance and business regulation by 25 per cent.

He stated, “If you divide this six by three, you will have an additional two percentage points of growth. Right now, Nigeria is growing at three per cent. It means that this country can grow at five per cent by simply reducing the governance bottlenecks and the business regulation bottleneck by just 25 percent only.”

He added that if Nigeria could deepen the reform further to 50 per cent, the country would enjoy much more growth dividend that would be 12 percentage points higher.

The IMF country representative said, “Nigeria needs to grow at least by five or eight per cent every year, above the population growth. This is good for businesses and this is a particular growth in a period when interest and inflation rates are high.

“In our (IMF) recent research that we have done, we see a case for structural reforms. What it has shown is that when you start looking closely at where Nigeria lacks behind vis-a-vis other emerging markets, there are issues, such as governance and business regulation that need to take precedence.

“Closing these gaps will trigger much durable growth acceleration and more inclusive growth also in Nigeria”

According to him, Nigeria faces acute policy trade-offs resulting from inherited imbalances, which informed President Bola Tinubu’s seriousness in reforming the economy.

Ebeke said, “When we look at Nigeria, we have to look at the history at least over the past 10 years. Most of the red indicators are the result of inherited policies that exasperated the balances.

“So, last year was a moment of clarity for policymakers and they rightly took significant reforms to change the path for the economy.”

In his address at the conference, the governor of Lagos State, Mr. Babajide Sanwo-Olu, said his administration had implemented policies and initiatives that would attract investments, create opportunities, and drive growth.

Sanwo-Olu said, “One key area of focus for us is infrastructure development: upgrading and expanding our transportation and logistics networks, telecommunications, healthcare, education and digital ecosystem infrastructure.

“We are well aware that the kind of growth that we seek to unleash will not happen without a solid foundation of infrastructure that is able to keep ahead of our rapidly-growing population.

“As one of Africa’s start-up capitals, we are especially keen to invest in digital infrastructure to power the innovative ideas of our people. Agriculture and food security are also priorities, in line with a national focus on these areas.

“In addition, we are developing our tourism and entertainment sector, with various investments in hospitality, leisure, and cultural infrastructure to showcase the best of Lagos and Nigeria.”

The governor added, “Lagos, Africa’s economic hub, offers a conducive business environment, a strategic location, a vast market, and a pool of energetic talent. Our administration has implemented and continues to implement policies and initiatives to attract investments, create opportunities, and drive growth.”

According to him, the government has also embarked on port rehabilitation at the Apapa and Tin-Can ports, among others, to enhance port efficiency and improve road and rail transport system so as to reduce transportation cost and improve maritime security.

Mr. Gabriel Idahosa, the president of LCCI, aid the conference was pivotal in Nigeria’s journey toward stabilising the economy and driving sustainable economic growth and development through the creation of “an enabling environment that supports business growth, encourages innovation, and ensures that local and international investors feel confident in their investments”.

The Body made this recommendation, in the latest staff country report for Nigeria, warning that the rapid growth of foreign exchange (FX) trading platforms in Nigeria poses new challenges to the country’s financial stability.

The IMF also noted that Nigerian authorities took significant steps at the end of February to address issues surrounding cryptocurrency trading platforms.

The report read: “Staff recommends that global crypto trading platforms be registered or licensed in Nigeria and subject to the same regulatory requirements applicable to financial intermediaries following the principle of same activity, same risk, and same regulation.”

The IMF also urged Nigerian authorities to strengthen anti-money laundering and combating the financing of terrorism (AML/CFT) preventive controls on crypto trading platforms.

It emphasized the need for effective risk-based supervision of these platforms and other virtual asset service providers.

During discussions with the IMF team, the Nigerian authorities noted the need to stabilize the FX market through critical reforms.

Acknowledging mounting pressure on the exchange rate due to illicit flows via crypto platforms, the authorities highlighted the significance of maintaining external stability.

They pointed out that recent reforms and efforts to attract FX liquidity, including a mandate requiring international oil companies to hold 50% of repatriated oil receipts in Nigeria for 90 days, were designed to achieve this goal.

The Nigerian government admitted that illicit flows through cryptocurrency platforms are exerting undue pressure on the exchange rate.

Consequently, the authorities have moved to implement stricter controls on crypto platforms and reinforce compliance with existing FX regulations.

The report read: “The authorities agreed with the importance of maintaining external stability and emphasized that the reforms which they have implemented as well as efforts to bring in FX liquidity—including the requirement for international oil companies to hold 50 percent of repatriated oil receipts in Nigeria for 90 days—are geared towards that end. They see pressure on the exchange rate now coming from illicit flows, including through crypto asset platforms, and not being driven by fundamentals, noting that some ceilings on FX access are intended to curb abuse.”

For instance, South Africa was reported to lead the way in cryptocurrency regulation by licensing approximately 60 digital-asset platforms, positioning itself as one of the first nations on the continent to mandate permits for crypto exchanges.

With Nigeria accounting for about 66.8% of the Africa’s cryptocurrency interest, the Office of the National Security Adviser (ONSA) classified cryptocurrency trading as a national security issue.

Also, the Central Bank of Nigeria (CBN) directed four fintech startups operating in the country—Opay, Moniepoint, Paga, and Palmpay—to block the accounts of customers engaging in cryptocurrency transactions and to report those transactions to law enforcement agencies.

Earlier in February this year, crypto trading platform, Binance, had to disable its peer-to-peer feature for Nigerian users as it came under the searchlight of the Nigerian government over allegations of currency manipulation and money laundering.

Meanwhile, the Nigerian Securities and Exchange Commission (SEC), during a virtual meeting with the Blockchain Industry Coordinating Committee of Nigeria (BICCoN), called for a new cryptocurrency measure that aims to remove the naira a currency pair from cryptocurrency peer-to-peer platforms.

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