The Centre for the Promotion of Private Enterprise (CPPE) has described the federal government’s newly unveiled Social Intervention Programmes as a “timely and commendable” initiative, saying it marks a shift from macroeconomic stabilisation to inclusive welfare.
In a policy brief signed by its Chief Executive Officer, Muda Yusuf, and released on Monday, CPPE said the programmes, supported by the World Bank, are critical to strengthening the social legitimacy of the administration’s economic reforms.
The programme comprises five flagship interventions: the Nigeria Community Action for Resilience and Economic Stimulus Additional Financing (NG-CARES AF), the Solutions for Internally Displaced and Host Communities Programme (SOLID), and the three Human Capital Opportunities for Prosperity and Equity (HOPE) programmes—HOPE-GOV, HOPE-PHC and HOPE-EDU.
“Together, they signal an important shift in the reform agenda: from restoring macroeconomic stability to ensuring that the benefits of reform translate into improved welfare, greater inclusion and shared prosperity.
“There is a broad consensus that the administration’s economic reforms have substantially strengthened macroeconomic fundamentals,” Mr Yusuf said.
He said exchange-rate stability has improved, fiscal transparency has deepened, external reserves have strengthened, and investor confidence has recovered.
“Yet macroeconomic stability, while necessary, is not sufficient. The enduring test of any reform programme is its ability to improve living standards through lower inflationary pressures, higher productivity, stronger employment and rising household incomes.”
Reforms must move beyond macro indicators
The think tank said the social intervention programme assumes strategic importance.
Beyond providing temporary relief to vulnerable households, the think tank said it strengthens the social legitimacy of the reform process by demonstrating that economic reforms are ultimately intended to improve citizens’ welfare, not merely to deliver favourable macroeconomic indicators.
“Public support is more likely to endure when the benefits of reform are visible, inclusive and widely shared. Social protection, therefore, enhances not only social welfare but also the political credibility and sustainability of the reform agenda.
“The programme also reinforces an important policy principle: macroeconomic stability is a means to an end, not an end in itself. Its ultimate purpose is inclusive growth, productive employment, poverty reduction and shared prosperity. The government’s recognition of this imperative deserves commendation,” he said.
Mr Yusuf said the effectiveness of the initiative, however, will depend on implementation.
Implementation key to success
The CPPE said programme design must reflect Nigeria’s institutional realities, minimise leakages and political capture, and ensure that support reaches intended beneficiaries efficiently, transparently and at scale.
The think tank said international development models should be adapted to local conditions rather than replicated without contextualisation.
Mr Yusuf stressed the need to situate social interventions within a broader structural reform framework, adding that cash transfers and related programmes can mitigate the immediate social costs of adjustment, but they cannot substitute for reforms that address the structural drivers of poverty.
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He said insecurity, high food inflation, weak agricultural productivity, inadequate infrastructure and elevated production costs remain fundamental constraints to inclusive growth.
“Sustainable poverty reduction ultimately depends on expanding productive employment and improving economic competitiveness. Social protection and structural reforms should therefore be viewed as complementary policy instruments.
“Effective social interventions cushion vulnerable households during economic adjustment, while structural reforms create the conditions for higher productivity, stronger private investment, sustainable income growth and durable poverty reduction,” the think tank said.
Overall, the CPPE said the programme marks an important progression from macroeconomic stabilisation to inclusive economic transformation, noting that the overriding priority now is rigorous implementation, transparent governance, effective targeting and measurable outcomes.
“Only then will the gains from macroeconomic reforms translate into tangible improvements in welfare, stronger productivity and a broader sharing of economic prosperity,” he said.
