Chief Executive Officer, Cowry Assets Management Limited, Mr Johnson Chukwu has said that development of strong industrial sector will lead to increase in level of employment and reduction in value of imports.
Chukwu who made this statement while presenting a paper tagged “Impact of Vibrant Manufacturing Sector in countries External Sector”, said that such arrangement will help to increase value of exportable products and stable exchange rate.
He said apart from having low interest rate , strong industrial will bring low inflation rate, increase in foreign direct investment.
He however pointed out that strengthening the external sector will reduce value of export, increase value of export, improve FDI as well as increase local labour export.
Mr Chukwu noted that external sector influence the domestic section through exchange rate, inflation, interest rate, employment and productivity.
For Nigeria to achieve stability, “we must have a robust forex reserve , to have robust forex reserve, we must have a strong external sector and to have strong external sector, we must have a vibrant industrial sector.
He described the balance of payment (BOP) as the differences between all foreign currency inflows and outflows into and out of a country in a particular period of time, stating that the BOP determines the country foreign reserves.
