The Nigerian Economic Summit Group (NESG) has said that suspension of Price Verification System Portal (PVSP) by the Central Bank of Nigeria (CBN) will enhance economic efficiency, boost industrial output and support macroeconomic stability.
In addition, it added that the discontinuation of the policy would lead to a more streamlined importation process. CBN, days ago, announced the decision to discontinue the Price Verification System Portal used by importers, effective from July 1, 2024 in a circular addressed to relevant stakeholders.
According to NESG, “by removing this administrative hurdle, businesses can expedite the importation of goods and raw materials, reducing lead times and improving the efficiency of supply chains. This enhancement in operational efficiency is expected to lower production costs and increase the availability of goods in the market.
“The removal of the verification process will reduce the transaction costs associated with importation. Importers will save on both time and money previously spent on compliance, allowing them to reallocate these resources towards more productive uses.
Thireduction in transaction costs is likely to enhance profit margins and promote investment in expansion and innovation. “The discontinuation of the Price Verification System will contribute to a more business-friendly regulatory environment, thereby boosting investor confidence.
This improved sentiment is expected to attract both domestic and foreign direct investments (FDI). Enhanced investment inflows will support the growth of the real sector, leading to increased production capacity and job creation.”
While commending the apex bank for the decision, NESG said the action demonstrated collaboration between it and the CBN in engaging with business leaders, and a demonstration by NESG to fostering dialogue between the public and private sectors for economic advancement.
The NESG conveyed its commendations in a statement issued over the weekend in Abuja. The statement said: “NESG commends the CBN for its responsiveness to the concerns raised by the business leaders and organised Private sector.
This policy change not only reflects a commitment to improving the ease of doing business in Nigeria but also demonstrates the positive outcomes that can result from effective public-private dialogue.
“The decision to discontinue the Price Verification System Portal is expected to enhance economic efficiency, boost industrial output, and support macroeconomic stability.”
“At the recent NESG-convened meeting, in partnership with the CBN, business leaders articulated significant concerns regarding the Price Verification System Portal, among others, particularly noting its impact on operational efficiency and importation processes.