LAGOS JULY 8TH (URHOBOTODAY)-Mr. Tony Ejinkeonye, President of Abuja Chamber of Commerce and Industry (ACCI), has said the extended public holiday declared by the Federal Government for Eid-el-Fitri cost Nigeria over $1.88 billion.
Addressing newsmen on Thursday in Abuja on the cost implication of the extended one day holiday to the economy, Ejinkeonye said “the Gross Domestic Product (GDP) in Nigeria was worth $481.07 billion in 2015, from an all time high of $568.51 in 2014.
“Thus, it is estimated that the effect of one public holiday can cost the country more than $1.88 billion.”
While acknowledging the importance of public holiday to Nigerians, he said, “Public holiday is cherished by most Nigerians as they have the time to do certain things which they may have been putting off, either due to the stress of their job or otherwise.
“It affords many people the opportunity to spend time with their families, stock up on groceries, catch up on shows, party with friends, or do thorough cleaning of their homes.
“However, some analysts believe that while business production is likely to be affected by public holidays, the impact can be managed given that these public holidays are planned in advance, thereby allowing businesses to plan appropriately and factor in the possible effects of less work days.
“Due to the number of public holidays celebrated during the course of the year which can have an unplanned effect for business productivity, and in turn, the economy, some analysts have called for the number of holidays to be reduced.”
He, therefore, urged government to be circumspect in declaring public holidays especially now that Nigerian economy is sliding into recession.
“With the Nigerian economy still struggling with imminent recession, the impact of less productive work days may result in an economic recovery taking much longer and this negative impact is more or less the same for small and medium enterprises in the manufacturing sector, as it would be for larger businesses, in that both will lose production days”, he explained.