Failure to resolve this, the International lender said it will continue to have significant economic consequences on neighbouring nations.
The IMF team, led by Amine Mati, Senior Resident Representative and Mission Chief for Nigeria, stated this at the end of their visit to Nigeria.
Mati said, “Nigeria’s border closure will continue to have significant economic consequences on the country’s neighbors.
“It is important that all involved parties quickly resolve the issues keeping the borders closed—including to stop the smuggling of banned products.”
The team also held discussions with senior government and central bank officials.
They observed that the pace of Nigeria's economic recovery remains slow, as declining real incomes and weak investment continue to weigh on economic activity.
With the current global economic realities, the mission revised Nigeria's 2020 economic forecast down to 2% due to dwindling oil prices.
Last August, the Nigerian government closed its border to tackle illicit trade and strengthen security in the country. It also asked neighbouring countries to respect rules of origin. The move has been widely criticised. Many believed it is against the spirit of the ECOWAS and the recently signed Africa trade pact.
Nigerian President Muhammadu Buhari had said the partial closure was not to punish neighbouring countries but to strengthen the country’s security and economy. He said the closure has drastically reduced the smuggling of agricultural produce as well as arms and ammunition.