Reviving the nation’s ailing economy
Our nation is currently grappling with high cost of living, double-digit inflation, the removal of fuel subsidy and the devaluation of our local currency, all of which have had negative impact on every sector of the economy. A few weeks ago, I asked myself a crucial question: Why are we in this precarious situation? To be candid, both our leaders and the citizens are to be blamed for this mess.
Frankly speaking, many of us do not take government policies seriously, especially those concerning the economy. Until we see Nigeria’s economy as our own, nothing will work. Recently, it was reported in one of the national dailies that some security officials assigned to guard our pipelines were the same ones who colluded with hoodlums to steal our crude oil. What a pity? This shows that some of us lack patriotism, commitment, honesty, and dedication. One thing we must realise is that if we are serious about reviving our economy, then every one of us must be ready to make sacrifices.
Let me pose a question: Why is our economy in a comatose state? To answer this question, let’s take a trip down memory lane. Between 1950 and 1963, the country was divided into four regions: the Western Region, the MidWestern Region (carved out from the old Western Region), the Eastern Region, and the Northern Region. Each region was governed by a premier elected by the electorate. All regions developed at their own pace, fostering healthy rivalry. During that period, agriculture was the backbone of our economy. There were groundnut pyramids in the Northern Region and mountains of cocoa beans in the Southern Region waiting to be exported to Europe. However, in 1958, crude oil was discovered at Oloibiri in Bayelsa State. The federal government’s attention shifted from agriculture to crude oil. As a result, agriculture was relegated to the background, marking the beginning of our crisis. This shift led to the importation of foodstuffs and other essentials, which subsequently depleted our foreign reserves.
Another significant challenge is the government’s failure to diversify the economy. For over five decades, the country operated as a mono-economy, neglecting the economic potentials in agriculture, mining, and tourism. It should be noted that in the early seventies, the Malaysian government came to Nigeria to purchase oil palm seedlings. Today, Malaysia is the world’s leading palm oil producer.
Another major factor impeding our economic growth is the issue of erratic power supply. Over the years, we have been grappling with electricity problems, with no solution in sight. In South Africa, for instance, the country generates 60,000 megawatts of electricity, while Nigeria is still struggling to produce 5,000 megawatts. The federal government should declare a state of emergency in the energy sector. Lastly, insecurity is another challenge. In places where there is no security, businesses cannot thrive. Most investors are reluctant to put their resources or invest in an environment that is not conducive for business. The three tiers of government are doing their best, and we need to cooperate with them.
So, the question now is: How can we revive our ailing economy? Here are my recommendations for the federal government:
1. Establish a committee of economic experts (a think-tank) to develop a robust economic blueprint for the nation.
2. Ensure that all our refineries are made to function properly.
3. Initiate policies that will encourage local production of goods and services.
4. Strengthen the antigraft agencies to enable them discharge their duties effectively.
5. Provide regular 24/7 power supply. It is advisable to explore alternative sources of energy such as solar, geothermal, and wind.
6. Strengthen the security agencies to enable them perform their functions effectively.
7. Develop and implement policies that will promote Nigeria’s non-oil exports.
8. Create an enabling environment for businesses to thrive.
9. Diversify the economy by exploring economic potential in the agriculture, mining, and tourism sectors.
10. Encourage state governments to embrace mechanized farming.
11. Retrieve all stolen funds from past corrupt public officeholders and invest in infrastructure, including roads and power.
12. Strengthen the local currency for maximum impact on the economy.
In conclusion, we must all work together to ensure our economy bounces back. Each of us has a role to play in this regard by contributing through regular payment of taxes and levies.