Buhari’s economic plan doesn’t reflect needs of Nigerians

I’m blown away by how much Nigeria has changed in the past decade. Consider the technology sector. That energy I talked about during the early days of Microsoft, our passion and our eagerness to take risks…. That’s the same energy that powers technology hubs across Nigeria like Co-Creation and Enspire.

The novelist Chimamanda Adichie, who my wife especially admires, captured the country’s spirit when she said her fellow Nigerians have “big dreams and big ambitions.”

This line graph of Nigeria’s per capita GDP shows where those dreams and ambitions can lead. With the exception of the recent recession, the slope goes straight up. As a result of this growth, Nigeria is now the biggest economy on the continent. You are rapidly approaching upper middle-income status, like Brazil, China, and Mexico.

But growth is not inevitable. Nigeria has unmatched economic potential, but what becomes of that potential depends on the choices you make as Nigeria’s leaders.

The most important choice you can make is to maximize your greatest resource, the Nigerian people. Nigeria will thrive when every Nigerian is able to thrive.

If you invest in their health, education, and opportunities-the “human capital” we are talking about today-then they will lay the foundation for sustained prosperity. If you don’t, however, then it is very important to recognize that there will be a sharp limit on how much the country can grow.

You see this risk in the data. From the point of view of the quality of life, much of Nigeria still looks like a low-income country. Let me give a few examples.

In upper middle-income countries, the average life expectancy is 75 years. In lower middle-income countries, it’s 68. In lowincome countries, it’s 62. In Nigeria, it is lower still: just 53 years.

Nigeria is one of the most dangerous places in the world to give birth, with the fourth worst maternal mortality rate in the world, ahead of only Sierra Leone, Central African Republic, and Chad.

One in three Nigerian chronically malnourished.

I do not enjoy speaking to you this bluntly when you have been gracious enough to invite me here. But I am applying an important lesson I learned from Alhaji Aliko Dangote. Recently, Aliko and I were having a conversation with several governors about their states’ official immunization rates. Aliko’s way of stressing the importance of accurate data was to tell us, “I didn’t get rich by pretending to sell bags of cement I didn’t have.” I took from that that while it may be easier to be polite, it’s more important to face facts so that you can make progress.

On immunization, you are already living that lesson: last year Nigeria revised its immunization coverage numbers downward to reflect more accurate sources, and I applaud you for those lower numbers. children is They may look worse, but they are more real, which is the first step toward saving and improving more lives.

I urge you to apply this thinking to all your investments in your people. The Nigerian government’s Economic Recovery and Growth Plan identifies “investing in our people” as one of three “strategic objectives.” But the “execution priorities” don’t fully reflect people’s needs, prioritizing physical capital over human capital.

To anchor the economy over the long term, investments in infrastructure and competitiveness must go hand in hand with investments in people. People without roads, ports, and factories can’t flourish. And roads, ports, and factories without skilled workers to build and manage them can’t sustain an economy.

In preparation for my visit, I asked a research institute at the University of Washington to model Nigeria’s economic growth under three scenarios related to health and education, the core of how economists define human capital.

Here you can see Nigeria’s per capita GDP growth from 2000 until today. If current education and health trends continue-if you spend the same amount in these areas and get the same results-per capita GDP flatlines, with economic growth just barely keeping up with population growth.

If things get worse, it will decline. Unfortunately, this scenario is a very real possibility unless you intervene at both the federal and state levels. Because even in the worst-case scenario, your national income level is about to make you ineligible for certain kinds of development assistance and loans that you’ve been relying on to fund your health system and other priorities. Without more and better spent domestic money, investment in your people will decline by default as donor money shrinks-a lose-lose scenario for everyone.

However, if you commit to getting better results in health and education-if you spend more and more effectively-per capita GDP will stay on its remarkable pre-recession trajectory.

This is the scenario we all want: Nigeria thrives because every Nigerian is able to thrive. And the data makes it clear that this scenario is entirely within your reach.

What do I mean by investing in your people? I mean prioritizing health and education, the factors included in the model I just showed you. I also mean continuing to open up opportunities in the agriculture and microenterprise sectors, as the government has proposed in the ERGP. I mean creating the conditions where Nigerians can reach their goals while adding value to the economy-the win-win scenario.

Our foundation doesn’t invest directly in education here, but the World Bank World Development Report that just came out makes it clear that education leads to improvements in employment, productivity, and wages. Today, though, more than half of rural Nigerian children can’t read and write. The conclusion is inescapable: Nigeria’s economy tomorrow depends on improving its schools today.

The same is true of health, our foundation’s primary focus area. In 1978, Dr. Olikoye Ransome-Kuti, who later became the Nigerian minister of health, helped establish primary health care as the global standard. We now know that a strong primary care system takes care of 90 percent of people’s health needs.

Tragically, 40 years after Dr. RansomeKuti helped other countries set a course for the future, the Nigerian primary health care system is broken. The evidence for this can be found in the epidemic of chronic malnutrition, or stunting. As the name suggests, chronic malnutrition is not a disease children catch. It is a condition that develops over time because they are deprived of a diverse diet and the services a strong primary health care system provides.

The consequences of stunting are devastating. Though stunted children are defined as shorter than average, we’re not particularly concerned about their height. What we’re concerned about is their brains, or what Akin Adesina calls “gray matter infrastructure.”

This is a picture of the brain of a single normally developing infant. And next to it is a picture of the brain of a single chronically malnourished infant. Every brain and every child are different, but you can clearly see the difference in the number of neural connections in these two brains. And once this kind of damage is done, it’s very hard to repair.

In Nigeria, one in three children is chronically malnourished and could therefore be at risk. This is a tragedy for each one of these children; it is also a huge blow to the economy. According to the World Bank, addressing the stunting crisis in Nigeria would add almost $30 billion to the GDP. So what will it take to solve stunting? It will take a focus on agricultural development, nutrition, and primary health care.

A functioning primary health system has six features. Adequate funding. Good facilities located in the right places. Skilled and dedicated health workers. Ample stocks of essential equipment and medicines.

Patients who know about the system and want to use it.

And a mechanism for collecting the data needed to improve quality.

I believe the Nigerian primary health care system is not adequately funded. But it also doesn’t get the most out of its current funding. I want to re-emphasize that last point about data. More transparency would lead to more accountability, which would strengthen governance, leadership, and management, which would improve quality across the board.

I know Nigeria can build up its primary care system, because I’ve seen what you accomplish when you meet health challenges head on.

Excerpts from the speech by Bill Gates, CoChair of Bill & Melinda Gates Foundation, at the National Economic Council (NEC) in Abuja yesterday.

(Read the full text at dailytrust.com.ng)