In the last few weeks, we have seen new issues crop up and personally I am bothered with these recent developments. Nigeria has been a trouble hotspot for donkey years and the recent regime change hasn’t shown significant departure from where it used to be. Albeit, it will be unfair not to mention that the new government in Nigeria has started clamp down on corrupt politicians but it will suffice to add that much of it has been seen in the media and there has not been any conviction so far. Despite campaigning under the slogan for “change” nothing has actually changed other than the political party in charge of the central government. Campaign promises before the elections are yet to be achieved and this has been mixed feelings with the citizens. One of the campaign issues was the huge cost of governance the country was subjected to under the last political dispensation. In particular, the number of jets in the presidential fleet was well criticized by the then opposition party but it has been six months since it took over power and no word seems to be heard about it anymore. The elections recently conducted under the new government have shown the inefficiencies of the national electoral body. There has been no significant policy change and this cannot be unconnected to the lateness of the President to name the cabinet Ministers. But it has been a month since the cabinet was inaugurated, and many of the Ministers can only be seen doing audits of their various ministries to understand the situation of things and no policy yet pushed.
As the show goes on, the economy has continued to be stressed beyond forecasted limits. With Nigerian economy being oil dependent, foreign earnings from the government has greatly reduced with the plunge in the price of oil in the international market. The Africa’s largest economy and oil producer is struggling to cope with crude prices that have fallen almost 70 percent since their peak in June last year to below $40 a barrel. The commodity accounts for two-thirds of government revenue and almost all exports, weighing on growth, which is set to ease to 3.2 percent this year, according to a Bloomberg survey of economists. The situation many observers expect to get worse. When the price of oil was booming, the country sadly did not take any advantage as some other countries were seen to have done. The last administration despite the huge earnings that accrued to it when price of oil soared unfortunately cannot account for most of it or point to any fiscal policy geared towards taking advantage of the extra earnings that accrued to it. Now with the crash of crude oil in the international market and more countries discovering oil, Nigeria’s economy has been nosediving. This issue has again reinforced the need for diversification of Nigeria’s economy which seems to be talked about by successive governments but no real action taken to make it happen. With the over dependence on oil, Nigeria faces its worst economic crisis in years. Nigeria imports most of what it consumes because of its small manufacturing sector, the earnings from oil is expected to bring in the hard currency that pays for imports. Many Governors are being to complain of their inability to pay wages of its workers and some have even suggested the reduction of minimum wage a demand that has been stiffly resisted by the country’s national labour union, the Nigerian Labour Congress.
With all the foregoing, the Nigerian leadership has called on its citizens to brace up for tougher times ahead as it works to implement austerity measures to addressing the gloomy economy. The calls for citizens to endure the hardship has met strong criticism from the civil society groups who have claimed that government has not done anything meaningful on its part to cut down on its frivolous expenses. The national assembly for instance has been caught promoting self-serving bills such as the one that was to regulate the use of social media among citizens. One would have expected bills geared towards regulating Nigerian economy and cutting down expenses of government officials to be promoted as opposed to the anti-people’s bill. The head of Nigeria’s apex bank recently at a media parley refuted that the economy of the country is going into recession despite confirming that the country’s currency has depreciated to 28% in the last few months.
With the present situation, the Nigerian leadership must know that it can no longer be business as usual. The Nigeria government must work extra hard to stabilize the economy by implementing economic reforms that targets portfolio diversification. Also issue of corruption must continue to remain a top agenda, and should not be selective as it has presently been perceived to be. Those who have enriched themselves corruptly from the people’s commonwealth must be thoroughly investigated and convicted. Government should recover stolen loot and use same to stimulate the economy. A big attention should be placed on the manufacturing sector with policies targeting its expansion. For the government to reduce the pressure on its foreign earning and stabilize the currency, importation of finished products must reduce. However, this cannot be realistic if the power sector in the country is not revamped. Power which remains a big challenge in Nigeria must be addressed if the manufacturing sector will be repositioned.
Also, there must be accountability and transparency from the country’s revenue generating agencies such as the Customs, Federal Inland Revenue Service, Nigerian National Petroleum Corporation and others. As the country targets implementation of fiscal policies to stimulate the economy, public spending must also be checked. To succinctly put it, the Nigerian leadership must lead by example. The presidential fleet for instance can no longer be sustainable and the government should disband it. We have seen other African countries like Malawi scrap its presidential fleet and so it is possible. The issue of fuel subsidy is also one the government should scrap to avoid the continuous corruption that has since been synonymous with the scheme. Salaries and allowances that accrue to public office holders must be reviewed to come to terms with today’s reality. As the citizens brace up for tough times ahead, the Nigerian leadership must also sacrifice. Public officials cannot be seen to be living large at tax payers’ expenses while the average citizens continue to groan. Comprehensive laws as regards economic and financial crimes, as well as an efficient legal system that will see real time trial of offenders must be put in place. Here, the expertise of the Nigerian Vice President can really be put into use being a legal luminary. Expectations are high as the new government puts together its first budget. The government must justify the confidence of the electorates and the citizens at large by putting forward a budget that works for the people and that will foster inclusive economic growth. Open data must be embraced and promoted to give citizens unrestricted access and foster their contribution to government programs and policies.
No comments:
Post a Comment