SPECIAL NEWS COMMENTARY
TO MARK 49 YEARS OF INDEPENDENCE
For broadcast on Monday September 28, 2009
REPOSITIONING AND STRENGTHENING NIGERIA’S ECONOMY
FOR THE 21ST CENTURY
By Udo Etefia
Endowed with abundant human and natural resources,
Nigeria’s economy was very promising at independence
in 1960. And with twenty-five percent of Africa’s
population; many saw Nigeria as an emerging economic
power in the continent. It was on this premise that
successive governments between 1960 and the 1980s
launched the National Development Plans to serve as
a framework for economic and infrastructural
development of the country. Regrettably, none of the
development plans could achieve the purposes for
which they were established.
An important aspect of Nigeria’s economic
development process since independence is the role
of the public sector vis-à-vis the private sector.
It was realized that government had been the prime
mover of the economy. Apart from engaging in its
conventional activities, government also had
investments in a wide range of production and
distribution activities. This resulted in the
consumption of a large chunk of public resources.
Besides, most public enterprises failed to meet
public expectations.
Since the return to democracy in 1999, the
government has embarked on a wholesome reform of the
economy. Initially, the reform was anchored on the
National Economic Empowerment and Development
Strategy (NEEDS). NEEDS was specifically designed to
facilitate the achievement of national goals of
wealth creation, employment generation and poverty
reduction. The privatization of public enterprises
witnessed in the country in recent years is embedded
in the policy. The idea is to reposition these
enterprises to meet national aspiration of wealth
creation for the 21st century.
Currently, NEEDS is being harmonized with the
seven-point agenda of President Umaru Musa Yar’Adua
administration geared towards accelerated economic
activities and general wellbeing of the Nigerian
people. The seven-point agenda focuses on power and
energy, food security, wealth creation,
transportation, land reforms, security and education
as well as the Niger Delta where a separate Ministry
has been created to tackle development needs of the
oil producing areas. Indeed, government has granted
amnesty to militants in the oil-rich region as part
of efforts to restore peace in the area so that
economic activities can resume there.
The Yar’Adua administration has also come up with
Vision 20:2020. The goal of the policy is to make
Nigeria one of the twenty most developed economies
in the world by the year 2020.
As the government works towards the realization of
this goal, it is noteworthy that relevant
authorities are monitoring economic developments in
both domestic and international arena. This is with
a view to averting the uncertainty now being
witnessed in the international financial markets.
For instance, the recent banking sector reform
embarked upon by the Central Bank of Nigeria should
be seen as a step in the right direction.
Be that as it may, the time has now come for the
country to back up its policy of diversification
from crude oil with action. Given the abundant
mineral deposits across the length and breadth of
the country, the continuous dependence on crude oil
for foreign exchange earning should be addressed in
order to cope with the challenges of the 21st
century. Also, urgent steps should be taken to get
petroleum refineries in the country up and running.
Above all, in repositioning and strengthening the
economy for the 21st century, priority must be given
to the development of infrastructure as demonstrated
by President Yar’Adua when he personally
commissioned the dredging of River Niger with a
resolve to complete it during the present
administration. This means that Inland Water Way as
alternative to road transportation is being
actualized.
It is gratifying to note that Government is
committed to revamping the power sector. Recently,
the Minister of State for Power, Mr. Nuhu Wya,
stated that the target of generating and
distributing six thousand megawatt of electricity by
the end of 2009 is almost being met. The news has
bolstered the hoped that the target of ten thousand
megawatt of power supply by the end of 2012 is
feasible.