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Poverty During Prosperity By M.B.O Owolowo

March 27, 2015

A dedicated, purpose driven and result-oriented government should have pragmatic solutions to a nation's compounding problems. Especial priority ought to be given to the amelioration, if not total rectification of the pivotal socio-economic problems.

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On what basis is the continuity of the current administration being sought?

What Nigerians have witnessed and endured over a protracted period, is the perpetuation of politically induced opportunism - duly conveyed by crass incompetence.

As peculiar as Nigeria's situation may seem, our problems are similar to problems that confronts any developing nation. To put things in perspective, Nigeria's current set of problems were clear and explicit before the ascendency of the incumbent president.

So why pretend like these problems emanated out of nowhere and are insurmountable?
Evidently, the ruling party – the People's Democratic Party (PDP), busied itself with power elongation and abandoned the actual purpose of service to the nation. If the ruling party had long-term economic and developmental plans as prioritized objectives, such attainable goals would have come to fruition by now.

For instance, the United Nations Millennium Development Goals initiative, committed to achieving specific international development goals by 2015, were broken into 8 categories. Goal 1 focuses on the eradication of poverty and hunger, and reducing unemployment.

Poverty (over 60%) andunemployment (over 24%) are directly linked, and rife in Nigeria - fuelling many societal ills that affects people physically and psychologically.

In the Nigerian context, poverty, unemployment, and by extension idleness and idle minds, are major factors that influence thoughts. Factors that make certain people remember the next man is from another ethnic group, or of another faith. Hungry Man! Angry Man!

According to the World Bank :

"The top five countries, in terms of numbers of poor, are India (with 33 percent of the world's poor), China (13 percent), Nigeria (7 percent), Bangladesh (6 percent) and the Democratic Republic of Congo (5 percent), which together are home to nearly 760 million of the world's poor."

Analysing from demographic and economic perspectives, it can be stated that China and India are listed because of their sizeable population, which are 1.3 billion and 1.2 billion respectively. Nigeria is listed not primarily because of its population size, but because majority of the population actually live in poverty.

Interestingly, China was able to lift over 600 million people out of poverty, over a 23 year period (1981-2004) – a continuous poverty reduction trend.

Whilst it may not be fair to state Nigeria hasn't attained the same feat within the same period, the benefits of long-term developmental goals as political party policies, must be highlighted. China attained their economic feat with the Communist Party of China.

In comparison, Nigeria's post military era, specifically from 1999, adduces, there's only been one party in power at federal level, the PDP - that's 16 years of uninterrupted power!

16 years is more than half the 23 year period China used to lift over 600 million people out of poverty. That's an average of 26 million people a year.

Halving 600 million in 23 years, would be 300 million in 11½ years. Further divisions of the duration and population figures will give 150 million and 6 years approximately.

The year 2015 backdated by 6 years is circa 2009. The Yar'Adua administration began in 2007, but, due to the illness of President Umaru Yar'Adua in 2009 and eventual death in 2010, Goodluck Jonathan tookover as President. The Jonathan administration's tenure would be approximately 5½ years, though it is often prefigured as 6 years.

What are the poverty reduction achievements of the Goodluck Jonathan administration ?

"the national per capita poverty rate remained very high at more than 60% of the population, with little evidence of recent progress in poverty reduction. The recent re-basing of the national accounts, which increased estimated GDP to $509 billion, making Nigeria the 26th largest economy in the world, brought further attention to this puzzle.  How could a country of the size and wealth of Nigeria have poverty rates much higher than in surrounding countries like Niger and Benin Republic? "   -World Bank

It may be argued the China juxtaposition isn't fair. Acquiescing, the initial approach utilised the aforementioned calculations as numerical illustrations, not analysing across growth rate and elasticity. A fair comparative analysis is contrasting economic feats attained within the same time frame, with a slightly similar population size.

Still utilising 6 years as a developmental benchmark: to fairly illustrate what a dedicated, purpose-driven government can achieve in 6 years, Brazil, with a population of about 200 million will be contrasted.

In just 6 years: 2003 – 2009, those living in poverty in Brazil decreased by 20 million. Brazil was able to attain this economic feat under President Luiz Inácio Lula da Silva.

History will remember this poverty reduction initiative. If nothing else, the Workers' Party can proudly reference this as an achievement that directly impacted the lives of Brazilians.

With a visionary leadership and purposeful government, Brazil implemented people-oriented policies. Specifically, asset redistribution, price control and income redistribution policies, that directly impacted the economy, and those directly affected by poverty. 
Brazil achieved this economic feat without oil being its primary revenue resource.

With a visionary leadership and purposeful government, Nigeria can achieve such economic feats and even more. Unfortunately, oil-rich Nigeria still grapples with unabatingunemployment and poverty.

Job and wealth creation are requisite to poverty eradication and tackling unemployment. The All Progressives Congress (APC), through its Vice Presidential Candidate, Prof. Yemi Osinbajo, highlighted part of the APC manifesto, particularly on job creation:

"We would provide 20,000 jobs in each Nigerian state when we are elected."

These are actually attainable goals by any purpose driven and result-oriented government, but, Nigeria's pervading mediocrity begins to affect common judgement. 
Achievable development plans that are normal to other climes, begin to appear impossible. Such cynicism can be associated with the manifestations of mediocrity that has gradually imbued our society. Excusably, some critics labelled it ambitious, whilst some antagonists retorted it was impossible. Ambitious maybe, but not entirely impossible!

Job creation by a dedicated government doesn't necessarily mean government will directly employ people. Job and wealth creation are interrelated, and means creating an enabling environment for businesses, entrepreneurs and manufacturers to thrive. It is the implementation of incentivization policies that will directly impact key economic sectors.

Nigeria's post-democratic governmental experiment has been plagued with misplaced priorities and wasted opportunities, particularly the more recent years of unprecedented oil revenues of at least $200 billion. Nigerians have witnessed the capabilities and unrelenting 'power show' of PDP for the past 16 years - it's time to try things differently.

A Buhari led administration will be a great opportunity to rescue Nigeria from its self-inflicted abyss and heralds a genuine chance for change. It gives Nigeria the opportunity to set attainable goals, and a precursor to actual economic recovery, diversification and sustainable development. 

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- M.B.O

2015©