Before discussing the crux of the subject matter it would be appropriate to explain the background of the two major concept of discussion which is SAP and NEEDS.
STURUTURAL ADJUSTMENT PROGRAMME (SAP)
Structural Adjustment Programme (SAP) was introduced following the collapse of oil market in the early 80’s which saw Nigeria’s per capital income plummet from about $1,000 to $300 and the drastic fall in the level of foreign exchange earnings and government revenues. Nigeria introduces SAP and embarks in it implementing in 1986.
The emphasis of the SAP was on deregulation, market liberalization, demand management through appropriate prizing, floating of the exchange rate and the promotion of agriculture and other rural based export oriented economic activities. It was also expected to promote the growth of resource based industrialization in place of the prevailing import substitution strategy which had become unsustainable due to foreign exchange scarcity and the consequent inability to import needed raw materials, spare part, skilled labour e.t.c to support industrial production.
Inability to stay the course of reforms, low levels of investment large fiscal imbalances, among other reasons, prolonged the life of the programme which was originally designed to last for two years to eight years until there was a regime change. Despite the regime change, the features of that programme have remained with significant elements of it reflected in vision 2010.
National Economic Empowerment and Development Strategy (NEEDS)
The objective NEEDS is to enable Nigeria achieve a turn around and grow a broad based market oriented economy that is private sector led in which people can be empowered so that they can, as a minimum, afford the basic needs of life. It is a pro-poor development strategy with sources of economic empowerment being gainful employment and provision of social safety net for vulnerable groups.
Most of the targets in the NEEDS documents are set in quantitative terms. Their achievement must also be tracked in quantitative terms. The essential pro-poor growth indices are largely what are classified as socio economic data; they include access to employment, income and consumption per capital, access to basic education, health care. (Mortality rate, HIV/AIDS prevalence, general health status, life expectancy etc) water and accommodation and indeed the structure of the distribution of income between one period and another in other to capture the changes arising from the implementation of reforms.
According to some analyst structural Adjustment programme (SAP) has been rechristened to national economic employment development strategy (NEEDS). To them if the implementation of SAP was include a “sin” then it must be a nurturing one because the economic reformation is still being undertaking by the current PDP-led democratic government, they are also of the opinion that Nigerians should pray and hope that the same unrepentant agents that sabotaged “SAP” do not do the same to NEEDS.
Structural adjustment program (SAP) was introduce to place Nigeria on the path of industrial development in the 80’s so many economic ill, where visible and problems in deference forms i.e. retested growth manifesting in persistent balance of payments deficits, raging inflationary trends, conspicuous taste for foreign service goods, foreign debts and seemingly over-valued naira. SAP goals were to be balanced growth, stable prices, favorable balance of payment and full employment, but unfortunately for Nigeria from the time of SAP it because a nation of consumer of second – hand goods and products. The average Nigeria could no longer afford any new thing except those Nigerians who have profited from government contracts and favors.
With the failure of SAP to make any positive impact in Nigeria ’s industrial development, the Olusegun Obasanjo administration, backed by arrays of World Bank experts ingeniously bull-dozed another economic package on the nation elegantly presented as “the National Economic Empowerment and Development Strategy (NEEDS). The package which would take care of short term and long term needs, according to the carefully selected and brilliantly tutored protagonist, would represent many good tidings of “life more abundant” for all Nigerian.
The emphasis of NEEDS is on the provision of good roads, better schools, responsive health care system, water for drinking and agricultural purpose, safer streets and of course, food on table. There is no doubt that the concepts of NEEDS are lovely by any standard, even if they were not new or original. However, unfortunately, the dream of NEEDS evaporated with the departure of the architect and his eminent World Bank experts.
Between SAP and NEEDS they have not change the lives of Nigerians. Indices released by various local and international organization shows that Nigeria is not achieving the desired industrial development. Nigeria cannot generate enough mega watts of power for its industrial development and has led to closure of many industries in the country. Corruption in both public and private sector has been a major set back for Nigeria to achieve any gain in industrial development.
Agricultural sector is not growing at any appropriate rate with less than 50% of the country’s cultivable land uncultivated.
90% of the land under cultivation in being tended by small farmers using largely antiquated production techniques. Nigeria contrary to goals of SAP and NEEDS spends $2.8 billion dollars to import food for local consumption. 90 million of the country’s, 140 million people face food insecurity and cannot afford three square meals a day, with over 70% of les citizens living below poverty line.
SAP and NEEDS are implemented for the purpose of chasing the lives of Nigerians. On the other hand SAP and NEEDS tend to increase poverty and hardship on Nigerians.
Monday, 30 November 2009
Nigeria on development scale
Development indicators and statistical revelations to determine whether Nigeria is developing or not is not straight forward as from goverment reports they keep on giving statistical revelations that shows Nigeria is developing. While on the otherhand local and international organisations development indicators shows that Nigeria is not developing with huge resources the country has especially from the proceeds from the oil sector.
Nigeria has all it takes to achieve full food security and be a major net provider of food to global community, but unfortunately agricultural sector is not growing at any appreciate rate with less than 50% of the country’s cultivable land undercultivated. 90% of the land now under cultivation is being tendered by small farmers using largely antiqueted production techniques . And Nigeria spends $2.8 billion to import for local comsuption and 90 million of the country;s 140 million people face food insecurity and cannot afford three square meals a day . Also 70% of our population are living below poverty line.
Also the latest figure from National Primary Health Development Agency(NPHCDA) showed high maternal , newborn/neonatal and child mortality rates in the country. Maternal Mortality Rate(MMR) is 800 per 100,000 live births while Neonatal Mortality Rate(NMR) is 48 per 1,000 live births with wide variation between regions.
According to the State of the World Children 2009 report recently released by the United Nations Children Fund(UNICEF) Nigeria is the 8th worst performing country in a list of 148 nations in 2007 on under five mortality as 189 new babies died in every 1,000 live births in the country. Yearly, an estimated 52,000 Women die from pregnancy related complications, while an estimated 250 new born die every year in Nigeria.
Decent livinghood is not also within the reach of many Nigerians as according to National Bureau of Statistics in 2004 poverty is about 57 percent and studies showed that an estimated 2.8 million graduates enter labour market annually with little over 10 percent securing a job. Estimated 80 to 90 million Nigerians lived in poverty. Only India and China have more poor people than Nigeria. India and China has a population of over one billion to Nigeria’s 140 million.
Presently an average Nigerian Child lacks basic education , adequate primary health care and a balance diet, and a good home. To make matter worse about 90% of Nigerians have no good roads, more than 70% lacks access to good health care and over 80% has no access to good water.
Per Capita Income has drastically reduced from over US$ 1,000 per day in 1980 to US$ 240 in 1997 and today less than US$ 1 per day. Inflation rate increased from 5.5% in 1985 to 5.6% in 1988, 57.2% in 1993, over 60% in 1994 and 72.8% in 1995. Today , the standard living of Nigerians have deterioted as there has been increase in socio-economic problems as a result of joblessness, homelessness and poverty that continues to be visited on Nigerians due to bad goverment policies , poor management and primitive corruption.
Though on the part of Nigeria’s goverment according to it’s officials have been trying it’s best to change the lives of Nigerians and claimed that reports by International organisations on Nigeria is misleading. According to Nigeria’s goverment statistics poverty ratio in the country is dropping . In 1980, 28%, in 1985 the poverty ration grew to 46% and dropped to 42% in 1992. In 1996 the population of poor increased to 65.6%, in 1999 it stood at 70% and in 2004 it feel to 54.4% and presently at 50%.
The present administration of President Umaru Musa Yar’adua has vow to implement the Millineum Development Goals(MDGs) agenda of reducing extreme hunger and poverty. The goverment will put it;s effort to achieve a national growth rate of 6% per annum through agriculture as it remains one of the key components of the Nigerian economy and a focal point of our development. Yar’adua’s administration according to it’s officials have made appriciable progress with budgetery increasement from 7% in 2008 to about 10% in 2009 as well as providing intervention funds for the advancement of the sector.
As far as statistical evidence available is concern to determine whether Nigeria is developing or not, the answer is capital NO. Nigeria is not developing even when compare with the huge resources the country is earning which unfortunately ends to develop some few individuals and their families than the the 140 million Nigerians. There is no any no development plan the country is religiously trying to implement , but rather rhetorics of some un-cordinated 7 – point Agenda which
Nigeria has all it takes to achieve full food security and be a major net provider of food to global community, but unfortunately agricultural sector is not growing at any appreciate rate with less than 50% of the country’s cultivable land undercultivated. 90% of the land now under cultivation is being tendered by small farmers using largely antiqueted production techniques . And Nigeria spends $2.8 billion to import for local comsuption and 90 million of the country;s 140 million people face food insecurity and cannot afford three square meals a day . Also 70% of our population are living below poverty line.
Also the latest figure from National Primary Health Development Agency(NPHCDA) showed high maternal , newborn/neonatal and child mortality rates in the country. Maternal Mortality Rate(MMR) is 800 per 100,000 live births while Neonatal Mortality Rate(NMR) is 48 per 1,000 live births with wide variation between regions.
According to the State of the World Children 2009 report recently released by the United Nations Children Fund(UNICEF) Nigeria is the 8th worst performing country in a list of 148 nations in 2007 on under five mortality as 189 new babies died in every 1,000 live births in the country. Yearly, an estimated 52,000 Women die from pregnancy related complications, while an estimated 250 new born die every year in Nigeria.
Decent livinghood is not also within the reach of many Nigerians as according to National Bureau of Statistics in 2004 poverty is about 57 percent and studies showed that an estimated 2.8 million graduates enter labour market annually with little over 10 percent securing a job. Estimated 80 to 90 million Nigerians lived in poverty. Only India and China have more poor people than Nigeria. India and China has a population of over one billion to Nigeria’s 140 million.
Presently an average Nigerian Child lacks basic education , adequate primary health care and a balance diet, and a good home. To make matter worse about 90% of Nigerians have no good roads, more than 70% lacks access to good health care and over 80% has no access to good water.
Per Capita Income has drastically reduced from over US$ 1,000 per day in 1980 to US$ 240 in 1997 and today less than US$ 1 per day. Inflation rate increased from 5.5% in 1985 to 5.6% in 1988, 57.2% in 1993, over 60% in 1994 and 72.8% in 1995. Today , the standard living of Nigerians have deterioted as there has been increase in socio-economic problems as a result of joblessness, homelessness and poverty that continues to be visited on Nigerians due to bad goverment policies , poor management and primitive corruption.
Though on the part of Nigeria’s goverment according to it’s officials have been trying it’s best to change the lives of Nigerians and claimed that reports by International organisations on Nigeria is misleading. According to Nigeria’s goverment statistics poverty ratio in the country is dropping . In 1980, 28%, in 1985 the poverty ration grew to 46% and dropped to 42% in 1992. In 1996 the population of poor increased to 65.6%, in 1999 it stood at 70% and in 2004 it feel to 54.4% and presently at 50%.
The present administration of President Umaru Musa Yar’adua has vow to implement the Millineum Development Goals(MDGs) agenda of reducing extreme hunger and poverty. The goverment will put it;s effort to achieve a national growth rate of 6% per annum through agriculture as it remains one of the key components of the Nigerian economy and a focal point of our development. Yar’adua’s administration according to it’s officials have made appriciable progress with budgetery increasement from 7% in 2008 to about 10% in 2009 as well as providing intervention funds for the advancement of the sector.
As far as statistical evidence available is concern to determine whether Nigeria is developing or not, the answer is capital NO. Nigeria is not developing even when compare with the huge resources the country is earning which unfortunately ends to develop some few individuals and their families than the the 140 million Nigerians. There is no any no development plan the country is religiously trying to implement , but rather rhetorics of some un-cordinated 7 – point Agenda which
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