The economic problems of Nigeria are easily identifiable. These are power, decrepit infrastructure, social amenities, agriculture, and absence of conducive environment for businesses to thrive. Not a few citizens believe that once these critical aspects are taken care of, other pieces will begin to fall into place and thus guarantee an improved quality of life. As expected, nearly all the political parties seeking elective positions have highlighted in one way or the other how their parties would tackle these redoubtable issues.
For Muhammadu Buhari, presidential candidate of the Congress for Progressive Change (CPC), his strategy is to build on what is already on ground and to expand the scope further. On the economy, the party promises to make Nigeria one of the fastest growing emerging economies in the world with a real GDP (gross domestic product) growth averaging 10 per cent annually and integrate the informal economy into the mainstream. Nigeria’s GDP currently thrives on an average seven percent annual growth.
The party also promises to embark on export and production diversification including investment in infrastructure; promote manufacturing and balance the economy across regions by the creation of six new Regional Economic Development Agencies (REDAs) to act as champions of sub-regional competitiveness. It plans to put in place a N300 billion regional growth fund (average of N50 billion in each geo-political region) to be managed by the REDAs, encourage private sector enterprise and provide support to help places currently reliant on the public sector, among other lofty plans for the sector.
On agriculture the party says it has plans to modernise the sector and change Nigeria from being a country of subsistence farmers to that of a medium- and commercial-scale farming nation and net producer of food. It also plans to create a nationwide food inspectorate division with a view to improving nutrition and eliminating food-borne hazards as well as inject an extra N30 billion into the agricultural sector to create more agro-allied jobs by way of loans at nominal interest rates for capital investment on medium- and commercial-scale cash crops.
The housing challenge
The party also proposes, without being specific, to amend the Constitution and the Land Use Act to create freehold/leasehold interests in land along with matching grants for states to create a nationwide electronic land title register on a state by state basis. To tackle the housing challenge of the country, it plans to create additional middle-class of at least two million new home owners by 2015 by enacting a national mortgage system that will lend at single digit interest rates for purchase of owner occupier houses. Managing director of Pison Housing Company Limited, a commercial real estate and housing finance advisory firm, Roland Igbinoba believes that successive governments have talked too much about the housing and finance sector and the claim by the CPC may not be different. “The pronunciation smacks of a lack of understanding of the housing and finance sector. They cannot provide two million units of housing by 2015.” According to him, the supply side value chain of housing and the demand side coupled with the absence of a housing policy makes such projections unrealistic. “These politicians need to engage experts who will develop a strategic framework and approach for housing as is being done in other emerging countries. Can they tell us how they will enact a national mortgage system? What procedure will they take to amend the Land Use Act?,” Mr Igbinoba asked.
Agriculture and power
For a country that has already spent N200 billion on the agriculture sector in the last two years, earmarking another N30 billion may just be an overkill. Yinka Odumakin, spokesperson of the Buhari/ Bakare Campaign Organisation said the difference this time is that the full amount would be disbursed judiciously. “PDP (People’s Democratic Party) has spent N200 billion on agriculture but much of this has been wasted. In our case, if we spend N30 billion, there will be a difference because the money will get to the people that actually need it.” On power, the CPC says it will generate, transmit and distribute from the current 5,000 – 6,000 MW to at least 15,000 MW of electricity by 2015, increasing to 50,000 MW by 2019 with a view to achieving 24/7 uninterrupted power supply by 2019 whilst also simultaneously ensuring the development of sustainable/renewable energy sources.
According to Mr. Odumakin, while the current government has spent huge sums on the power sector, the country is yet to record any appreciable progress in that area. “In our case, a contractor will not take government funds and have nothing to show. The major problem in this country is lack of fiscal discipline.” However, many Nigerians are still sceptical about the sincerity of politicians to deliver on their campaign promises. “If you ask me, I can’t see anything different,” said Mr. Igbinoba.
According to Mr Odumakin, with the CPC, Nigerians should expect the desirable change needed to make progress. “Nigerians have been getting promises from politicians who don’t mean well for the country. The difference this time is about trust of leadership, which Mr. Buhari offers. Nigerians know about his track record.” With barely a week to the presidential election, Nigerians would have to rely on the promises made during the campaigns to decide on their choice of candidate.
