By Charles Okechukwu ANI
The succeeding democratic polity is exploiting the cowed people of Nigeria and imbibing the regimentation learnt of the lengthy military interregnum. This has led to the present lackadaisical governance of ‘flawed’ individuals, lack of vision, abuse of office and attendant jaded socio-economic growth, dissatisfaction and lack of patriotism. The public office holders in the States and local councils operate seemingly as cooperating agents with those at the federal in a mutually beneficial, symbiotic relationship of selfish survival and dishonesty, and therefore their negative posturing on restructuring and conspiracy of silence on the way forward for Nigeria. Hence, the lack of confidence on the leadership to bring about any significant changes for the survival of Nigeria.
Patriotism requires every Nigerian, no matter his position, always to defend and respect diversity, plurality and at the same time indivisibility of Nigeria, not as idol to be worshipped blindly, but as idea that represents our common cultural, national and philosophical heritage. Only understanding that heritage [in fairness and liberty] will give Nigerians real respect for the indivisibility and our common destiny. If the day comes when Nigerians are made to refrain from criticizing structural imperfections and demanding changes due to fear of the ‘trumped-up’ law and its questionable enforcement or some dimly remembered custom of national anthem and flag, the country would have become merely, an empty geographical expression and would remain a notion-state rather than a nation-state.
At independence, Nigeria formed on the basis of political and socio-economic platform of fiscal federalism even at literacy level below 30%. Most of the current leaders are living witnesses that that course of action made possible a consensus nationhood of the ethnicities, and so far had created the best socio-economic dispensation referred to from time to time in the debate. The principle of social justice and limited federal government, and considerable economic liberty of the federating regions rested at the foundation of united independent Nigeria. In a profound sense, fiscal federalism holds the key to understanding ourselves, patriotism and the future and prosperity of Nigeria in the world. Our brilliant and intelligent founding fathers rightly came to fiscal federalism over a period of 2 – 3 decades of contemplation for united and prosperous Nigeria. Nigerians have not understood each other, and there has been huge gaps between the rich and the poor since the end of that fiscal federalism in the 1970s, hence the threatening discordance, missing harmony and lack of accommodation in the discussions.
A restructuring that stops at devolution of powers, including fiscal federalism, or change in the revenue allocation would not be enough for overall growth and transformation of Nigeria, and at best superficial. It should include how to create a socio-economic system that will generate value reorientation and maximum wealth, not mediocrity and poverty as it is today. The economy is currently operating at less than 20% of optimum productivity or its potential for prosperity in all sectors. For example, annual budget is about US$30 Billion (US$100 per capita) and less than 30% applied, when it should be over US$150 Billion (US$600 per capita) and over 80% implementation. Ghana’s budget is of US$600 per capita and OECD’s ~ US$12,500 per capita.
In addition, Nigeria’s tax revenues should be over US$100 Billion considering hosting 20% of Africa’s population and a GDP of nearly USD600 Billion, presently. Who is keeping the remaining estimated US$90 Billion? The remaining over 80% tax revenue is lost income and prosperity coming from consistently squandered resources, massive informal economy and stolen out of massive incompetence of public sector that is depressing and recessing the efficiency of the private and overall economy. These numbers are derivable from AfDB’s recent statement that Africa’s taxes came to US$534 Billion in 2016.
The poor performing socio-economic system explains why there is difficulty in providing needed security, both financial and physical, for the citizens. There is also loss of giant status in Africa, and Nigeria cannot do just as wished. A true citizen should worry about Nigeria as it is run presently. These are the main sources of the disturbing and worrying agitations and distress innuendoes. They are not threats to one-Nigeria, and even patriotic agitations.
The federating units should operate as free entities and make up the farms and factories of Nigeria. It is well known fact that profit motive increases a farmer’s or worker’s incentive to grow or produce more; not the present common purse of sharing crude oil exports and partial tax revenues from Abuja that is requiring a strong federal government to maintain, and manage the grinding mediocrity and poverty created instead. Each federating unit, including local councils operating as a profitable corporation, creating prosperity for its population or residents, adding productive and not destructive jobs each year, paying royalties dues to the federal government and alleviating mediocrity and poverty within its clime and jurisdiction, and creating and testing new technologies and techniques of socio-economic systems, is an essential institution of a presidential system democracy.
Federating units are currently over-regulated, apparently without own-tax and expenditure structures and consequently, swallowed by the federal government. It should be understood that what President Obama meant by strong institutions in Africa included free grassroots strong constituent federating units for African countries. A comprehensive restructuring of Nigeria will create a whole new economic system of optimum US$2500 Billion GDP and optimum national budget of $500 Billion etc in about a decade.
The fundamental nature of how we create maximum wealth in a new economic system or restructuring rests on two questions about what should be right for Nigeria – firstly, equality and liberty among citizens. However, the key to resolving the dilemma is understanding what kinds of equality would be contributing to prosperity and what kinds would be destroying it. Since Nigeria operates at less than 20% and getting worse, the present subsidy-based socio-economic system is destroying the country at a loss of over $2 Trillion GDP and threatening our survival as one entity. In a competitive world market, Nigeria cannot afford to leave out the vast potential of its landmass and population untapped; specifically keeping the vast arable land and youth population surviving on subsidy from dwindling crude oil exports. This dawned on mainland Chinese leaders 25 years ago at about US$1 TRILLION GDP from 8 million square kilometres landmass and over a billion people of 15 major ethnicities.
It restructured using own free Taiwan and Hong Kong as models. Today, most Nigerians are living witnesses of the wealth the switch brought to China of over US$10 TRILLION GDP today, and bringing even more. Here, lies the inevitability or certainty of immediate and comprehensive restructuring for Nigeria, and this strikes out anything to the contrary.
-Concluded
Ani, Physicist and Energy Planning and Policy professional writes from Abuja.
Writes from Abuja.