Category: Open Forum

By Temitope Ajayi

Henry Kissinger, former United States Secretary of State, perennial international statesman and oracle of diplomacy profiled six world leaders, now of blessed memories, in his most recent book, “Leadership: Six Studies in World Strategy’. These long departed leaders were the architects of the post-war evolution of their respective societies. The leaders: Konrad Adenauer (Germany), Charles de Gaulle (France), Richard Nixon (United States), Anwar Sadat (Egypt), Lee Kuan Yew (Singapore) and Margaret Thatcher (Britain) reshaped and redefined their national purposes, having inherited a postwar world that was in turmoil and full of uncertainties. They opened up new frontiers, confronted local political and economic challenges and significantly contributed to an enduring new world order.

Just like these global figures who shaped the circumstances of their era, Nigeria’s President, Bola Tinubu, assumed the leadership of Africa’s most populous country at a time of great economic difficulties marked by very high socio-political tension. President Tinubu came in the midst of raging storms, inheriting legacy problems including insecurity, multi-dimensional poverty, angst, high decibel of ethnic agitations and general state of despair.

Since he assumed office 100 days ago, President Tinubu has focused on how to steady the floundering ship of state, redirect the economy and remove all barriers that inhibit productivity and growth. The first thing he did was the removal of fuel subsidy that has become a bottomless pit for the country. A world class auditor and turnaround expert himself, the goal of President Tinubu is to reprioritise national spending. A nation that literally flushed down over N21 trillion  between 2005 and 2023 in the name of paying for cheap petrol when it could not generate the electricity to power its industries, run its hospitals and provide universal basic education to school children is a nation moving speedily towards self-destruction. The removal of fuel subsidy now means funding becomes available to invest in critical infrastructures to develop the country and position it on the path of economic prosperity. It also means government at all levels will now have more money to spend on social services, soft infrastructures and general social amenities that will improve quality of life.

The combined effect of fuel subsidy removal and realignment of the foreign exchange markets to remove corruption-ridden regime of preferential forex allocation to economic predators, that previously ruled the day, has led to high cost of living especially food and public transportation for Nigerians. Unfortunately, the hapless masses are mostly bearing the brunt of this, making many people to wonder if a government that should make life better for them had come to inflict more hardship. 

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 Like a caring father who must navigate his family through turbulent period, President Tinubu, through national broadcasts, public statements and various interventions during meetings with groups and business leaders, laid out the issues before Nigerians and explained why the decisions he took to save the country, even when they came with momentary pains, are in the best interest of the country as doing otherwise will be accelerating the total collapse of the economy without any guardrail. A number of intervention programmes have been unveiled as reliefs to the people. 

Under the intervention initiatives, the Tinubu-led administration granted N5 billion to each of the 36 States and FCT to procure food items, fertilisers and seedlings for distribution to households and farmers. To further bring immediate relief to the people 100,000 bags of rice were also sent to the States by the Federal Government while modalities are being worked out with Governors under the National Economic Council for a new National Minimum wage and consequential salary increase for public and private sector workers. 

It is interesting to know that some private sector employers in the Organized Private Sector (OPS) have taken the initiative on their own to increase staff salary in line with the prevailing inflationary trend. In conjunction with the World Bank, States and Local Governments, the Federal Government is also working on direct cash transfers targeted at over 20million most vulnerable people across the country. The plan to deploy 11,500 CNG powered mass transit buses to make public transportation affordable for the masses is being concluded for participating mass transit companies. The government in a partnership between NNPC and NIPCO is setting up CNG mega stations across the country that can conveniently serve 200,000 vehicles daily.

Just like he did when he became the Governor of Lagos State in 1999, where he re-engineered the finances of the state from insolvency and paltry N600 million per month to the point where the State currently generates over N50 billion in internally generated revenue, President Tinubu knew from day one in office that the current revenue profile of the Federal Government and State Governments cannot fund the kind of development that needs to happen in Nigeria. At barely 10% Tax to GDP ratio, Nigeria ranks abysmally low compared to other African countries in revenue index. What South Africa makes in tax revenue from 1% of her high net worth tax payers in one year, is more than the entire IGR revenue of 36 States and FCT. It is the parlous revenue profile of the country that informed the decision of the President to set up the Taiwo Oyedele-led Tax and Fiscal Policy Reforms Committee. At the inauguration of the committee on August 7, 2023, President Tinubu declared that government cannot provide the social services and first-world infrastructure the people need to live a good life when it cannot generate the revenue to make them happen. He then tasked the committee to close the N20 trillion annual revenue gap in tax collection.

Equally, President Tinubu understands that there cannot be any meaningful development and progress in an atmosphere of constant agitations and strife with the intervening primordial interests within the polity. One of the reasons for almost unceasing agitations by a section of the country is the seeming lopsided appointments within the security establishment. The received wisdom in Nigeria is that any ethnic group without representation in the top hierarchy of the security establishment is not yet within the power arena even if all money of the country is spent to pave their streets with gold. As a leader who sufficiently understands the national psyche, in this regards, President Tinubu balanced the appointment of his service chiefs to project national outlook. Political leaders from the South East and Ohaneze Ndigbo severely criticized the Buhari government for marginalizing the Igbos in key security and other appointments. Now, an Igbo man from Enugu, Vice Admiral Emmanuel Ogalla is the Chief of Naval Staff while a minority and a christian from Southern Kaduna, Lt. General Christopher Musa is the Chief of Defence Staff. In the same spirit of promoting social harmony and repairing damaged social fabrics, President Tinubu also ensured geopolitical balance in distribution of key portfolios  of the recently sworn-in Ministers while also ensuring a proper-fit between the professional competence of majority of them and the ministries they lead.

Connectivity of empathy between a leader and the people he/she leads and ability to communicate are essential attributes of a good leader. President Tinubu possesses these two attributes in abundance with the ways and manners he has connected with the economic hardships Nigerians are going through.  One of the best leadership and management books I ever read, ‘The Leadership Lessons of Jesus: A Timeless Model for Today’s Leaders’ was written by Bob Briner and Ray Pritchard. In the book, the authors explained why a leader must have clear vision and be able to communicate that vision clearly and concisely to the followers without leaving anyone in doubt about the ability to provide direction. This was best exemplified by Jesus Christ when he met Peter, James and John when he called them to discipleship. Jesus told the trio, ‘Come, follow me and I will make you fishers of men.” By vocation, Peter, James and John were fishermen. 

Jesus was clear about the job He was calling them unto. He didn’t leave them in doubt as to why they should drop their day time job. Just like Jesus did many centuries ago, President Tinubu has not failed in telling Nigerians about the dire strait of our national economy and what needs to be done to remake a buoyant economy that will serve every segment of the society. In his last national broadcast, he empathized with Nigerians and laid out his vision for a greater future that awaits.  Part of the mark of his dexterity in political and diversity management is how he has, within 100 days in office, fostered  social harmony and significantly reduced ethnic and political tensions in the country. President Tinubu has used his first 100 days in office to set the path and a new direction for the country. Many Nigerians, 67% to be precise, according to a recent survey, trust him to deliver on his renewed hope agenda. 

By Bukola Seun-Oloruntuga

A couple of years ago in Lagos, the Sanyas and the Okonkwos lived in the same neighbourhood. Although Alex and Yetunde Sanya held their loved ones in high regard, their approach to estate planning differed significantly, resulting in vastly different outcomes. As a young family full of dreams and aspirations, they acknowledged the significance of estate planning but failed to prioritise it.

Like many people, they believed they were too young or did not have enough assets to be concerned about it. One fateful day, tragedy struck. Alex passed away in a car accident. His death left Yetunde and their children distraught. They also had to deal with a financial mess because Alex had no will.

Essentially, there were no clear instructions on how to manage his assets or provide for his family. Consequently, settling his estate became a long and complex process, causing undue stress and family disputes.

On the contrary, the Okonkwos, their neighbours, opted for a different approach. Emeka and Amaka were diligent with their estate planning as they knew life was unpredictable and wanted to secure their children’s future.

Emeka often sat with Amaka to review their estate plan, discussing his will, their children’s trust, and their respective healthcare directives.

During the planning process, they made sure to consider unforeseen circumstances, chose guardians for their underage children, and designated beneficiaries for their assets.

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They also consulted with experts to determine any potential tax obligations and ways to reduce them to safeguard their children’s inheritance.

After several years, Emeka passed away. Although his family was devastated by his death, they found solace in the fact that Emeka’s wishes were well-defined and accurately recorded.

Even though it was difficult to bear his loss, the estate planning process gave them the gift of security and readiness. Amaka was able to access his assets and continue to support their children’s education and overall welfare.

The story of the Sanyas and the Okonkwos underscores the importance of estate planning for every family, regardless of age or wealth.

The truth is estate planning is not just for the wealthy or elderly. It is a crucial process that ensures your wishes are honoured, and your loved ones cared for when you are no longer around. Whether you have substantial assets or not, estate planning provides a roadmap for your asset distribution.

Imagine a scenario where someone can no longer make decisions for themselves or pass away unexpectedly like Alex. Estate planning is the proactive measure that prepares them for such circumstances.

It involves creating legal documents that dictate how your assets should be managed and distributed, who will make decisions on your behalf, and your healthcare directives.

No matter your age or financial status, estate planning gives you peace of mind, knowing that your loved ones will be cared for according to your wishes. It prevents unnecessary family conflicts, reduces the burden of legal procedures, and ensures your legacy endures.

At the core of any estate plan is a will. It is a legal document that outlines how your assets should be distributed after your death. It also allows you to appoint guardians for minor children and an executor to oversee the process.

A trust, on the other hand, is a versatile tool that can serve various purposes, including avoiding probate, protecting assets, and providing for beneficiaries with special needs. Trusts can be revocable or irrevocable, depending on your goals and preferences.

Additionally, having advanced directives, such as a healthcare power of attorney, allows you to maintain control over medical decisions even when you are unable to communicate your preferences.

Let’s discuss beneficiaries – these are the people or organizations who will receive your assets after you pass away. So, it is critical to select your beneficiaries carefully and regularly review these designations to ensure they align with your current wishes.

When planning your beneficiaries, it’s important to take their ages and situations into account. For example, if you have minor children, it would be wise to establish a trust or appoint a reliable guardian.

Additionally, if you’re naming adult beneficiaries, you should consider their financial experience and whether they would benefit from asset protection through a trust.

Another key aspect of your estate plan is taxes. Without proper advice, taxes can significantly impact the value of your estate, potentially leaving your heirs with a smaller inheritance.

So, it is important to understand the relevant tax laws and employ appropriate strategies to minimise tax liabilities. For instance, in most jurisdictions, when you gift assets during your lifetime or utilise some types of trusts, you can take advantage of some tax exemptions and potentially reduce estate taxes.

Finally, we all know life is unpredictable, and our circumstances may change. Hence, major life events such as marriage, divorce, the birth of children, or the acquisition of significant assets should prompt you to revisit your estate plan.

Failing to do this can lead to unintended consequences, such as excluding new family members or leaving out critical assets. Indeed, reviewing your plan ensures that it remains current and effective. Essentially, as your life evolves, so should your estate plan.

It is recommended that you review your plan every few years or after significant life events to make sure that it is up-to-date and reflects your current wishes.

Estate planning is a critical step in ensuring the safety of your loved ones and the continuation of your legacy. With wills, trusts, and advanced health care directives, choosing beneficiaries wisely, minimising tax liabilities, and regularly updating your plan, you can rest assured that your wishes will be honoured when the time comes.

Remember, it is never too early to start, but it can be too late if you procrastinate. Take control of your future today by taking the first step towards creating your estate plan.

By Bola Tinubu

My fellow citizens, 

I want to talk to you about our economy. It is important that you understand the reasons for the policy measures I have taken to combat the serious economic challenges this nation has long faced. 

I am not going to talk in difficult terms by dwelling on economic jargon and concepts. I will speak in plain, clear language so that you know where I stand. More importantly, so that you see and hopefully will share my vision regarding the journey to a better, more productive economy for our beloved country.

 For several years, I have consistently maintained the position that the fuel subsidy had to go. This once beneficial measure had outlived its usefulness. The subsidy cost us trillions of Naira yearly. Such a vast sum of money would have been better spent on public transportation, healthcare, schools, housing and even national security. Instead, it was being funnelled into the deep pockets and lavish bank accounts of a select group of individuals. 

This group had amassed so much wealth and power that they became a serious threat to the fairness of our economy and the integrity of our democratic governance. To be blunt, Nigeria could never become the society it was intended to be as long as such small, powerful yet unelected groups hold enormous influence over our political economy and the institutions that govern it. 

The whims of the few should never hold dominant sway over the hopes and aspirations of the many. If we are to be a democracy, the people and not the power of money must be sovereign. 

The preceding administration saw this looming danger as well. Indeed, it made no provision in the 2023 Appropriations for subsidy after June this year. Removal of this once helpful device that had transformed into a millstone around the country’s neck had become inevitable. 

Also, the multiple exchange rate system that had been established became nothing but a highway of currency speculation. It diverted money that should have been used to create jobs, build factories and businesses for millions of people. Our national wealth was doled on favourable terms to a handful of people who have been made filthy rich simply by moving money from one hand to another. This too was extremely unfair. 

It also compounded the threat that the illicit and mass accumulation of money posed to the future of our democratic system and its economy. 

I had promised to reform the economy for the long-term good by fighting the major imbalances that had plagued our economy. Ending the subsidy and the preferential exchange rate system were key to this fight. This fight is to define the fate and future of our nation. Much is in the balance. 

Thus, the defects in our economy immensely profited a tiny elite, the elite of the elite you might call them. As we moved to fight the flaws in the economy, the people who grow rich from them, predictably, will fight back through every means necessary. 

Our economy is going through a tough patch and you are being hurt by it. The cost of fuel has gone up. Food and other prices have followed it. Households and businesses struggle. Things seem anxious and uncertain. I understand the hardship you face. I wish there were other ways. But there is not. If there were, I would have taken that route as I came here to help not hurt the people and nation that I love. 

What I can offer in the immediate is to reduce the burden our current economic situation has imposed on all of us, most especially on businesses, the working class and the most vulnerable among us. 

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Already, the Federal Government is working closely with states and local governments to implement interventions that will cushion the pains of our people across socio-economic brackets. 

Earlier this month, I signed four (4) Executive Orders in keeping with my electoral promise to address unfriendly fiscal policies and multiple taxes that are stifling the business environment. These Executive Orders on suspension and deferred commencement of some taxes will provide the necessary buffers and headroom to businesses in manufacturing sector to continue to thrive and expand. 

To strengthen the manufacturing sector, increase its capacity to expand and create good paying jobs, we are going to spend N75 billion between July 2023 and March 2024. Our objective is to fund 75 enterprises with great potential to kick-start a sustainable economic growth, accelerate structural transformation and improve productivity. Each of the 75 manufacturing enterprises will be able to access N1billion credit at 9% per annum with maximum of 60 months repayment for long term loans and 12 months for working capital. 

Our administration recognises the importance of micro, small and medium-sized enterprises and the informal sector as drivers of growth. We are going to energise this very important sector with N125 billion. 

Out of the sum, we will spend N50 billion on Conditional Grant to 1 million nano businesses between now and March 2024. Our target is to give N50,000 each to 1,300 nano business owners in each of the 774 local governments across the country. 

Ultimately, this programme will further drive financial inclusion by onboarding beneficiaries into the formal banking system. In like manner, we will fund 100,000 MSMEs and start-ups with N75 billion. Under this scheme, each enterprise promoter will be able to get between N500,000 to N1million at 9% interest per annum and a repayment period of 36 months. 

To further ensure that prices of food items remain affordable, we have had a multi-stakeholder engagement with various farmers’ associations and operators within the agricultural value chain. 

In the short and immediate terms, we will ensure staple foods are available and affordable. To this end, I have ordered release of 200,000 Metric Tonnes of grains from strategic reserves to households across the 36 states and FCT to moderate prices. We are also providing 225,000 metric tonnes of fertilizer, seedlings and other inputs to farmers who are committed to our food security agenda. 

Our plan to support cultivation of 500,000 hectares of farmland and all-year-round farming practice remains on course. To be specific, N200 billion out of the N500 billion approved by the National Assembly will be disbursed as follows:  

 • Our administration will invest N50 billion each to cultivate 150,000 hectares of rice and maize. 

• N50 billion each will also be earmarked to cultivate 100,000 hectares of wheat and cassava. 

This expansive agricultural programme will be implemented targeting small-holder farmers and leveraging large-scale private sector players in the agric business with strong performance record. 

In this regard, the expertise of Development Finance Institutions, commercial banks and microfinance banks will be tapped into to develop a viable and an appropriate transaction structure for all stakeholders. 

Fellow Nigerians, I made a solemn pledge to work for you. How to improve your welfare and living condition is of paramount importance to me and it’s the only thing that keeps me up day and night. 

It is in the light of this that I approved Infrastructure Support Fund for the States. This new Infrastructure Fund will enable States to intervene and invest in critical areas and bring relief to many of the pain points as well as revamp our decaying healthcare and educational Infrastructure. 

The fund will also bring improvements to rural access roads to ease evacuation of farm produce to markets. With the fund, our states will become more competitive and on a stronger financial footing to deliver economic prosperity to Nigerians.

 Part of our programme is to roll out buses across the states and local governments for mass transit at a much more affordable rate. We have made provision to invest N100 billion between now and March 2024 to acquire 3000 units of 20-seater CNG-fuelled buses. 

These buses will be shared to major transportation companies in the states, using the intensity of travel per capital. Participating transport companies will be able to access credit under this facility at 9% per annum with 60 months repayment period. 

In the same vein, we are also working in collaboration with the Labour unions to introduce a new national minimum wage for workers. I want to tell our workers this: your salary review is coming. 

Once we agree on the new minimum wage and general upward review, we will make budget provision for it for immediate implementation. 

 I want to use this opportunity to salute many private employers in the Organised Private Sector who have already implemented general salary review for employees. 

 Fellow Nigerians, this period may be hard on us and there is no doubt about it that it is tough on us. But I urge you all to look beyond the present temporary pains and aim at the larger picture. All of our good and helpful plans are in the works. More importantly, I know that they will work. 

Sadly, there was an unavoidable lag between subsidy removal and these plans coming fully on line. However, we are swiftly closing the time gap. I plead with you to please have faith in our ability to deliver and in our concern for your well-being. 

We will get out of this turbulence. And, due to the measures we have taken, Nigeria will be better equipped and able to take advantage of the future that awaits her. 

 In a little over two months, we have saved over a trillion Naira that would have been squandered on the unproductive fuel subsidy which only benefitted smugglers and fraudsters. That money will now be used more directly and more beneficially for you and your families. 

 For example, we shall fulfill our promise to make education more affordable to all and provide loans to higher education students who may need them. No Nigerian student will have to abandon his or her education because of lack of money. 

 Our commitment is to promote the greatest good for the greatest number of our people. On this principle, we shall never falter. 

We are also monitoring the effects of the exchange rate and inflation on gasoline prices. If and when necessary, we will intervene.

I assure you my fellow country men and women that we are exiting the darkness to enter a new and glorious dawn.

Now, I must get back to work in order to make this vision come true.

Thank you all for listening and may God bless Federal Republic of Nigeria.