The Nation Newspaper

Tag: Economy

  • How agric can rescue economy, by experts

    Concerted efforts are needed to revive the  economy by stimulating    agricultural growth measures, experts have said.

    According to them, the agricultural sector accounts for 70 per cent of the nation’s employment ratio, and it is a major contributor to the Gross Domestic Products (GDP). Therefore, it requires support for expansion, including improving irrigation facilities, providing food security and creation of various funds and schemes.

    The experts include a professor of Rural Development Communication Federal University of Agriculture Abeokuta, Kolawole Adebayo and former Dean Faculty of Agriculture, University of Ilorin, Kwara State, Prof Abiodun Adeloye.

    They stated that building roads, power plants, ports and other infrastructure was key to spurring economic activities and unlocking opportunities in agriculture across the country.

    In an interview with The Nation on the economic challenge, Adebayo said: “The best way out of recession is increased government expenditures in the sectors that create and retain jobs while developing infrastructures. So, if we pay local contractors to develop rural roads, we would not only generate jobs in road construction, but facilitate  transportation of agricultural products and improve people’s lives.”

    For Adeloye, agriculture is still the major source of income and employment for the population, adding that it has played the most important role in poverty reduction.

    With Nigeria’s GDP dropping due to the fall in oil price and output and increasing insecurity challenge,  he noted that it was time Nigeria built its economy on agriculture.  “So we need to get back there. Let’s go back to the farms and do the work. God has been good, the rain is much this year so why dont we key into the goodies of the abundant rainfall? Agriculture and export of agriculture produce are possible solutions.”

    He emphasised the need to tackle poverty as well as support growth of agriculture to boost domestic demand.

    International Society for Root Crops, Africa Branch President and Dean, College of Food Science and Human Ecology, Department of Food Science & Technology, Federal University of Agriculture, Abeokuta, the Ogun State capital, Prof. Lateef Sanni, said Nigeria’s agriculture sector had to reform its production and business structure to attract more foreign direct investment (FDI).

    He said the agricultural sector  should restructure production and business, including solutions on attracting investment from home and abroad.

    Sanni said attracting FDI in the domestic agriculture sector required setting the goals to develop a more vibrant and diversified rural economy with sustainable agricultural growth, high-value creation, food safety in line with international standard, higher competitiveness and farmer income, and technology-intensive agriculture.

  • Zuckerberg, Nigerian economy and power of ideas

    Few weeks back, famous co- founder of Facebook, Mark Zuckerberg, visited Nigeria. The visit was completely devoid of the traditional fanfare often associated with such high profile visits. For most part of his stay, Zuckerberg was in the company of ordinary Nigerian folks. Seeing him completely at home in the company of regular Nigerian youths kept one wondering if this is, indeed, the genius who created the globally acclaimed billion dollar-brand  that has effectively integrated the world into a truly global village. It is instructive that despite being a leading global entrepreneur, Zuckerberg’s lifestyle doesn’t in any way reflect his stupendously wealthy pedigree.

    Let me, however state that the essence of this piece is not to celebrate Zuckerberg’s simplicity. Rather, it is to call attention to what, in my opinion, has turned Zuckerberg into a captivating global phenomenon. And this is the power of ideas. Famous Nigerian success coach and motivational speaker, Sam Adeyemi, once affirmed, and rightly so, that ideas rule the world. The quality of ideas available in a given society determines the quality of life and opportunities available in such society.

    Many people seem not to understand that the quality of our lives as human beings is substantially a reflection of the quality of ideas we generate. Many still seem not to comprehend that the ideas which we conceive, like kola in Igbo culture, is life in itself. It is the kind of ideas that we give to our space that it gives back to us. No more, no less. Zuckerberg invented Facebook in his twenties and as a university undergraduate. Thanks to the strength and depth of his idea, today, he ranks among the world top billionaires. The source of his kind of wealth is quite instructive for the average Nigerian youth. His wealth was founded and driven on the power of ideas.

    Presently, our nation is passing through a painful economic route. Oil, which has been our major source of revenue for decades, no longer commands huge financial status in the international market. Even if it still does, Niger-Delta militants’ activities remain a major worry.  So, we are stuck; wallowing in self-pity and indulging in destructive blame game that leads to nowhere. But the Zuckerberg model has shown us clearly that having fertile and bright minds is better than possession of billions of oil wells. The utility of the latter is tied to the earlier. Without the required human resource, whatever prosperity that any nation possesses will eventually amount to nothing. This, sadly, is the story of Nigeria.

    Without bright ideas, there cannot be innovations. And it is innovations that bring development. Innovation is the natural by-product of idea. Innovation is the prime basis for socio-economic progression in any society. We must be under no illusion. Societies that fail to harness the power of innovation will eventually become the customers of those that do.  There is no magic about it. Our economy is presently at comatose because we have relegated innovation to the background for a long time. Rather, we celebrate overnight billionaires with no visible entrepreneurial and cerebral pedigree while we sentence our younger folks with bright ideas to a life of misery and frustration.

    A failure to frame and harness innovation might consign future generations of Nigerians to material dependency on those nations that had seized the mantle when they had the opportunity. We must be able to create an environment in which young entrepreneurs can come up with the most innovative products and services. Innovation is a journey. But it is an endless one. For us to be relevant in the emerging world order, we must ensure that our youth keep thinking, developing and working.

    To integrate innovation into our daily living, we must take on a leading role in promoting science, technology and modernism as core policy areas that not only hold the key to the future, but could also make our nation one of the continent’s innovation leaders.

    It is only in successfully doing this that we could effectively harness the untapped potentials of our youth, thereby unearthing our numerous but hidden Mark Zuckerbergs.  In Zuckerberg’s own words: “This trip has really blown me away by the talents of young entrepreneurs and developers in this country, and making a difference and making a change. It reminds me of when I wanted to start Facebook. I wasn’t starting a company at the time but wanted to build something to see if it would work. And that is what I see people here do, pushing through challenges, building things that you want to see in the world. You are not just going to change Nigeria and the whole of Africa but the whole world.”

    The future belongs to ideas and ideas naturally feel right with the youth. It is in realization of this that Zuckerberg, perhaps, shunned older key players in the nation’s telecommunication and media industry and chose to rather associate with the youth as he understands that the future can only be driven by young talents.

    If we are to ensure that the next generation of our compatriots is not a wasted one, we need to change our values system as a people. This is the time to raise and nurture young folks with innovative mind-sets.  As previously asserted, idea is the engine that transforms the way we live and think. The advanced economies of the world were founded and being sustained on great socio-political and economic ideas.

    Fifty years ago, controversial American physicist, historian and philosopher, Thomas Samuel Kuhn, coined the term ‘paradigm shift’. What he was referring to then is the moment when our worldview essentially alters as a result of a new idea. For our nation to truly experience a feasible ‘paradigm shift’ from adversity to prosperity, this is time to invest in new ideas that could positively shape our future.

     

    • Ogunbiyi is of the Ministry of Information & Strategy, Alausa, Ikeja.

  • UI students hold debate on economy

    The third yearly Jaw Wars kicked off at the University of Ibadan (UI) on Wednesday last week with students of various halls of residence challenging  proving their supremacy on the  economy.

    The Literary and Debating Society provided the platform, and the Theme for the debate, which will last until November was: “Nigeria: Africa’s heartbeat in coma.”

    The halls were represented by two students each.

    Chief Judge, Dr Demola Lewis, gave the rules of the game and the acceptable way of comportment during a debate or speaking competition.  He urged the students to snap their fingers rather than howl and clap in favour of their speakers – because noisemaking tends to hinder the flow of thought and words of the speakers; and because judges may assess speakers poorly if they do not hear them.

    Chants of stand up, speak up or shut up rent the air as the event was formally opened.

    There were a total of five rounds in the first stage of the event. The first round topic was “Should special courts be set up for corruption cases?”  And the debate was between the male hall of residence, Tedder Hall which spoke in favour of the topic and the female hall of residence, Obafemi Awolowo Hall, which spoke against the topic.

    The second round was between the Independence Hall and Nnamdi Azikiwe Hall, both male halls of residence. “The abolition of religion; a just cause?” was the topic and Indy Hall spoke in favour, while Zik Hall spoke against it.

    Sultan Bello Hall was up against Alexander Brown Hall for both male and female students of College of Medicine battled in the next round. Sultan Bello Hall spoke against the topic: “Nigerian prison system; a reformation of criminal”.

    Queen Elizabeth II Hall spoke in favour of the topic: “Euthanasia: Justifiable or not” as it competed against Kenneth Mellamby Hall.

    The final round was between female hall of residence, Queen Idia, and the male hall of residence, Kuti, which debated on “Strike: A panacea to the problems of the nation’s educational sector?” Kuti hall spoke in favour of the topic.

    After five rounds of listening to mind blowing, educating and informative speeches the judges, Dr Lewis, Odebowale, and Mr Tunde Ogundare were saddled with the responsibility to choose the best speakers. After much deliberation, Queen Elizabeth II hall won the first stage of the competition with 84 per cent, Mellamby hall came second with 81.2 per cent; and Sultan Bello, third with 81 per cent.

    But the event was not all about debates alone.

    An entrepreneur, Miss Bukunmi Adeaga, related the topic to entrepreneurship.

    She urged the students to invest in themselves and be disciplined.

    “As an entrepreneur it is not about who is going to let you but about who is going to stop you. Your certificate is not a means of grading yourself. (You are rated) by what you known and can do and by yours skills. All this is possible by investing in yourself daily and continuously,” she said.

    Opaleye Akintunde recited a poem entitled: “The dark Nigeria”, which focused on the need to have faith and hope in Nigeria. It also speaks on the need to imbibe African values and shun corruption.

    The Jaw wars theme song was presented by Michael Olaoye.  It focused on the need to use words to speak and do positive things.

    In his speech, the Dean of Students Affairs, Prof Abdulrasak Alada, expressed the joy of being among the students in an educative and fun filled event.

    The President of the Literary and Debating Society, Catherine Tomosori, also spoke on the past and future of Jaw Wars in the university and the nation.

    The event was rounded up with  Olaoye singing the Jaw Wars theme song.

    The finale of the competition takes place on the November 3, 2016 at the large lecture theatre of the faculty of Social Sciences, with a debate among the different faculties in the university to determine the winners.

    Tedder Hall and the Faculty of Social Sciences won the 2015 edition of the competition.

    Important figures in the university and students union, including the President, Ojo Oluwanifemi, attend the event.

  • UI students hold debate on economy

    The Literary and Debating Society of the University of Ibadan (UI) has begun her third yearly Jaw Wars with a focus on the economy.  MERCY ADEDIGBA (100-Level Communication and Language Arts Education) reports on the issue.

    The third yearly Jaw Wars kicked off at the University of Ibadan (UI) on Wednesday last week with students of various halls of residence challenging  proving their supremacy on the  economy.

    The Literary and Debating Society provided the platform, and the Theme for the debate, which will last until November was: “Nigeria: Africa’s heartbeat in coma.”

    The halls were represented by two students each.

    Chief Judge, Dr Demola Lewis, gave the rules of the game and the acceptable way of comportment during a debate or speaking competition.  He urged the students to snap their fingers rather than howl and clap in favour of their speakers – because noisemaking tends to hinder the flow of thought and words of the speakers; and because judges may assess speakers poorly if they do not hear them.

    Chants of stand up, speak up or shut up rent the air as the event was formally opened.

    There were a total of five rounds in the first stage of the event. The first round topic was “Should special courts be set up for corruption cases?”  And the debate was between the male hall of residence, Tedder Hall which spoke in favour of the topic and the female hall of residence, Obafemi Awolowo Hall, which spoke against the topic.

    The second round was between the Independence Hall and Nnamdi Azikiwe Hall, both male halls of residence. “The abolition of religion; a just cause?” was the topic and Indy Hall spoke in favour, while Zik Hall spoke against it.

    Sultan Bello Hall was up against Alexander Brown Hall for both male and female students of College of Medicine battled in the next round. Sultan Bello Hall spoke against the topic: “Nigerian prison system; a reformation of criminal”.

    Queen Elizabeth II Hall spoke in favour of the topic: “Euthanasia: Justifiable or not” as it competed against Kenneth Mellamby Hall.

    The final round was between female hall of residence, Queen Idia, and the male hall of residence, Kuti, which debated on “Strike: A panacea to the problems of the nation’s educational sector?” Kuti hall spoke in favour of the topic.

    After five rounds of listening to mind blowing, educating and informative speeches the judges, Dr Lewis, Odebowale, and Mr Tunde Ogundare were saddled with the responsibility to choose the best speakers. After much deliberation, Queen Elizabeth II hall won the first stage of the competition with 84 per cent, Mellamby hall came second with 81.2 per cent; and Sultan Bello, third with 81 per cent.

    But the event was not all about debates alone.

    An entrepreneur, Miss Bukunmi Adeaga, related the topic to entrepreneurship.

    She urged the students to invest in themselves and be disciplined.

    “As an entrepreneur it is not about who is going to let you but about who is going to stop you. Your certificate is not a means of grading yourself. (You are rated) by what you known and can do and by yours skills. All this is possible by investing in yourself daily and continuously,” she said.

    Opaleye Akintunde recited a poem entitled: “The dark Nigeria”, which focused on the need to have faith and hope in Nigeria. It also speaks on the need to imbibe African values and shun corruption.

    The Jaw wars theme song was presented by Michael Olaoye.  It focused on the need to use words to speak and do positive things.

    In his speech, the Dean of Students Affairs, Prof Abdulrasak Alada, expressed the joy of being among the students in an educative and fun filled event.

    The President of the Literary and Debating Society, Catherine Tomosori, also spoke on the past and future of Jaw Wars in the university and the nation.

    The event was rounded up with  Olaoye singing the Jaw Wars theme song.

    The finale of the competition takes place on the November 3, 2016 at the large lecture theatre of the faculty of Social Sciences, with a debate among the different faculties in the university to determine the winners.

    Tedder Hall and the Faculty of Social Sciences won the 2015 edition of the competition.

    Important figures in the university and students union, including the President, Ojo Oluwanifemi, attend the event.

  • 9ice releases Economy

    9ice releases Economy

    Hip hop singer Abolore Akande aka 9ice has released a new song: Economy. The Alapomeji crooner said the song is about the ups-and-downs of the economy.

    According to the artiste; “the Nigerian economy, as a song or as a topic, is rare in today’s entertainment world but crucial, necessary and needed for us as Nigerians to grow. We know what we want, but we want to know where we went wrong and how to prefer solutions to our problems.”

    Economy is produced by DJ Coublon, who produced Wash for Tekno, and Good Times for Kiss Daniel, 9ice said.

    DJ Coublon brings his creativity to this song, as 9ice prepares to drop his eighth album on October 1. The album, he says, is dedicated to his brother, producer and mentor, Olumide Ogunade, better known as ID Cabasa.

    Profits from sales of the album will go to ID Cabasa as a way of celebrating the prolific music producer.

    Among 9ice albums are Certificate (2007), Gongo Aso (2008), Tradition (2009), Bashorun (2011), Versus (2011), CNN (2014) and GRA (2014).

  • Saraki to review economy

    Saraki to review economy

    Senate President Bukola Saraki will review the state of the economy in his welcome address to the Senate today.

    The Senate President’s address will coincide with the resumption of the 8th Senate from its annual recess.

    A statement from the Office of the Senate President said the speech would announce that the Senate would focus the majority of its legislative days on solutions to tackling the recession and the timely passage of the 2017 Budget.

    It reads: “During our annual recess, myself and many of my colleagues in the Senate returned to our constituencies to witness the severe impact of the economic downturn on local communities.

    “The conditions on ground demand that we put forth our best efforts to get the economy moving and people back to work.

    “The process of reviving our economy must be an inclusive one. The best minds in government, business, and academia must be brought together to find solutions. We have analysed the problems extensively, now is the time to act!”

  • FG releases N350bn to reflate economy

    FG releases N350bn to reflate economy

    •Releases N60bn social intervention fund •Initiates measures to tackle economic recession

    •Nigeria to raise $1bn from Eurobond market

    Moves to steer the country out of economic recession has received a boost with the decision of the Federal Government to pump the sum of N350 billion into the economy in the next few days as capital allocation to ministries, departments and agencies (MDAs).

    The implementation of the N5,000 monthly stipend social intervention programme of the government is also billed to commence at the end of this month with the release of N60 billion.

    Addressing journalists on these developments and government’s plan for the economy yesterday, the Minister of Finance, Mrs. Kemi Adeosun, said: “We are releasing another N350 billion. There will also be the funding of about N60 billion in the social intervention programme, and that is very important in terms of putting money into people’s pocket.”

    The finance minister stated that when the N350 billion is released and cash backed in a few days from now, it will bring the total amount released by the Federal Government to N770 billion for capital projects from the N1.8 trillion budgeted in 2016.

    According to the minister, “those are the programmes that we really cash backed. The N5,000 to some of the most poor and vulnerable, the home school feeding programme, which is very important. That will also generate some economic activity in a lot of our local governments with women and maybe men cooking for the children.

    “And then the ‘Empower the Teacher Call’, that is the graduates that will be going into primary schools as teachers so they will begin to get salaries/stipends from the end of the month.

    “So we will be cash-backing these programmes today as part of the N350 billion additional releases, which will take our total capital releases to date to N770 billion.”

    Adeosun explained that key projects in power, housing, transport, aviation, water defence and agriculture will get the largest chunk of the disbursement, noting that the rationale behind giving priority to key projects was in line with Federal Government’s belief that “the quickest means to revive the economy entails re-directing expenditure to funding key infrastructure that will impact growth on the economy.”

    The finance minister added that the administration was “working hard to redirect the economy from being a consumption economy to a productive economy”. She assured that “the government has what it takes to achieve the goal of getting the country out of recession.”

    According to her, “we have a strategic plan that will take us out of this current recession. We are raising money. As you know, the Euro bond is on. We are about to appoint Advisers.  We are about raising additional $1 billion.”

    Adeosun added: “Two weeks ago, we approved the borrowing plan and that is very important, as we will be borrowing the cheapest money first. We have approved that plan from World Bank, from AfDB with interest rates as low as 1 per cent and tenor as long as 40 years. We are intervening in specific areas, which include agriculture, health, the railway project, and these are very key to what we are doing.”

    Speaking on the life span of the recession, Adeosun said: “We don’t think it is going to be a long recession, considering some of the initiatives we have put in place, which will begin to bear fruits soon.”

    Another of the government’s plan is to get out of the Joint Venture Companies (JVC) Cash Call burden.

    According to her, “this month, for Federation Account Allocation Committee (FAAC) we only got N41 billion from oil and gas. We had to use N110 billion for funding of cash call. If we had that money, we could have pumped that money into the economy.

    “We  are working with the ministry of petroleum, with Nigerian National Petroleum Corporation (NNPC) to get out from cash call burden.

    “Instead of taking money from the federation account for JVC, the plan is to allow those joint ventures to borrow money that they need rather than taking money from the federation account, and that will improve the money in circulation,” she said.

    The minister also disclosed that the federal government was doing “a lot of work with the sub-national governments around the budget support plan. Many of them have not been paying salaries for months. We have now been able to support them with additional monies every month from the FAAC account, and many of them have now resumed paying salaries.

    “We are monitoring them, because the loan facilities were conditional. We have sent the monitoring and evaluation committee out to go and check that they are actually doing what they undertook to do, and we are pleased to report that many are paying salaries and that will also have a huge effect on demand and help to get the economy moving.”

    “We are confident that the plan we put together will work. It is a long term plan that will reposition the economy and make sure that we don’t go through this boom and burst cycles that are driven by the oil price.

    “The economy has to be more resilient than that, so that we don’t find ourselves back to where we are.”

    She assured Nigerians that government’s contingent plans will be effective in repositioning the economy to ensure the economy does not slip back into recession.

    In addition, “any of the programmes of the immediate past administration found to be vital in addressing the challenge of the economy will be sustained by the present administration. The YouWin programme is one of such, which is currently being restructured.”

  • How to save the economy, by Dangote

    How to save the economy, by Dangote

    •Says ‘we need to sell off some of our assets’ 

    Business mogul Aliko Dangote believes  a wave of asset selling by the government could be the saving grace for Nigeria in the face of the current economic recession.

    “I think the real challenge for us is now for us to have the political will in terms of selling some assets,” he told the Consumer News and Business Channels (CNBC) Africa yesterday.

    “I think it’s an easier route than the IMF (International Monetary Fund) or the World Bank to borrow money, because what you need to do is actually to beef up the reserves.”

    Dangote spoke before Nigeria’s credit rating was downgraded to B from B+ by S&P Global Ratings yesterday.

    He urged the government to sell assets in some of its joint ventures with the private sector in an open tender process.

    He said that Africa Finance Corporation – a development finance institution established in 2007 – would fetch close to $800 million while  government s should also look to sell 100 percent of the country’s stake in Nigeria LNG Limited.

    “If I had challenges in my company, I would not hesitate to sell assets, to remain afloat, to get to the better times, because it doesn’t make any sense for me to keep any assets and then suffocate the whole organization,” Dangote said.

    S & P branded the economy “weakened more than we expected owing to a marked contraction in oil production, a restrictive foreign exchange regime and delayed fiscal stimulus.”

    The  economy is set to contract on an annual basis in 2016 for the first time in 21 years, with its all-important oil industry suffering under weak global prices.

    The  gross domestic product (GDP) dropped by 2.06 percent in the second quarter of 2016, after falling 0.36 percent in the previous three months.

    Dangote said the economy  should have been diversified a long time ago, lamenting the  overreliance on oil.

    But  he was optimistic that Nigeria would exit recession by  the last  quarter of the year and said the country “has all the answers” to bounce back to health.

  • Recession due to global downturn, past governments, says Buhari

    Recession due to global downturn, past governments, says Buhari

    President Muhammadu Buhari on Sunday attributed the economic recession in the country partly to the global economic downturn and the failure of past governments in the country to save for the rainy day.

    He made the remark in his Eid-El-Kabir message to Nigerians.

    He however said that his administration is committed to reflating the economy and improving the standard of living of Nigerians.

    He wished all Nigerians happy Sallah celebrations.

    Full text of the message follows:

    “Fellow Compatriots, as you celebrate the Eid-El-Kabir, I salute your steadfastness in spite of the difficult economic times the country is going through.

    “The lessons of the Eid are piety and sacrifice and, my dear brothers and sisters, you have exhibited these in equal measure.

    “The present recession is as a result of cumulative effects of worldwide economic downturn and failure in the past to plan and save for difficult times. It is impossible to separate the present from the past to appreciate the extent to which mistakes of the past are affecting everyday life today.

    “I assure you that this administration is working round the clock to remove the hardships the country is going through. Rail and road constructions, projects in the housing sector, support for farmers and for small and medium scale industries, youth and women’s empowerment programmes, support for revival of industries are all designed to reinvigorate the economy and enhance living standards of ordinary people.” He added

    While noting that his administration is getting security right and stopping corruption in its tracks, he expressed confidence that the government will get the economy right by the Grace of God.

    “I enjoin Muslims to live by the dictates of Islam, to keep good relationships with their Christian brothers and sisters and as patriots to maintain the spirit of the Nigerian nation,” he stated.

  • Pray for quick recovery of the economy- APC

    Pray for quick recovery of the economy- APC

    The All Progressives Congress (APC) has appealed to Nigerians to pray for the quick recovery of the nation’s economy and support government efforts at pulling the country out of the present economic hardship.
    In a Sallah message to Muslims, signed by the National Chairman, Chief John Odigie-Oyegun, the party said Muslim faithfuls and all Nigerians should use the occasion of Eid-el-Kabir celebration to show love and promote harmonious and peaceful co-existence with one another irrespective of ethnic or religious affiliations.
    “Muslim faithful and indeed all Nigerians are enjoined to use the occasion of Eid-el-Kabir to pray for the peace, development and prosperity of the country.
    “Indeed, Nigeria is today passing through challenging times in its socio-economic life, the Party calls on Nigerians to pray and support the administration as it works assiduously to pull the country out of the present hardships and restore the country on the path growth in all facets.
    “Happily, the President Muhammadu Buhari-led APC administration is already employing all legitimate and innovative means to restore the country’s battered economy back to health in the quickest possible time,” Oyegun stated.
    He called on Nigerians to support the recently launched National Re-orientation Campaign “Change Begins With Me”, saying “In a bold move to repair our value system that has been badly eroded over the years, on September 8, 2016, President Muhammadu Buhari launched the laudable National Re-orientation Campaign “Change Begins With Me’’.
    The Party appealed to all Nigerians to be part of this campaign which will institutionalise the best practice and time-honoured values of honesty, hard work, patriotism, abhorrence of corruption, accountability and integrity in our everyday life.