In a period when many canvass and beckon on the Nigerian government to find a lasting solution to her economic woes through diversification from export of hydro-carbon resources (crude-oil) to other viable economic sector like extraction of minerals and massive capital investment in Agriculture. Many arguments have been proposed on how the economy can be diversified so s to grapple with the eminent ever increasing challenge of economic growth and development.
This piece does not in any way seek to go against the dictate of economic development through the deployment of effective strategy like diversification into the most widely engaged sector in the country that is agriculture. In essence, at the end of the digestion of this article, it is aimed that, knowledge would have been made available on what the Nigerian economy is like, how to improve and make the economy more viable and list some unavoidable benefits of developing the economy.
Definition of Economic Development
Economic development is the process in which a nation is being improved in the sector of the economic, political, and social well-being of its people. The term has been used frequently by economists, politicians, and others in the 20th and 21st centuries. Wikipedia.
The economic realities expressed today is well known to be sickly and characterized to be underperforming especially when compared with the numerous available resources endowed physically, humanly and in the comparative advantage it has against other African countries in relations to its geographical location and the pivotal role it plays as a big brother. The facts mentioned are really disheartening and therefore calls for the integrative and cooperative efforts of all and sundry to move from this shameful ditch of economic woes. There is seriously no need repeating the failure of the economy cause it real and living with us, associating with us like a good neighbor, so we cannot in any sense deny its reality cause times without number we’ve interacted expressed in the incessant irregularities existing in our society and environment. It is on this premise that we are posed with the question, how do we improve the Nigerian economy.
Recommendations on How to develop the Nigerian Economy
- Creation of favorable environment for generation of effective policies:
The first challenge that is noticed is coming largely, basically, from the agents of political actors. The sluggishness, lack of political will to effectively and religiously administer the medication of creating policies with the interest of the whole populace at the central point and the fostering of enabling economic environment for growth and development. This may be apprehended by following through some of the past policies that had performed well in previous time therefore actualizing an economic plan that runs more than the life time of their tenure.
- Development of the Agricultural sector:
Prior to the discovery of crude oil in Nigeria in the 1950s, the agricultural sector led in the creation of wealth for the execution of governmental estimated budgets. However, ever since its discovery the black oil has done a lot of harm as to blind folding and crippling the effective utilization and development of other sectors of the economy. But nonetheless, it can never be too late if the Nigerian economy is liberated to express its hidden potentials in other sectors of the economy especially the most promising of them all agriculture. One of the comparative advantages attached with this is the favorable atmospheric conditions, available wide land mass and the very reason that agriculture has the largest percentage of the work force.
- Expansion of Infrastructure:
Though there have been lot of arguments concerning the heavy capital involved in achieving this economic feat, against all odds if reasonable growth is going to be effected in the economy then the government in collaboration with the private sector should work out a cooperation action line at arriving at providing basic access routes for flow of materials, sustained power supply, housing benefits plan, social and cooperate social responsibilities this is aimed reducing cost of production leading to increase comparative cost advantage therefore development.
- Revamping existing refineries and docile factories:
Even though it has been earlier debated that diversification is a panacea to economic development, it cannot be negligible, throwing away the positive impact of our main source of revenue for now is to break the backbone of the Nigerian economy. To this effect resuscitating the dead and long used refineries though historical to where we are now is another solution to breaking loose from economic woes. This should however be extended to the other factories like the textile cause it will result into creation of wealth through job creation and increase in human resource utilization.
- Support to small, medium and micro scale enterprises:
The hub of innovation and creativity lies in the hands of the small scale enterprises. Therefore it will be wise if monetary support, or friendly economic habitat is created for the thriving of such businesses, this will go a long way to contributing to the increase of Gross Domestic Product thereby increasing the per capital income being one of the indicators of economic growth. In this also lies the manipulation of products to meet Nigerian consumer’s taste since they live in the same environment as the consumers they also are aware of the peculiar challenges faced by them.
- Export expansion for foreign exchange:
The expansion of the various sectors of the economy will ensure the rapid move of the Nigerian economy from its docile stage to its mobile which will eventually lead to export to other markets across the borders resulting in generation of more wealth. As noticed during pre-oil exploration periods in Nigeria and all over Africa, export was able to generate about 47% of the total budget as of that time. Applying this to today’s reality development of viable agricultural products like the legumes, cereals and even animal rearing could be the solution we all face today.
Benefits of improving the economy
The importance and benefits of bourgeoning the economy can never be a neglected aspect of this piece. Some of these benefits are highlighted to include the following:
- Reduction of unemployment:
One of the indicators of a good economy is the availability of gainful employment opportunities. This benefit can never be over talked about because from it flow the sustenance of economic growth and development inherent in a locality.
- Reduced rate in crime and corruption:
Reduction in crime and corruption is a sure benefit of a good economy because the intellectual capacity and resource is gainfully employed and channeled into productive ventures keeping the mind busy from vices and crime.
- Attainment of higher quality of life with lower cost of living: Higher quality of life is a benefit of an improved economy which stems from lower cost of living. It is fact that the average dweller in a bad economy spends more in trying to get basic amenities compared to their counterparts in developed economies.
As usual, today; we fail to look inwards. Perhaps because we fear we would find in you and I, the summary of all other failures and disorganization. A sort of heart from which horror gravitates and every kind of confusion in our fatherland. If at all we will be known for creating and keeping a conducive environment for development then all hands must be on deck to ensuring that we are ranked among the best economy that first of all soothes our peculiar problems and viably competing with other economies of the world.