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Reduced cost of governance will boost infrastructure provision

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A system that has plunged us into this mess cannot bring us back from the brink. It cannot be business as usual if we want to get out of the woods. So far, no political party has given a policy thrust that will bring us back from the precipice that is staring us in the face, and those who feel they are doing the right thing may be offering derisory plans while thinking they are doing us favour. There must be a paradigm shift in the system which the politicians cannot provide on their own as their motives put their interests above those of the collective. There must be a system that is fair and equitable to all concerned and meets the global standard of cost control in governance. Now a solution proffers itself.

The political elite is the bane of the worsening situation in the country. As good as they may be individually, it would seem that they always conspire against the rest of us when they come together to play politics and are put in charge of the affairs of the country. This is when they treat the rest of us as fools, they lose their sense of humanity while they engage in the primitive acquisition of wealth, inanities, waste, profligacy, frivolous and ill-conceived projects, misapplication of resources, compromised institutions and appointments that are more or less sinecure, and pay total disregard to service to the nation, democratic governance and collective national interests.

The reasons are not farfetched: the general feudalistic background of the political elite has been unduly buoyed by the autocratic tendencies of the erstwhile military whom they replace. So, at the point where proper resource management and sense of proportion should have come into play as in developed democracies, our politicians display a total lack of integrity and sense of social justice but instead display “what is in it for me” or such primordial and parochial tendencies. The political class and their pliant compatriots in the civil service conveniently omitted to restore the checks and balances in governance when the military left the stage. As a result, what we now have is a cosmetic change from military to civil rule- a mere change from khaki to agbada- with a total lack of fiscal discipline that is expected in a working democracy.

It would appear that rather than focus on service to the nation, the political class is focused on the treasury and power for their selfish ends. They venture into politics with the mindsets of men/women out to reap the highest possible dividends from their investments. Therefore, the booties after winning elections, and not service to fatherland, in my opinion, remain the motivating factors in most cases. This is the genesis of our problems. It is evident that if money and power continue to be the motivating factor, things will continue to get worse. Something has to change as we cannot be doing things the same way and expect different results.

The politicians are at the end of their tethers. So instead of coming up with workable solutions, they engage in the blame game, passing the buck without taking the faintest glimpse at the mirror. But the truth is that the political elite, being bereft of integrity, brought about this mess through their acts of omission and or commission. Only statesmen- politicians imbued with integrity and desire for social justice- can devise and implement a system that will take us out of the present mess. But no one can give what he does not have, hence the need to help politicians to help themselves and follow the advice of William Shakespeare: “Assume a virtue if you have it not” –the need to devise a cost-of-governance model that will serve as a thermostat to direct/regulate the cost of governance in line with the available resources, and the level of development of the nation.

In deriving a formula in this regard, a realistic view must be taken of the country’s resources and not based on the mistaken assumption that Nigeria is the giant of Africa. It must also be noted that governance is a common service which features in every country, even if its cost is relative to its resources/size and level of development. The system whereby over 70 per cent of our resources are being squandered on cost of governance is unwieldy and that is why everything is going downhill. There must be a paradigm shift in the system that turns politics and governance into business ventures.

I give the government or political party an option out of three systems designed as a means of planning for development and achieving the desired goal of cost-effective cum cost-efficient governance. The first system is that the cost of governance should be equal to or less than 30 per cent of the country’s resources for the period. This will leave 70 per cent for other commitments- education, health, infrastructure etc.

Learning from others is the second system. It will be wise counsel for the giant to go to the ants, learn their ways and be wise. When Nigeria became independent, we were at par, or even better off economically, than some countries then classified as third world/developing countries. Examples of such countries are Singapore, Malaysia, and South Korea. These countries have left us behind and are now proudly referred to as Asian Tigers. We can copy the consumption pattern that catapulted them out of the rung of the underdevelopment class.

The third system is to derive another (if different from the aforesuggested) which must take cognisance of the fact that this country is the poverty capital of the world and all the indices of development put Nigeria at the last rung. Consider the absurdity that the poverty capital of the world is paying the highest remuneration to its legislators or the president or ministers of the poorest nation when compared with the richest nations. The point being made here is that the consumption pattern must be based on objective realities.

The success of Nigeria is our collective desire, but we cannot achieve this if we continue to leave politics to the politicians. It is my considered opinion that we can contribute our quota by considering and applying this as a verifiable and veritable chink in the armour of the giant that Nigeria’s problems have become. In other words, when the cost of governance is streamlined as suggested, everything will fall into place. Conversely, the longer this is ignored, we should expect from our leaders more actions that are less altruistic.

INEC warns election observers against rules violation

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The Independent National Electoral Commission, on Wednesday, warned election observer groups that their accreditation for the Edo and Ondo governorship polls could be revoked anytime if found violating its code of conduct.

The According reported on Monday that a total of 134 international and local observer groups were accredited by INEC.

The classification of the accredited groups showed that 28 are gender-based, three represent persons with disability, 8 are faith-based, 10 international and over 100 others working in areas relevant to the functions of the commission.

Speaking at a training session for election observers in Abuja, the National Commissioner and Chairman of the Election and Party Monitoring Committee, Sam Olumekun, said for the groups to retain their accreditations they must adhere to the rules.

He said, “As accredited Observer Groups, you will be allowed access to observe all the election processes as outlined in the commission’s Reviewed Regulations and Guidelines for the conduct of elections available at the INEC website.

“I need to, however, bring to your attention that your accreditation may be withdrawn at any stage of the election process if it is established that your organisation is violating the Code of Conduct for observers as contained in the Guidelines for Election Observation available on INEC website.

Again, you are to be reminded that the accreditation of your organisation to observe the elections is without financial obligations on the commission.”

Olumekun urged them to pay attention to monitoring the integrity of the elections.

“While there are quite a number of trustworthy, honest, objective, hardworking and credible observer groups in the country who have contributed greatly to deepening democracy and the electoral process in Nigeria over the years, there are still others who have continued to display laxity about election observation and have cared less about the integrity of the entire process,” he said.

Acting Director of Election and Party Monitoring, Hauwa Habib, urged the groups to update their records with the Corporate Affairs Commission.

Habib said, “The commission’s process of selection and registration of observers is strictly on the provision that the organisation is registered with the Corporate Affairs Commission as trustees whose areas include covering elections and the registered 134 of you here have passed the test.

“From the records available to us at the commission it is noticed that some of you will need to update your records with the CAC. The importance of observers as stakeholders in the development of election processes and procedures and we urge your group leaders to select observers who are interested in the job and properly trained to ensure that their observation and reporting are in line with the guidelines of the commission.”

Stakeholders demand 10% benefit for solid minerals host communities

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Stakeholders in the solid minerals sector have called for the payment of 10 per cent benefits to host communities as part of measures to build an environment that would ensure peaceful coexistence between miners and indigenes.

This is just as they proposed a 10-year renewable mining lease instead of the 25 years as captured in Section 66 of the Solid Minerals Mining Act 2007.

These demands were tabled for deliberations on Wednesday at the public hearing of repeal and enactment of a bill titled, “Nigeria Mineral Development Company Limited (Establishment) Bill 2023,” organised by the House of Representatives Committee on Solid Minerals.

Speaking at the hearing, a representative of Renevlyn Development Initiative, Tobias Lengs, lamented the health risk of mining activities owing to environmental degradation and the lack of proper care for miners in host communities.

He said, “We suggest an upward review of the extraction net value revenue that goes to the Community Development Association.  10 per cent is recommended and this should be reviewed periodically.

“The duration of a mining lease is 25 years and shall be renewable every 24 years as captured in Section 66 of the Solid Minerals Act. The 25-year mining lease arrangement is too long and leaves room for operators to get away with impunity at a huge cost to the nation. Instead, a 10-year mining lease is proposed to compel operators to be more responsive and accountable for their actions.

“The community development agreement should be flexible to allow the host community to determine exactly what they want to use the funds for without tying it to a particular line item. Their needs may change depending on the situation, hence the agreement details should not be open-ended.”

The representatives of the Environmental Defenders Network and the Nigerian Geological Survey Agency faulted the bill on the ground, saying that it gave too much power to the minister.

“The bill gives too much power to the minister. Other ministries relevant to the subject including the Ministry of Environment should be involved,” they said.

Ms Lumun Feese, who represented the Nigerian Economic Summit Group, stated that despite enacting new laws to sanitise the sector, not much has been achieved concerning revenue to the government and improved standard of living for Nigerians.

“The mining sector’s impact on the economy remains suboptimal, hovering below one per cent of Gross Domestic Product by 2015. In 2016, the government approved an industry roadmap aimed at enhancing the sector’s role as an economic driver, targeting a three per cent GDP contribution by 2025,” he said.

He commended the committee for initiating the bills to address the staggering decline of mining, even as he called on the Federal Government to make deliberate efforts to promote good governance in the sector.

“This call is similar to the government’s successful approach in the oil and gas sector demonstrated through the Petroleum Industry Act, 2021 to implement the Nigerian oil and gas policy. The PIA overhauled the institutional, legal, and regulatory framework for the oil and gas industry, establishing two regulatory agencies and fully commercialising the Nigerian National Petroleum Company Limited.”

In his opening address, the Chairman of the committee and member representing Karu/Keffi/Kokona Federal Constituency, Nasarawa State, Jonathan Gbefwi, said the proposed law would go a long way to sanitise the industry.

“We need a heavy rod in the mining sector. We need a vehicle where the government can be a player in the mining sector; a situation where five per cent of whatever is extracted will be given to host communities. If this is achieved, Nigeria will experience astronomical growth.”

Kogi receives 500,000 anthrax vaccine doses

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The Kogi State Ministry of Agriculture and Food Security, on Wednesday, took delivery of 500,000 doses of Anthrax vaccine towards the protection of the animal population in the state.

The vaccines were provided by the Livestock Productivity and Resilience Support Project and delivered by its National Project Coordinator, Mr. Abubakar Sanusi.

Nigeria had mid last year recorded an outbreak of anthrax, with cases reported in Niger and Lagos states.

Anthrax is a deadly zoonotic disease caused by a spore-forming bacterium, Bacillus anthracis, which mainly affects animals.

Human beings can become infected with anthrax through contact with an infected animal alive or dead as well as by inhaling spores.

The symptoms of anthrax can range from a skin ulcer with a dark scab to difficulty breathing and critically infected animals have blood oozing out of their body orifices, such as the nose and anus.

Sanusi, who was welcomed by the Kogi State Commissioner for Agriculture and Food Security, Timothy Ojomah, emphasized that “This delivery is part of L-PRES’s ongoing efforts to enhance animal health services in Kogi State.”

He highlighted the critical role of vaccination in preventing the spread of anthrax and safeguarding livestock, which in turn supports the livelihoods of farmers and boosts the local economy.

The commissioner expressed profound appreciation for the delivery, acknowledging the impact such support has on the state’s agricultural sector.

Ojomah noted that the provision of the vaccine was timely and essential for the prevention of anthrax outbreaks, which pose a significant threat to livestock and public health.

He outlined the need for ongoing collaboration and resource allocation to ensure the robustness of Kogi State’s veterinary services.

In addition to the vaccine delivery, the visit of the National Project Coordinator also included the inspection of the completed cold chain storage facility and laboratory within the ministry’s complex.

“These state-of-the-art facilities are critical for the effective storage and analysis of vaccines and other veterinary supplies, ensuring that they remain potent and safe for use,” he said.

The cold chain storage facility is equipped with advanced refrigeration systems designed to maintain vaccines at optimal temperatures, while the laboratory is fitted with modern diagnostic equipment to support comprehensive animal health assessments.

Kano reinstates Gaya emir, replaces Karaye, Rano monarchs

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The Kano State Governor, Abba Yusuf, on Wednesday, approved the appointment of three second-class Emirs of Rano, Gaya and Karaye Emirates.

In the new appointments, the deposed Emir of Gaya, Alhaji Aliyu Abdulkadir Gaya, was reinstated as the Emir of Gaya.

Alhaji Muhammad Karaye was appointed the Emir of Karaye. Until his new appointment, he was the District Head of Rogo.

The District Head of Bunkure, Alhaji Muhammad Isa Umar, was appointed the Emir of Rano.

The new appointments followed the signing into law of Kano State Emirates Council Bill 2024 by Yusuf after the bill was passed by the lawmakers on Tuesday.

The new law replaced the repealed Kano Emirates Law 2019 signed by ex-Governor Abdullahi Ganduje, which split Kano Emirate into Kano, Gaya, Bichi, Karaye and Rano.

As stipulated in the new law, the newly established Rano emirate will encompass Rano, Bunkure, and Kibiya local government areas.

The Gaya emirate will include Gaya, Albasu, and Ajingi local government areas, while the Karaye emirate will cover Karaye and Rogo local government areas.

Presenting the letters of appointment to the new emirs on Wednesday, the governor enjoined them to be custodians of culture, peace and unity of the people of their respective emirates.

A statement issued by the governor’s spokesperson, Dawakin Tofa, a copy of which was made available to The According, on Wednesday, said the second-class emirs of the emirates would be answerable to the Emir of Kano, Lamido Sanusi.

The statement added that they possessed the authority to counsel the Emir of Kano on matters concerning public order, territorial disputes, communal conflicts, and religious affairs within their respective domains.

The governor congratulated the new emirs, adding that their appointments took immediate effect.

Shaibu loses suit seeking Ighodalo’s disqualification

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The Federal High Court in Abuja, on Wednesday, dismissed a suit seeking the disqualification of Asue Igbodalo as the candidate of the Peoples Democratic Party for the September 21 governorship election in Edo State.

Justice James Omotosho declared that the suit, filed by the impeached Edo State deputy governor, Philip Shaibu, lacked merit.

Shaibu and others had in the suit asked the court to disqualify Ighodalo over an allegation that he forged his voter card.

But in his judgment on Wednesday, Justice Omotosho declared that the suit was statute-barred.

He noted that the suit, being a pre-election case, was filed outside the 14 days allowed under Section 285(9) of the Constitution.

The judge also held that though forgery or non-possession of a voter card was grounds for disqualification under Section 182 of the Constitution, the plaintiff failed to prove their allegation that Ighodalo forged his voter card.

The Wednesday’s verdict comes about two weeks after Justice Inyang Ekwo of the same Federal High Court in Abuja nullified the February 22 PDP governorship election in Edo State that produced Ighodalo as the party’s flag-bearer for the September 21 governorship poll.

The judge ruled that the primary stood nullified because of the illegal exclusion of 378 delegates who should have participated in the indirect primary held at the Samuel Ogbemudia Stadium in Benin.

But the PDP has since appealed the judgment and expressed optimism that Ighodalo would not only participate in the poll but would also coast home to victory.

Hailing the Wednesday’s judgment, the PDP national leadership described it as “a victory for democracy, the rule of law and a well-founded affirmation of the propriety and credibility of the primary election and PDP’s internal democracy.”

In a statement by its National Publicity Secretary, Debo Ologunagba, the PDP said,”The spontaneous jubilation across Edo State at the news of the judgement reaffirms the PDP’s candidate, Dr. Asue Ighodalo as the undisputed preference of the majority of the people of Edo State in the coming governorship election.

“The party notes that the judgement further validates the fact that all the aspirants at the governorship primary election were accorded a level playing ground in the conduct of the Edo State PDP congresses and governorship primary election that produced Dr. Asue Ighodalo as candidate.

“The PDP congratulates Dr. Asue Ighodalo and urges all party members to remain united and continue to work together with the majority of the people of Edo State to ensure the victory of our party and candidate in the September 21, 2024 gpvernorship election.”

Meanwhile, a member of the integrity group within the opposition All Progressive Congress, Emmanuel Odigie, said, on Wednesday,  that substantial members of the party had pledged to vote for Ighodalo and his running mate, Osarodion Ogie on account of their competence and preparedness to deliver good governance.

Odigie insisted that dropping the name of President Bola Tinubu, and the Minister of the Federal Capital Territory,  Nyesom Wike would not help the APC in the Edo poll.

Odigie, who has since been suspended by the APC for alleged anti-party activities, threw his weight behind the PDP candidate during an appearance on Arise TV on Wednesday.

He said, “From Ighodalo’s antecedent, his manifesto, ‘The Pathway to Prosperity for All’, and if you go through the document you will see that Ighodalo has a clear vision for Edo people. He understands the terrain, he has been playing an advisory role from the days of Adams Oshiomhole to date.

“He is a very experienced man who grew his law firm to one of the biggest in Africa with over  100 employees. He was raised by a father who was a chartered accountant, a mother who became the first female Permanent Secretary in Nigeria, and he is a happily married man with integrity.

“Even his deputy, Osarodion Ogie, a lawyer and renowned administrator, has been in government for years and understands the nitty-gritty of governance. His admirers call him, “Water has no enemy” and he has more friends in the APC than even in the PDP. I have not come across one leader in the APC who has not sworn to me in private that Asue and Ogie have their votes due to their competence.

“You can see how well they were received when they both came out in a rally after the phoney judgment nullifying the PDP primary. This shows clearly that the fear of Asue and Ogie is the beginning of wisdom.”

Amotekun rescues kidnapped victim, arrests 24 in Ondo

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The Ondo State Security Network Agency, also known as Amotekun Corps, has apprehended no fewer than 24 persons for various criminal offences.

The corps also said it rescued a student, Bisola Olisa, who was kidnapped by bandits along the Ikare-Ado Ekiti Expressway.

Speaking on the arrest, on Wednesday, the state Commander of the Corps, Akogun Adetunji Adeleye, disclosed that the suspects were arrested for offences, which include kidnapping, armed robbery, motorcycle theft, conspiracy and cable theft, illegal migration, possession of firearms, malicious damage among others.

According to the commander, the operation which led to the arrest of the suspects, was conducted in collaboration with other security agencies in the state.

He said, “We arrested and paraded 24 suspects. We are pleased to report that the security situation in the state is very stable. Law and order are being maintained, political activities continue without disruption, and the anti-open grazing law is being enforced.

“Since the last incident, there have been no serious conflicts between farmers and herders. Human trafficking has decreased, and issues of cultism and militancy have nearly disappeared. Kidnapping activities are mainly confined to the borders and are being addressed.

“There are no significant problems related to terrorism, land, or chieftaincy disputes. Student activities are ongoing without crisis, and there are no current labour union issues.”

On the kidnap case, Adeleye explained that the 32-year-old victim was abducted alongside three other victims in the Supare area in Akoko South-West Local Government Area of the state but was rescued by the combined team of Amotekun and other security agents. He noted that two of the abductors had been arrested.

“Regarding the recent kidnapping case in Supare, which recorded one fatality and four victims being taken into the bush, the corps responded immediately in collaboration with other security agencies.

“We apprehended two suspects, one of whom is here and we are confident that we will secure the release of the remaining victims,” Adeleye added.

The commander said the suspects would be profiled, and those who needed to go to court would be taken to court, while the corps would explore other means to ensure justice for the rightful owners of the stolen items.

Narrating how she was kidnapped, the victim, Bisola Olisa explained, “ I was coming from Ikare, heading to Ekiti. On getting to Akungba, I boarded a vehicle from the garage; there were seven of us in the vehicle. At a certain spot, we started hearing gunshots from the bandits. So, they stopped us immediately. A passenger beside me was shot dead, and they marched us into the bush. Some passengers were injured.

“The kidnappers were many on the road, but as we moved into the bush, four of them led us, all carrying guns. We trekked throughout the night until the next morning when we reached a mountain where we sat down. They asked us to lie down, and the three of us obeyed for about 30 minutes. I realised they were no longer talking. I peeped to check if they were sleeping but saw only one of them; the other gang members were gone.

“I told them that I needed to defecate, that was how I escaped. On reaching the main road, I saw the Amotekun Corps, and they rescued me and took me to their station. “

Tinubu names Walson-Jack new Head of Service

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President Bola Tinubu on Wednesday approved the appointment of Mrs. Didi Walson-Jack as Head of the Civil Service of the Federation, with effect from August 14, 2024.

Walson-Jack’s appointment was announced in a statement by Tinubu’s Special Adviser on Media and Publicity, Ajuri Ngelale, titled ‘President Tinubu appoints new head of civil service of the federation.’

She succeeds Dr. Folashade Yemi-Esan, who retires from service on August 13, 2024.

Walson-Jack was appointed as Federal Permanent Secretary in 2017 and has served in several ministries.

President Tinubu, while thanking the outgoing Head of Service for her stewardship, tasked the incoming Head of Service to “discharge her duties with innovative flair, integrity, and stringent adherence to the extant rules and regulations of the Civil Service of the Federation.”

Stephen Angbulu

With three years of experience, Stephen, The According correspondent, has been covering Nigeria’s presidency, politics, security, immigration and trafficking in persons

All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express written permission from According.

Contact: [email protected]

Defend Africa from illegal exploiters, Tinubu tasks solid minerals ministers

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President Bola Tinubu has asked solid minerals ministers across African countries to be patriotic and proactive in managing the continent’s natural wealth and combatting illegal exploitation.

Tinubu said this on Wednesday in Abuja when he received a delegation of African Ministers of Solid Minerals under the auspices of African Minerals Strategy Group led by the Chairman, Mr. Dele Alake, at the State House, Abuja. 

He urged the ministers to defend Africa against illegal exploiters of the continent’s mineral resources.

“We will lead the continent to self-realisation on the value of our minerals and economic ingenuity, and this will occur as we free it from undue exploitation and abuse,’’ the President said. 

Special Adviser to the President on Media and Publicity, Ajuri Ngelale, revealed details of Wednesday’s talk in a statement titled ‘President Tinubu to Africa’s ministers of solid minerals: Defend Africa and extend sustainable uplift ment to our people.’ 

In his remarks, Mr. Alake, who is the Minister of Solid Minerals, said the group was formed out of necessity and the realisation of the “divide and rule tactics’’ that have weakened the negotiating power of African countries in the global market. 

He explained that among the various international fora held to strategize on solid minerals in Africa, the one in Riyadh, Saudi Arabia, early in the year brought up many issues, especially on the need for Africans to seize the opportunity that the global energy transition offers. 

“The world needs critical metals for energy transition; green energy, and these critical metals are largely deposited in Africa. 

“So, African nations and representatives at that Riyadh Conference came together and decided that if we do not come together and speak with one voice, then those who have exploited Africans for centuries will continue to do so,’’ the Minister stated. 

Alake said divide-and-rule tactics have been consistently used over many years to weaken the bargaining power of African countries and the real valuation of their natural assets. 

“They have been employing divide and rule tactics so all ministers in Riyadh from Africa came together and we had presentations and adopted the local value-addition policies, which have been recommended for all African countries and a number of presidents have started making pronouncements on policies along the line. 

“At that Riyadh Conference, this group was formed so as to synthesize all our ideas, synergize among African countries and have, where it is feasible, uniformity of policies so that no investor can come to Nigeria that he wants to invest in a particular area, and if our terms are too stringent, he goes to Benin Republic, Congo, or Malawi, and all that. 

“We saw that if we all come together to form a common policy direction, and when an investor comes to Nigeria and meets a brick wall, he will meet a brick wall in all other African countries and will be compelled to return to the first country.

“So, the issue of divide and rule which has been a mechanism used to exploit our continent for centuries will no longer be tenable,’’ the Minister said.

Why wage increase is good for economy

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Wage increase for workers has the propensity to spur domestic demand, boost supply and expand local productivity. It can also enhance domestic liquidity and create a robust and efficient market capable of attracting foreign and local investors. The supply-side traditional economics that has dominated Nigeria’s policy space since 1999 has nearly run its course, and the practitioners, including official economic advisers, have not cast their net wide enough to appreciate the boundless space of economic science to tackle new problems from a dynamic and fresh perspective.

The near canonisation of supply-side economics by Nigeria’s authorities and their official economic advisers have perennially ignored the simple axiom of one of the world’s economic thinkers, Kenneth Galbraith, that economic policy should never be held as a religious faith, for the simple reason that such an attitude will damage the critical factor of pragmatism that is implicit in economic science.

What will a robust wage increase for Nigeria’s working people or a demand-side economic outlook do the current state of the Nigerian economy? The slump in the local supply of essential and basic agricultural products such as food and its ancillaries, which has triggered high prices, is because of weak demand that is associated with poor wages.

Due to poor and stagnant wages, many workers are compelled to forsake the purchase of new modest furniture for their homes and even cannot afford to repair the old broken ones. The result is that a carpenter who would have been engaged to make new furniture is lying idle and not productive. Had the average Nigerian worker earned enough to buy modest new furniture or even repair the old ones, he would have created a demand for the carpenter who would, in turn, ensure a supply of his services. The outcome of such is that the market in which the two operate and interact will not only ensure price stability but also create the conditions for social amity necessary for peaceful coexistence.

A worker with a stable and sufficient wage and income will boost steady demands for food items, thereby expanding production and ensuring a stable supply and price stability. It should be stated that price stability drives away inflation and other market distortions.

A wage increase for Nigerian workers will not trigger massive capital flights and relocation of domestic capital, as humongous liquidity in the hands of the elite would do and has been doing. Nigerian workers with reasonable liquidity from a wage increase won’t seek palatial mansions in Dubai and other foreign countries but may decide to build or buy a modest bungalow, thereby triggering demand for local artisans that include block moulders, carpenters, welders, local interior decorators and others.

In a situation where the average worker experiences a wage increase, the demand for local tourism would revive the local tourist industry that is comatose. Constant patronage of the nation’s tourist industry can lead to a rise in economic activity; thereby employing more labour force.

When workers’ wages are increased, it has the propensity to create the liquidity that characterises an efficient market. The main reason why China and other Asian tigers have become the magnet for foreign investors is because of the efficient market in which stable and steady demands for goods and services offered by foreign investors are guaranteed, with good prospects of profitable returns on investments.

Singapore, the Asian famous city-state known for its meteoric rise, sealed its iconic status as a magnet for foreign investors and the oasis of high social mobility and stability with high wages for workers. Despite the political and ideological differences between China and the West, including the West’s posturing of “decoupling”, the Chinese market of 800 million middle class, the largest in the world, remains a premium magnet for European, American and Japanese investors who see a prospect in China and have refused to be distracted by the chilly rhetoric of the political establishment.

Chinese and other Asian markets came into reckoning by creating a demand/supply equilibrium in which their workers earned sufficiently enough to boost a viable domestic market that also became attractive to foreign investors. China never held any investment summit abroad but maintained a pragmatic policy environment which encouraged and built up a stable domestic market. With the increasing political rhetoric of “decoupling” by the West, the Chinese authorities designed a pragmatic policy response named “double circulation” in which Beijing outlined that while the domestic market and international market would freely interact, the emphasis would be on building and consolidating the domestic market so that any shock arising from the disruption of the international market would be better managed, without any consequence for domestic upheavals.

No economy for that matter can effectively manage the periodic turbulence of the international market without substantial stability of the domestic market. Domestic markets cannot endure for long with a wage freeze or low wages for workers without incurring the disturbing maladies of inefficiency, low morale in the workforce, and social ills such as corruption, indolence, banditry, terrorism and others.

In Nigeria, the usual government response to the issue of a wage increase for workers, which is that workers are only a small fraction of the total population, is untenable. The other point that the government does not have enough money to fund a robust wage increase is untenable from an economic point of view.

The reason for public expenditure is to expand the wealth that arises from the vigorous interaction of demand and supply in an orderly and efficient market. A government that awards to itself along with its personnel, disproportionate size of the public expenditure, as evident in the lifestyles of government personnel and assorted retinue of their hangers-on, is the principal reason for the distortion of the domestic market and all the consequences of social, economic and political upheavals that arise from it.

As the government of President Bola Tinubu and the representatives of the Nigeria Labour Congress and the Trade Union Congress have fashioned out the basic or minimum wage for Nigerian workers, let it be clear that a robust wage increase is in the best interest of the Nigerian economy. For so long as the Nigeria economy catered for the greedy few with consequences of low productivity and weak demand, let the economy now function to meet the needs of Nigerians and the country will experience untrammelled growth with the outcome of integrated and inclusive development.

The case for a robust wage increase for Nigerian workers is not just moral but of socioeconomic significance.