Nigeria’s cheerless economic growth indicator

President Goodluck Jonathan

By Paul Arhewe

Economics is full of ambivalences; some would add it is a whole load of bullshit. Why? Economists talk from two sides of the mouth. A reality could be painted good and bad, all at the same time in the same way they could talk of growth without development. What sets me on the edge is the recent revelation that our dear Nigeria is the third fastest growing economy in the world. With annual growth rate of 7.68 percent, she trails behind Mongolia (14.9 percent) and China (8.4 percent). The above revelation, no doubt, should have been one that should have boosted the dampened spirit of the highly impoverished people of the country, especially from the ethereal level against a future expectation that things might turn better for them. I would rather such indexes came as in-dicators for the real economy situation on improved standard of living for Nigerians.

Minister of State for Finance, Dr. Yerima Mgama, who broke the sup-posedly cheery news after the federal executive council (FEC) meeting in Abuja said: “The previous year, 2010, the GDP growth was 8.4 per cent but last year, it dropped to 7.68 per cent be-cause we had a negative growth in the oil sector. So, it means that the non-oil sector is actually resilient and strong enough to carry the economy forward with or without the oil sector.”Interpreting Mgama’s statement above would mean Nigeria even had a better result in 2010 with a growth rate of 8.4 percent.

However, the reality on ground in 2010 did not paint that picture of better life.

It was the year of labour angst over agitation for rise in the minimum wage to N18, 000, which was a tug of war. Furthermore, I do not see the validity in the minister’s statement that Nigeria’s non-oil sector is strong enough to move the country forward without oil sector. We still have oil driven economy now and it would be like that for a long time to come.

The greater percentage of our GDP is tied to the production of crude, and other sectors of the economy are really below par.Past and present governments in the country for last three decades have paid lip service to the diversification of the economy such that the solid mineral sector, agriculture, tourism, entertainment etc would be big revenue earners.

That we are very far away from expectation is underscored by the raging feud over the need to tinker with the extant revenue allocation formula to allow the less privileged members of the Nigerian federation, especially those from the North, to get more of the nation’s earn-ings from the sale of crude oil! By and large, this ‘fast growing economy’ mantra has no meaning to many Nigerians in the sense that they would have wanted a lift in their objective material position.

The reality on the ground is that Nigerians have one of the lowest standards of living in the world. Some apologists of the government might hoodwink us by saying that the impact would be felt in the long run. I want to believe the future of the country has already been decided and positioned for more excruciating pains, except large scale corruption in public places, real leakages from the economy, is contained. Last week, the TIMES magazine added to our elation when it named President Goodluck Jonathan among the 100 most influential personalities in the world.

I do not know the parameters used to arrive at this, I think the president’s inclusion might not be unconnected with the rambunctiousness of Boko Haram and the visibility it has created for the President.

I wish also to add that no ruler of the most populous black nation on earth would be inconsequential.The leaders of Nigeria have a lot to do to convert the available potentials for greatness into real greatness and sustain such. With an estimated population of about 160 million people, fertile land for agricultural activities and an abundant of natural endowments, Nigeria ought to be the envy of the rest of the world.

However, maladministration, corruption and rudderless leadership have all conspired to hobble her to slow the developmental process. The purported giant of Africa seems to have lost her strides as the available resources to beautify and de-velop her have been misused by few for egotistical motives, hence subjecting the majority of Nigerians to perpetual penury.

While the gap between the rich and poor Nigerians is getting wider by the day, and unemployment rate is alarming for the country’s teeming population of youths, seemingly robust economic indicators of a non-visible improvement on the lives of the people, to me, may be another grand conspiracy of the West.