Feature/OPED
Nigeria’s Underdevelopment, Ultimate Realities and Meaning
By Jerome-Mario Chijioke Utomi
Evidence abounds that prior to the present decade, Nigeria and Nigerians paid little attention to what constitutes sustainable development. Such conversation, however, gained prominence in the country via the United Nations introduction, adoption and pursuit of the Millennium Development Goals (MDGs), which lasted between the years 2000 and 2015. And was among other intentions aimed at eradicating extreme poverty and hunger as well as achieving universal primary education, promoting gender equality, reducing child mortality, improve maternal health among others.
Without going into specific concepts or approaches contained in the performance index of the programme, it is evident that the majority of the countries including Nigeria performed below average.
And it was this reality and other related concerns that conjoined to bring about 2030 sustainable agenda- a United Nation initiative and successor programme to the MDGs, with a collection of 17 global goals formulated among other aims to promote and cater for people, peace, planet, and poverty. And has at its centre; partnership and collaboration, ecosystem thinking, co-creation and alignment of various intervention efforts by the public and private sectors and civil society.
Nigeria as noted in a recent intervention is plagued with development challenges. But of all, this piece will focus on, and discuss in detail a little known, yet most pernicious of these challenges called promotion of segregation by the nation’s political leaders. It daily fractures the nation’s geography into polarized ethnosyncrasies and idiosyncrasies.
Understandably also, some supporters of those in governments have at different times and places argued that the aggregation of members of a society in categories and groups based on superiority and inferiority in terms of specific criteria is a natural order of things.
To others, members of a society are never equal but fit into various layers called strata and the process of categorization and the way in which members of each stratum relate to one another is described as social stratification.
To the rest, even in societies that claim to be classless, there have always been some forms of hierarchical systems in the governance of the state, in the administration of industries and other social institutions like the church, school and even the home. Classless, non-hierarchical societies are largely the mental constructs of philosophers, the dream of museum-bound political prophets and the visions of religious idealists or the promise of the demagogues, they concluded.
It is true to some extent that across the globe, wherever leadership and followership are identified; there may be a kind of class differentiation, however, if what happens in other nations is considered a challenge, that of Nigeria qualifies as a crisis.
Here, because leadership is a product of bitter, relentless struggle/politics, they (leaders) are utterly merciless and ruthless without human feeling. They are reputed for using the opportunities, laws and public policies that flow from the position of authority they occupy to stack the political and socioeconomic decks against the poor and the disadvantaged.
A similar strategy is employed to perpetuate poverty, create division, promote powerlessness and other harsh principles that exacerbates the visible gully of segregation between the leaders and the led, the haves and the have- nots. Tragically unique is that their slanted policies ‘traps the poorest in the most desperate poverty as corrupt governments siphon off funds and prevent hard-working people from getting the revenues and benefits of growth that are rightfully theirs’
Regardless of what others may say, the truth is that any law that uplifts human personality is just. But ‘any law that degrades human personality is unjust. And all segregation statutes are unjust because ‘segregation distorts the soul and damages the personality. It gives the segregator a false sense of superiority, and the segregated a false sense of inferiority. To use the words of Martin Buber, the great Jewish philosopher, segregation substitutes an “I-it” relationship for the “I-thou” relationship and ends up relegating persons to the status of things. So segregation is not only politically, economically and sociologically unsound but it is morally wrong and sinful.
Making Nigeria’s case a reality to worry about is that it runs contrary to the detects, spirit and provisions of the nation’s 1999 Constitution (as amended) which provides for the rule of law-a provision that not only made the nation’s constitution “our king” but preaches equality of all Nigerians before the law.
Instances of such gradual and silent encroachment on, and outright abridgements of the masses’ welfare in ways that left them (Nigerians) wonder in dilemma by the President Buhari led Federal Government includes but not limited to; the electricity and petrol price hikes crisis which are inextricably linked both in their causes and solutions. The piece also remembers with nostalgia the Federal Government slanted attempts to increase Value Added Tax (VAT) from 5 to 7.5 per cent, re-introduction of Stamp Duty Charge, re-introduction of Stamp Duty on house rents and C of O transactions etc.
Away from the Executive arm, to the 9th National Assembly, the list of such anti-people decisions is endless.
Take as an illustration, in 2019, while Nigerians were still waiting for the commencement of governance, the leadership of the National Assembly began moves to procure operational vehicles for the lawmakers that make up its dual legislative chambers. Essentially, while there was no question that high-offices such as the National Assembly need operational vehicles to facilitate their responsibilities, the stunning aspect of this episode going by reports is with the estimated current price of the chosen vehicle now N50 million. And the Senate needed about N5.550 billion to get enough quantity for its members.
What is in one considerably different is the question; how can a nation spend over N5 billion on such a project in a country with slow economic but high population growth? Where excruciating poverty and starvation daily drives more people into the ranks of beggars? And where so many children are presently out of school?
As if Nigerians were never tired of receiving frightening packages from the 9th Assembly, at about the same time the world leaders were standing up with sets of values that encourage listening and responding constructively to views expressed by citizens, giving others the benefits of the doubt, providing support and recognizing the interests and achievements of its citizens, the Senate came out with two Bills that critical minds and of course the global community qualified as obnoxious-the Internet Falsehood and Manipulations Bill, and the hate speech bill.
At the most basic level, the Internet Falsehood and Manipulations Bill, 2019, sponsored by Senator Mohammed Sani Musa,(APC Niger East), among other provisions, seeks to curtail the spread of fake information. And seeks a three-year jail term for anyone involved in what it calls the abuse of social media or an option of a fine of N150, 000 or both. It also proposed a fine of N10 million for media houses involved in peddling falsehood or misleading the public.
The hate speech bill, on its part, proposed that any person found guilty of any form of hate speech that results in the death of another person shall die by hanging upon conviction. This is in addition to its call for the establishment of an ‘Independent National Commission for Hate Speeches’, which shall enforce hate speech laws across the country.
The above defect is by no means unique to the Senate. In fact, if what is happening in the Senate is considered by Nigerians as a challenge, that of the House of Representatives is a crisis. Take, as an illustration, a glance at the history of attempts seeking regulation of non-profitable organizations (NPOs) in Nigeria will reveal that no bill has ever received the level of knocks like the 9th Assembly planned but now suspended re-introduction of the NGO Bill formerly sponsored by late Umar Buba Jibril of the out-gone 8th Assembly.
The reasons for such knocks were built on the fact that if passed, it contains far-reaching, restrictive provisions than its counterparts. But one point they(House) failed to remember is that Non-Profitable Organizations are not just another platform for disseminating the truth or falsehood, information, foodstuff and other relief materials that can be controlled at will.
Rather, it is a platform for pursuing the truth, and the decentralized creation and distribution of ideas; in the same way, that government is a decentralized body for the promotion and protection of the people’s life chances. It is a platform, in other words, for development that the government must partner with instead of vilification.
Looking at commentary, what also made the Bill a very controversial one lies in its quest for a regulatory commission established which shall facilitate and coordinate the work of all national and international civil society organizations and will assist in checking any likelihood of any civil society organization being illegally sponsored against the interest of Nigeria.
Weeks after the suspension of the Bill due to public outcry, the House in a related move declined the opportunity to promote local content- an expression that is daily preached within the government circle without compliance.
As the house refused to patronize the locally assembled vehicles by Innoson Group, said to have been recommended for them; and in its place, opt for the 2020 edition of Toyota Camry which will not only double the price of the initially recommended but, will cost a whooping N5 billion to purchase 400 of the Toyota Camry model needed by the house.
Essentially, aside from the rejection of Innoson brand of SUV’s initially recommended for members, and in its place, went for 2020 edition of Toyota Camry, that will gulp about N5billion of taxpayers money, what, however, made the development newsy is that the house going by the report has before now been at the forefront promoting the local content laws in the country. Of course, one strategic implication of the above is that it explains why what is today said at the floor of the national assembly hardly matters that much more to the people.
In the same vein, the House a few weeks after, through Honourable Odebumi Olusegun, of Ogo-Oluwa/Surulere federal constituency (APC, Oyo), pushed for the passage of a bill tagged; “Bill for an Act to Alter Section 308 of the Constitution of the Federal Republic of Nigeria, 1999(as amended), which provides that: “no civil or criminal proceedings shall be instituted or continued against the President, Vice President, Governors and Deputy Governors during their period of office.” And have the same provision extended to accommodate/cover Presiding Officers of Legislative officers during their period of office.” This and many other worrying developments from the current 9th Assembly in the last year is in my view not the best way to legislate for the poor.
No nation, I insist, can develop under this circle of segregation called leadership.
Utomi Jerome-Mario is the Programme Coordinator (Media and Public Policy), Social and Economic Justice Advocacy (SEJA), a Lagos-based Non-Governmental Organization (NGO) and can be reached via [email protected]/08032725374
Feature/OPED
The Future of Payments: Key Trends to Watch in 2025
By Luke Kyohere
The global payments landscape is undergoing a rapid transformation. New technologies coupled with the rising demand for seamless, secure, and efficient transactions has spurred on an exciting new era of innovation and growth. With 2025 fast approaching, here are important trends that will shape the future of payments:
1. The rise of real-time payments
Until recently, real-time payments have been used in Africa for cross-border mobile money payments, but less so for traditional payments. We are seeing companies like Mastercard investing in this area, as well as central banks in Africa putting focus on this.
2. Cashless payments will increase
In 2025, we will see the continued acceleration of cashless payments across Africa. B2B payments in particular will also increase. Digital payments began between individuals but are now becoming commonplace for larger corporate transactions.
3. Digital currency will hit mainstream
In the cryptocurrency space, we will see an increase in the use of stablecoins like United States Digital Currency (USDC) and Tether (USDT) which are linked to US dollars. These will come to replace traditional cryptocurrencies as their price point is more stable. This year, many countries will begin preparing for Central Bank Digital Currencies (CBDCs), government-backed digital currencies which use blockchain.
The increased uptake of digital currencies reflects the maturity of distributed ledger technology and improved API availability.
4. Increased government oversight
As adoption of digital currencies will increase, governments will also put more focus into monitoring these flows. In particular, this will centre on companies and banks rather than individuals. The goal of this will be to control and occasionally curb runaway foreign exchange (FX) rates.
5. Business leaders buy into AI technology
In 2025, we will see many business leaders buying into AI through respected providers relying on well-researched platforms and huge data sets. Most companies don’t have the budget to invest in their own research and development in AI, so many are now opting to ‘buy’ into the technology rather than ‘build’ it themselves. Moreover, many businesses are concerned about the risks associated with data ownership and accuracy so buying software is another way to avoid this risk.
6. Continued AI Adoption in Payments
In payments, the proliferation of AI will continue to improve user experience and increase security. To detect fraud, AI is used to track patterns and payment flows in real-time. If unusual activity is detected, the technology can be used to flag or even block payments which may be fraudulent.
When it comes to user experience, we will also see AI being used to improve the interface design of payment platforms. The technology will also increasingly be used for translation for international payment platforms.
7. Rise of Super Apps
To get more from their platforms, mobile network operators are building comprehensive service platforms, integrating multiple payment experiences into a single app. This reflects the shift of many users moving from text-based services to mobile apps. Rather than offering a single service, super apps are packing many other services into a single app. For example, apps which may have previously been used primarily for lending, now have options for saving and paying bills.
8. Business strategy shift
Recent major technological changes will force business leaders to focus on much shorter prediction and reaction cycles. Because the rate of change has been unprecedented in the past year, this will force decision-makers to adapt quickly, be decisive and nimble.
As the payments space evolves, businesses, banks, and governments must continually embrace innovation, collaboration, and prioritise customer needs. These efforts build a more inclusive, secure, and efficient payment system that supports local to global economic growth – enabling true financial inclusion across borders.
Luke Kyohere is the Group Chief Product and Innovation Officer at Onafriq
Feature/OPED
Ghana’s Democratic Triumph: A Call to Action for Nigeria’s 2027 Elections
In a heartfelt statement released today, the Conference of Nigeria Political Parties (CNPP) has extended its warmest congratulations to Ghana’s President-Elect, emphasizing the importance of learning from Ghana’s recent electoral success as Nigeria gears up for its 2027 general elections.
In a statement signed by its Deputy National Publicity Secretary, Comrade James Ezema, the CNPP highlighted the need for Nigeria to reclaim its status as a leader in democratic governance in Africa.
“The recent victory of Ghana’s President-Elect is a testament to the maturity and resilience of Ghana’s democracy,” the CNPP stated. “As we celebrate this achievement, we must reflect on the lessons that Nigeria can learn from our West African neighbour.”
The CNPP’s message underscored the significance of free, fair, and credible elections, a standard that Ghana has set and one that Nigeria has previously achieved under former President Goodluck Jonathan in 2015. “It is high time for Nigeria to reclaim its position as a beacon of democracy in Africa,” the CNPP asserted, calling for a renewed commitment to the electoral process.
Central to CNPP’s message is the insistence that “the will of the people must be supreme in Nigeria’s electoral processes.” The umbrella body of all registered political parties and political associations in Nigeria CNPP emphasized the necessity of an electoral system that genuinely reflects the wishes of the Nigerian populace. “We must strive to create an environment where elections are free from manipulation, violence, and intimidation,” the CNPP urged, calling on the Independent National Electoral Commission (INEC) to take decisive action to ensure the integrity of the electoral process.
The CNPP also expressed concern over premature declarations regarding the 2027 elections, stating, “It is disheartening to note that some individuals are already announcing that there is no vacancy in Aso Rock in 2027. This kind of statement not only undermines the democratic principles that our nation holds dear but also distracts from the pressing need for the current administration to earn the trust of the electorate.”
The CNPP viewed the upcoming elections as a pivotal moment for Nigeria. “The 2027 general elections present a unique opportunity for Nigeria to reclaim its position as a leader in democratic governance in Africa,” it remarked. The body called on all stakeholders — including the executive, legislature, judiciary, the Independent National Electoral Commission (INEC), and civil society organisations — to collaborate in ensuring that elections are transparent, credible, and reflective of the will of the Nigerian people.
As the most populous African country prepares for the 2027 elections, the CNPP urged all Nigerians to remain vigilant and committed to democratic principles. “We must work together to ensure that our elections are free from violence, intimidation, and manipulation,” the statement stated, reaffirming the CNPP’s commitment to promoting a peaceful and credible electoral process.
In conclusion, the CNPP congratulated the President-Elect of Ghana and the Ghanaian people on their remarkable achievements.
“We look forward to learning from their experience and working together to strengthen democracy in our region,” the CNPP concluded.
Feature/OPED
The Need to Promote Equality, Equity and Fairness in Nigeria’s Proposed Tax Reforms
By Kenechukwu Aguolu
The proposed tax reform, involving four tax bills introduced by the Federal Government, has received significant criticism. Notably, it was rejected by the Governors’ Forum but was still forwarded to the National Assembly. Unlike the various bold economic decisions made by this government, concessions will likely need to be made on these tax reforms, which involve legislative amendments and therefore cannot be imposed by the executive. This article highlights the purposes of taxation, the qualities of a good tax system, and some of the implications of the proposed tax reforms.
One of the major purposes of taxation is to generate revenue for the government to finance its activities. A good tax system should raise sufficient revenue for the government to fund its operations, and support economic and infrastructural development. For any country to achieve meaningful progress, its tax-to-GDP ratio should be at least 15%. Currently, Nigeria’s tax-to-GDP ratio is less than 11%. The proposed tax reforms aim to increase this ratio to 18% within the next three years.
A good tax system should also promote income redistribution and equality by implementing progressive tax policies. In line with this, the proposed tax reforms favour low-income earners. For example, individuals earning less than one million naira annually are exempted from personal income tax. Additionally, essential goods and services such as food, accommodation, and transportation, which constitute a significant portion of household consumption for low- and middle-income groups, are to be exempted from VAT.
In addition to equality, a good tax system should ensure equity and fairness, a key area of contention surrounding the proposed reforms. If implemented, the amendments to the Value Added Tax could lead to a significant reduction in the federal allocation for some states; impairing their ability to finance government operations and development projects. The VAT amendments should be holistically revisited to promote fairness and national unity.
The establishment of a single agency to collect government taxes, the Nigeria Revenue Service, could reduce loopholes that have previously resulted in revenue losses, provided proper controls are put in place. It is logically easier to monitor revenue collection by one agency than by multiple agencies. However, this is not a magical solution. With automation, revenue collection can be seamless whether it is managed by one agency or several, as long as monitoring and accountability measures are implemented effectively.
The proposed tax reforms by the Federal Government are well-intentioned. However, all concerns raised by Nigerians should be looked into, and concessions should be made where necessary. Policies are more effective when they are adapted to suit the unique characteristics of a nation, rather than adopted wholesale. A good tax system should aim to raise sufficient revenue, ensure equitable income distribution, and promote equality, equity, and fairness.
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