Feature/OPED
The Way Forward out of Soaring Food Prices
Ayo Oyoze Baje
This is certainly the worst of times for millions of Nigerians grappling with an increase in Value Added Tax (VAT), electricity tariff and the pump price for fuel.
What about the swirling insecurity incubus, via farmers-herders clashes, banditry and terrorism as well as delayed rainfall courtesy of climate change? That all these have unfolded in the midst of the coronavirus pandemic makes the sordid economic picture darker.
According to Reuters, inflation in Nigeria has hit a four-year peak of 17.33 per cent driven by the COVID pandemic, a drop in oil revenue and a weakened currency. Going by the data released by the National Bureau of Statistics (NBS), food inflation climbed to 20.57 per cent year-on-year in January 2021, making it the highest in over 11 years.
Food prices, which make up the bulk of the inflation basket, rose 21.79 per cent in February, a jump of 1.22 percentage point in January, the National Bureau of Statistics (NBS) stated. Costs increased by 2 per cent in the month. What all these frightening figures tell us is that there is acute hunger in the land!
The serious worry, however, is that the light at the end of the dark tunnel of insecurity is still far away, according to experts on the economy.
For instance, Jacques Nel, head of macroeconomic research at NKC African Economics in South Africa insists that: “Straining households will be compounded by increasing reports of insecurity in some regions, fuelling the risk of broader social discontent.”
He added that just 30.6 million Nigerians in a population of around 210 million were considered fully employed.
Similarly, Bismarck Rewane, managing director at Lagos-based Financial Derivatives, said the “stagflation crisis” would take a long time to resolve, with inflation eating up economic gains to the point where any government stimulus might be too weak to generate jobs.
On his piece of advice to policymakers on the economy and the Central Bank of Nigeria (CBN), he stated that: “They should be thinking of tightening to encourage savings and investment which could help employment but I think we may have reached the limit of [what can be achieved with changes to] monetary policy.”
So, what is the way forward, if not agriculture, that is renewable and generally less costly to venture into?
But then, such agricultural practices have to be driven by the availability of fertile land, modern technological practices, sustained human capital development features, as well as genuine interest from the public and the private sectors.
These could be done through guaranteed socio-economic security for the farmers and access to adequate funding through single-digit interest bank loans spread over a long period of time.
Also needed are the supply of steady electric power, potable water and technical support with tillers, harvesters and pesticides.
Others include the provision of early-maturing, disease-resistant hybrid seedlings with greater harvest potentials.
Even then the farmers require the input of agric extension workers with the requisite professional knowledge. In fact, they could assist them to form cooperatives.
One other significant factor that could facilitate success in the agric sector is proper planning that would be predicated on a creditable database. Such data could be on the number of registered farmers as per the type of farming practices they are engaged in on a zonal basis, funds required to catalyse their production and access to available markets.
All these would assist the policymakers and those who implement them to focus on areas of comparative advantage, as the current President of the African Development Bank (AfDB), Dr Adewnmi Adesina, once did. That was while he was the Minister of Agriculture and Rural Development under the Dr Goodluck Jonathan-led administration.
Moving forward, we have to learn valuable lessons from the mistakes of the past.
For instance, as at political independence in 1960, agriculture accounted for 68 per cent of the nation’s Gross Domestic Product (GDP). It employed 70 per cent of the labour force, especially in rural areas. It provided not only food but generated employment and contributed 38 per cent of the non-oil foreign exchange earnings.
Indeed, the first national development plan, after independence (1962-1968) was anchored on agriculture. Within that period, over 80 per cent of total export earnings came from the sector as gotten from cocoa, cotton, castor, cowhide, oil palm nuts and rubber.
But how much of these products do we produce locally and how much do we export as of today? The answer is obvious.
With true fiscal federalism firmly in place back then, the Chief Obafemi Awolowo-led Western Region (now defunct) funded the laudable Free Education Policy.
The Cocoa House remains a great testament and symbol of the power of home-grown agriculture. But what do we have these days? A military government-imposed centralized structure, backed by the 1999 Constitution (as Amended) controlling resources (agriculture, education, healthcare delivery) that should ordinarily belong to the states or federating units.
We joyfully allow for exports of our raw agricultural products (cashew nuts, cocoa, coffee, yam, cocoyam, cassava, ginger, garlic, oranges, mangos) only to buy the processed forms at exorbitant rates! That is just like we do with our crude oil.
Sadly, we erroneously focus our attention on borrowing billions of Naira from the same countries that should be begging us for loans!
Perhaps, the German national who recently stated Nigeria holds the key to the global economic feats of the near future certainly knows his onions. With a vast landmass of 923,720 sq/km, a water area of 13,000 sq/km, an annual rainfall of between 250mm (North) and 300mm (South), a clement climate blessed with abundant sunshine, the Rivers Niger and Benue as well as their tributaries and the vast Atlantic Ocean to the South, why not?
The answer, of course, lies with the missing leadership factor. The ones we have had gave us policy flip-flops on agriculture, ranging from the National Accelerated Food Production Programme (NAFPP, 1972), through the Operation Feed the Nation (OFN), the Green Revolution (GR) before the springing up of the River Basin Authorities.
After that came the Agric Banks and eventually the Directorate of Foods, Roads and Rural Infrastructure (DFRII) during the famed IBB era. But all refused to put food on the common man’s table. And so did the high-sounding NAPEP and NEEDS that could hardly identify, not to talk about meeting our daily needs.
It was, therefore, not surprising that the food importation issue metamorphosed from the Rice Armada during the Alhaji Shehu Shagari tenure in the ‘80s to Nigeria becoming the highest importer of fish in 2005, spending some staggering N50 billion on fish annually.
Still, on the importation, it jumped from N3.47 billion in 1990 to N113.63 billion in 2002. Between 1981 and 2019, it recorded N217.76 billion, according to Trading Economics Report.
The piece of good news is that Nigeria has become Africa’s largest producer of rice under the current Buhari-led administration. But rice is not the only food we eat or should concentrate on.
According to Cleaver and Shoebar (1994), Nigeria lacks the requisite knowledge in food processing, preservation and packaging. This has led to post-harvest losses ranging from 25 per cent to 40 per cent and something urgent needs to be done to reverse the drift.
Currently, we need modern agricultural practices to succeed. But let it be made a way of life. Let the study of the subject be made more attractive; right from the primary school level up to the university stage. Governments and the private sector should collaborate to wage a concerted war against Climate Change, terrorism and all forms of insecurity. Farmers should be registered and trained through well-paid farm extension instructors.
Feature/OPED
Adeleke’s Leadership: A Dance of Transformation in Osun
By Bamikole Omishore
“Great dancers are not great because of their technique; they are great because of their passion.” – Martha Graham.
In the world of dance, few have mastered the art of movement with the grace and intensity of Martha Graham, whose choreography was marked by a profound understanding of human expression and transformation.
Graham’s dances were not mere performances; they were powerful reflections of the human condition, a tapestry woven with raw emotion, rhythm, and purpose. In many ways, the leadership of Osun State Governor, Ademola Adeleke, mirrors this very essence of dance—dynamic, passionate, and forward-moving.
Governor Adeleke has taken the helm of Osun State with the kind of zeal and vision that echoes the intensity of a choreographed performance, where each step is deliberate, and every movement contributes to a greater narrative of transformation. His approach to governance is not just about policy execution but about creating an environment where the people of Osun are empowered, uplifted, and given the tools to thrive.
In his leadership, one sees a choreography of progress, dedication, and unwavering commitment to the welfare of his people. Considering the precarious state of Osun when he took office on November 27, 2022, Adeleke could not have done otherwise—every step had to be deliberate and tailored for the development of the people.
Much like Martha Graham’s focus on the expression of the individual within a broader context, Governor Adeleke’s leadership shines in its ability to focus on the unique needs of Osun State’s diverse communities, while also aligning them with the collective goal of the state’s development. He has taken the pulse of Osun and, much like a skilled dancer attuned to the rhythm of the music, has set a course for the state that resonates with both empathy and pragmatism.
Governor Adeleke’s impact is tangible, and his passion for the people is infectious. His administration has not shied away from confronting the most pressing issues facing the state, including infrastructural deficits, educational reform, and economic revitalisation. Just as Martha Graham redefined modern dance by introducing new techniques and forms, Governor Adeleke has redefined governance in Osun by introducing innovative policies, modernising systems, and fostering an environment where growth is inevitable.
One of the cornerstones of Adeleke’s governance has been his focus on improving the education sector. Under his leadership, 631 classrooms and offices have been rehabilitated across 125 basic schools, while 323 new classrooms, halls, and laboratories have been constructed in 96 schools.
Additionally, new toilets, boreholes, motorised water wells, and perimeter fences have been installed in several schools. The Governor has also upgraded the Educational Management Information System (EMIS) units in local education authorities to improve data collection and management. Adeleke’s administration has sponsored 200 secondary school teachers and 20 ICT experts to train on remote learning platforms and has trained 1,004 teachers on cooperative learning strategies.
The governor has also initiated the recruitment of 5,000 new teachers to address vacancies in public schools. For tertiary education, Adeleke has invested in infrastructure, including completing a 52-office complex at Osun State University (UNIOSUN), thus becoming the first Governor since 2011 to execute a project at the institution.
He also funded the construction of the first student hostel at the University of Ilesa (UNILESA). He approved the permanent employment of over 230 temporary staff at UNILESA and supported the training of 137 academic staff at the Osun State College of Technology and 1,120 health educators in collaboration with international organisations.
He also revived the indigenous bursary scheme, providing financial support to over 3,100 students and N105,000 to Osun indigenes in law schools across Nigeria.
Governor Adeleke’s approach to healthcare mirrors the precision and care found in Graham’s choreography. Upon taking office, he inherited a healthcare system in disarray. However, he quickly launched the Imole Surgical and Medical Outreach, which provided free medical treatment to over 50,000 residents across Osun, addressing a wide range of conditions from cataracts and hernias to diabetes, hypertension, and malaria.
On a long-term basis, Adeleke’s administration has focused on improving the state’s healthcare infrastructure. This includes the rehabilitation of 345 primary healthcare centres (PHCs), with 200 already upgraded to include 24/7 power and water facilities, while the remaining 145 centres are undergoing renovations.
His administration has also ensured a regular supply of medications to these centres and has partnered with development organisations to provide essential medical equipment. Governor Adeleke’s healthcare policies have expanded health insurance coverage to include informal sector workers and Osun’s senior citizens, ensuring comprehensive healthcare access for all, including persons with disabilities.
Infrastructure development has been another focal point of Adeleke’s leadership. Osun State’s infrastructure, particularly in the road sector, was in dire need of attention when he assumed office. In the past two years, his administration has constructed many roads and has embarked on additional projects to extend the state’s road network.
Notable projects include the Oke-Fia overhead bridge in Osogbo, the first-ever overhead bridge in Ile-Ife, and the Akoda-Baptist-Oke Gada dual carriageway in Ede. These projects are expected to improve traffic flow, ease transportation, and spur economic growth by connecting key areas of the state. Adeleke’s commitment to infrastructure extends beyond urban centres.
Under his leadership, Osun State has rejoined the Rural Access and Mobility Project (RAAMP-3), focusing on improving rural road networks. These improvements are vital for enhancing rural connectivity, facilitating trade, and providing essential access to health and education services in remote areas.
The Governor’s unwavering passion for the people of Osun is also evident in his economic policies, which are focused on stimulating local industries, attracting investment, and reducing unemployment. Like Martha Graham’s ability to tap into the emotional core of her dancers, Adeleke’s governance taps into the heart of Osun’s potential, nurturing the state’s resources, businesses, and talents.
Governor Adeleke is driving sustainable development in Osun State with initiatives that align with the Sustainable Development Goals (SDGs). At the heart of his work is the Senator Isiaka Adetunji Adeleke Estate, a development that balances modern infrastructure with the need for planned, resilient communities. Governor Adeleke’s vision is not just about physical structures—it extends into the human realm. In SDG 4 (Quality Education), he has created the Alternative School for Girls, offering education to those who would otherwise be left behind.
Perhaps most importantly, Governor Adeleke’s leadership is marked by a deep sense of inclusivity and unity. Just as a dance troupe requires each member to work in harmony for the performance to succeed, Adeleke has fostered a sense of collective purpose in Osun.
Governor Ademola Adeleke has brought a new rhythm to Osun State, one driven by passion, innovation, and an unwavering commitment to the welfare of the people. Much like Martha Graham’s transformative choreography, which changed the landscape of modern dance forever, Adeleke’s governance has redefined the landscape of leadership in Osun —one that promises progress, unity, and a brighter future for all its citizens.
Omishore, a proud son of Osun state, writes from Ile-Ife
Feature/OPED
Prepaid Debit Cards Can Enable Companies to Take Advantage of Increased Intra-African Trade
By Amber Thetford
As businesses seek to expand across African borders, cashless payment solutions offer a safer method of transferring money. One offering, prepaid debit cards, provides security while mitigating many infrastructure and regulatory challenges, writes Amber Thetford, the Chief Product Officer for Card Issuing and Processing at Onafriq.
As the African Continental Free Trade Area Agreement (AfCTA) increasingly moves into the operational phase, it is becoming clearer that part of its success lies in ensuring that entrepreneurs and small businesses can effectively trade and receive payments across borders.
As the African Union has noted, the trade area will be the biggest since the World Trade Organization was formed in 1995. Africa’s population is currently 1.2 billion people, a figure that is expected to reach 2.5 billion by 2050.
South Africa took its first step in making AfCTA a reality, when the now-former Minister of Trade, Industry, and Competition, then Ebrahim Patel, launched the implementation of the start of preferential trade this year. The South African Revenue Service also certified two consignments to Ghana and Kenya.
Yet, with trade expected to grow among members from the current between 15% and 18%, a safe way of moving money is required given the risk that cash presents. Some nine-tenths of transactions in sub-Saharan Africa are, based on World Bank information, in cash.
The large amounts of cash involved in trade are also cumbersome and difficult to physically transport between markets. Card payments, part of the digital ecosystem, can enable efficient, secure, and transparent transactions that are essential for facilitating trade.
Card payments can eliminate the need for manual intervention and reconciliation when it comes to banking and bookkeeping. This, the World Bank states, makes them, on average, three times more cost-effective than conventional purchase order costs.
While mobile money payments have greatly improved Africa’s ability to make cross-border payments, they do not meet the full scope of needs of individuals or businesses. As the United Nations points out, there are regulatory bottlenecks, while a lack of interconnectivity among mobile transactions in some countries means that people cannot transfer money across borders. Moreover, limitations of infrastructure, accessibility, and interoperability make it difficult for their users to access the global digital economy. As a result, this type of cross-border payment can be limited.
There are solutions to these dilemmas. Prepaid cards can enable businesses and individuals to transact with global institutions and marketplaces without the need to own a bank account. This option removes a pain point for a business that would otherwise need to accept local alternative payment methods or cash. Navigating challenges like high fees, currency shocks and a lack of access to traditional banks can be simplified through prepaid cards. This makes them a pivotal instrument that enhances Africa’s connection to the global economy.
For example, one of our customers provides payroll solutions for seafarers and cruise ships, which frequently travel to different countries. Once the card is loaded, it is very convenient for a sailor to use it as one would a normal debit card and swipe to pay for purchases or transmit money across borders. The beauty of this option is that whoever is loading the card with money, can be based anywhere in the world, with the same also being true of the person holding the card.
Prepaid cards can also be used to manage expenses because they can be provided to managers of, for example, a bookstore, who can then make independent decisions about business-related purchases, but only up to a certain amount. This has the added advantage of speeding up operations as there are no lengthy delays across the company when it comes to acquiring stock, while it also goes some way towards eliminating fraud as the card has a set limit.
Larger companies with staff who travel extensively can also provide gratuities for their employees, who can then cover incidental expenses without having to dip into their pockets or bring back paperwork to be reimbursed.
A platform that simplifies a user’s ability to transfer money to cards brings the AfCTA dream closer to reality. The versatile power of prepaid cards can be used to promote free trade between countries and unite Africa’s fragmented payment landscape.
Prepaid solutions can aid businesses seeking to operate in other African countries to thrive – making AfCTA’s aim a reality and boosting economic growth for all.
Amber Thetford is the Chief Product Officer for Card Issuing and Processing at Onafriq
Feature/OPED
Examining Seyi Tinubu’s Potential Lagos Governorship Bid
By Kenechukwu Aguolu
The possibility of Seyi Tinubu, the son of the President of Nigeria, President Bola Ahmed Tinubu contesting for the Lagos State governorship in 2027 has become a significant topic of public discourse, raising important questions about the dynamics of political dynasties and democratic values in Nigeria. While his constitutional eligibility to vie for the position under Section 177 of the Nigerian Constitution is undisputed, the discussion brings to light broader issues of political inclusivity, leadership by merit, and the role of family legacy in modern democracy.
The Nigerian Constitution outlines clear qualifications for anyone aspiring to the office of governor. A candidate must be a citizen of Nigeria by birth, at least 35 years old, a member of a political party, and educated to at least the secondary school level or its equivalent. Based on these criteria, Seyi Tinubu, as a citizen by birth and meeting the age and educational requirements, is constitutionally qualified to run for the office, provided he secures the sponsorship of a political party.
Political dynasties are not exclusive to Nigeria; they are a global phenomenon that has influenced governance in many parts of the world. In the United States, for example, the Bush family has held significant political positions, including George H.W. Bush as the 41st President, George W. Bush as the 43rd President and former Governor of Texas, and Jeb Bush as the Governor of Florida. Similarly, the Kennedy family produced John F. Kennedy, the 35th President, and prominent figures like Robert Kennedy, a U.S. Senator and Attorney General, and Ted Kennedy, a long-serving U.S. Senator. The Clinton family also left its mark, with Bill Clinton serving as the 42nd President and Hillary Clinton as a Secretary of State and presidential candidate. These families earned their positions through electoral victories, reinforcing the importance of public trust and the democratic process.
If Seyi Tinubu decides to run, his candidacy will face considerable scrutiny. Questions about whether his aspirations are rooted in personal merit or familial advantage will dominate public discourse. In Nigeria, where perceptions of nepotism and concerns about equitable access to leadership persist, the candidacy of a high-profile figure like Seyi Tinubu will polarize opinions. To succeed in such an environment, he would need to present a compelling policy agenda and demonstrate his capability to govern effectively. His father’s legacy as a former Lagos governor and current president could either bolster his credibility or attract criticism, depending on public sentiment.
Ultimately, the decision rests with the electorate. Lagosians possess the constitutional authority to evaluate candidates based on their merits and to choose leaders who align with their aspirations for the state. Democracy thrives on the principle that leadership is determined by the people, not inherited by default. Seyi Tinubu’s constitutional right to contest for the governorship reflects the democratic ideals enshrined in Nigeria’s laws. However, his candidacy, like that of any other aspirant, must be judged on its merit, the policies he proposes, and the competence he demonstrates. In the end, the will of the people should guide leadership selection, ensuring that governance remains a reflection of collective choice rather than familial legacy.
-
Feature/OPED5 years ago
Davos was Different this year
-
Travel/Tourism8 years ago
Lagos Seals Western Lodge Hotel In Ikorodu
-
Showbiz2 years ago
Estranged Lover Releases Videos of Empress Njamah Bathing
-
Banking6 years ago
Sort Codes of GTBank Branches in Nigeria
-
Economy1 year ago
Subsidy Removal: CNG at N130 Per Litre Cheaper Than Petrol—IPMAN
-
Banking2 years ago
First Bank Announces Planned Downtime
-
Sports2 years ago
Highest Paid Nigerian Footballer – How Much Do Nigerian Footballers Earn
-
Technology4 years ago
How To Link Your MTN, Airtel, Glo, 9mobile Lines to NIN