10 - Economic Reforms and Human Development in Post-Military Nigeria: A Critical Assessment

Summary

We have resolutely embraced reforms in order to move away from a past that was characterized by fiscal recklessness, plan indiscipline, misplaced priorities, and general insensitivity to the plight of the Nigerian people. I am pleased to note that our reforms, your sacrifices, and commitment to purposeful change are now yielding results. On all sectors of the economy, we are witnessing rapid changes, and these are being acknowledged by the International Community, especially our development partners.

(President Olusegun Obasanjo 2006)

Our economy is on a strong footing with an average growth rate of about 6.9 percent, a single digit inflation rate, external reserves of about $63 billion, and the Naira appreciating steadily against the major currencies. This is a consequence of our policies aimed at maintaining relative stability and predictability in Nigeria's macro-economic environment.

(President Umaru Musa Yar’Adua in Voice of America 2009)

We are witnessing a revolution in the agricultural sector and the results are evident. We have tackled corruption in the input distribution system as many farmers now obtain their fertilizers and seeds directly through an e-wallet system. In 2013, 4.2 million farmers received subsidised inputs via this programme. This scheme has restored dignity to our farmers.

(President Goodluck Jonathan 2014)

Our social intervention programs are a model for other nations. Together with state governments, we provide millions of school children with meals in primary schools, micro loans to traders and entrepreneurs, skills and knowledge acquisition support to graduates and of course, conditional cash transfers to the poorest and most vulnerable in our society.

(President Muhammadu Buhari 2019)

Introduction

In Nigeria's political economy, a plethora of numerous plans, policy frameworks, and reforms have been designed and implemented since independence in 1960 with the aim of providing a basis for economic growth and development. This process was accelerated during the oil boom era of the 1970s and 1980s. Throughout this period, the state acted as the agent of economic development with heavy investments in critical areas of the economy, including steel, manufacturing, agriculture, and public utilities such as telecommunications, power, and water, as well as other service industries. At the same time, due to several factors, including sporadic changes of government resulting from military coups and attendant policy instability and discontinuity, mismanagement, and corruption, government economic policies led to bloated bureaucracies, unbalanced budgets, and excessive debts.