Top 10 Problems facing Nigeria Economy and Possible solutions | Nigeria is a middle-income country, with emerging market and mixed economy. It has expanding manufacturing, service, financial, technology, communications, and entertainment departments.
Nigeria has been undergoing problems which result in why the Economy has not really been growing.
Here are Top 10 problems facing Nigeria Economy and possible solutions.
Top 10 Problems facing Nigeria Economy and Possible solutions
Poor Communication between Government and The Society
To create an enabling environment of economic growth in Nigeria would require involvement all stakeholders involved. The government would need to communicate with its citizens to be able to manage its economic, political and social affairs. This would mean fostering understandable interaction between it, the private sector and state civil society.
Therefore, the government should include processes and mechanisms for citizens and group to articulate their interest, to mediate their differences and work together.
A good leadership will mean providing enabling environment so that the Nigerian people can get quality governance and justice. It is only in such environment can economic prosperity strive.
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2. Corrupt Leaders
Truthfully corruption is in every country but in our country, Nigeria it appears it has eaten up into the every fiber of our existence. It has even been identified as a culture.
It is really appalling to say the least. As a parent would you proud enough to say that the culture you are handing over to your future generation is corruption? That was our country is doing right now.
Changes Of Administrative Policies
The dearth of our economy has also come about due to the lack of consistency in political policies in the country and the associating greed of the leaders. Every new administration always comes up with a new policy initiative instead of working on the one started by the previous administration.
Consequently, Nigeria now has a series of inefficient and badly executed policies.
Underdevelopment of Human Resources
We are the result of our decisions. If we do not develop our human potential or resources we can never manage our economic resources. Hence our good or poor decisions directly affect the success or failure of our nation.
Most of the problems facing the Nigeria economy are a direct reflection of the bad quality of the human development or resource of this country.
Market Monopoly by Government
Another challenge facing our economy is the lack of real market competition in our country. In real terms actual capitalistic economics are guided by market forces. This self-regulating character of the market defines where one work and live, how much one earns, and what he/she is able to buy.
On the contrary there is government interference in most of our economic growth. Sure we agree that each economy needs some form of government interference but the bad thing is monopolizing it. Good market governance must work hand in hand with a healthy competition. Unfortunately, Nigeria is not one where these two exist in one dimension.
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Increasing rate of crime and terrorism has negatively affected the economic growth of the country. Investors find it hard to do business in the country due to security fears.
For a Nigerian, crime issue gives many sleepless nights. In some places, people feel can no longer walk around their own neighborhoods freely anymore.
High Rate of Unemployment
Unemployment seems to be on two sides of the coin in our economic issue. It is both a cause and effect of the poor economic situation. There an increased rate of joblessness due to the economic recession, and the same time the unemployment state of the country is negatively affecting the economy.
Poor Educational System
The educational system of this country is in shambles. The quality of education materials used in most institutions are decades old and not up to the par with modern standards.
Many of the facilities for teaching these students are either old or unavoidable absent. Hence most lectures are mostly theoretical based with little practical. At the end of the day these poorly baked graduates cannot compete or perform adequately in the job market.
Environmental and Health Issues
There is a growing concern on the health and environmental standards of Nigeria. In 2013, the Amnesty International revealed that Nigeria experiences hundreds of oil spills annually in the Niger Delta, due to sabotage, pipe erosion, and uncaring attitude by oil firms.
These oil spills tend to wilt the soil nutrients and other important elements, resulting to damage of farmlands, drinking water source and sea lives.
Litters and waste products are strewn all over the streets and roads in Nigeria. Improperly disposed rubbish promotes the spread of diseases and this will end up affecting the health of the citizens and a drain on the Nigerian economy.
The poor infrastructure of the country might seem a small matter compared to the many troubling issues like terrorism, nonetheless they are very important. We can’t actually move economically ahead without dependable power supply.
Nigeria Economy POSSIBLE SOLUTIONS
Modern Nigeria politicians are totally incompetent in their different areas. Also, most of them are mired in corruption and illegal machinations. They have multi-million companies and other business interests. This kind of people cannot properly lead the country because they will always use existing positions for their own benefit.
There would be no significant change in the Nigerian economy until we find answers to our social and political issues. Undoubtedly, there can be no development in a country which is terrorized by marginals and dishonorable officials. But let us imagine that we have found the keys to the above-mentioned problems. What do we have to reform in the economy?
We have to give all our available resources for infrastructural development. We also have to deal with our oil dependency problem and expand other areas of the economy. Eventually, we must also strengthen the role of farming and households.