Opinion
Rivers And The Quest For Increased IGR
One topical issue that is currently engaging discussion among most policy formulators and executors in Nigeria is how to increase Internally Generated Revenue (IGR). The need to boost internally generated revenue became imperative, following continuing shrinking of distributable revenue due to the segment of the society from the national consolidated revenue sources.
Experts have attributed this development to the reduction in revenue earnings in the country, due to the on-going global economic crunch which has led to a reduction in the price of crude oil.
The decline in the price and global demands of the commodity by countries has translated into diminishing income for Nigeria which is currently dependant on the exportation of crude oil for foreign exchange earnings.
Worried by this trend and the need to create alternative for revenue generation, most state governments are initiating new revenues for boosting IGR. One of the states, which have made practical commitment towards this initiative in the recent times, is Rivers State.
For some time now, the State government under Chief Nyesom Wike, has introduced new innovation aimed at re-oiling, as well as creating channels for boosting IGR. Making this known during this year’s budget presentation, Governor Wike said his administration planned to raise over N50 billion through IGR this year.
“The total recurrent revenue to be collected is estimated to be N120 million. It wrists of N30.6 billion IGR and N60 billion revenues from the Federation Account allocation”, he explained.
One of the ways of achieving this goal is through the implementation of the revaluation of certificate of occupancy (C of O) of existing landed properties in the state, as part of the initiative to open up a new stream of internally generated revenue (IGR). The move was conceived as avenue to scale up the internal revenue generation capacity of the state which has, in recent times, grew to about N8.7 billion from last year’s mark of N500 million.
The initiative by Governor Wike revealed that all holders of C of Os of landed properties in the state present them to the State Ministry of Lands and Housing for revaluation. On doing this, title holders are expected to meet up their financial obligation to the state in area of ground rents payment which has been in arrears for several years now.
According to records which was made available to newsmen, the introduction of the revaluation of the C of O was one of the measures conceived to further build up the IGR which has increased since the inception of the current administration in May 2015.
At the moment, Rivers State, despite the shortfall from the Federal Allocation, depends hugely on other grants to fund its development programmes and operations. From all indications, IGR has grown to about 85 percent in the last 18 months and experts are of the opinion that the re-introduction of collection of ground rents would tremendously impact on the quest by the government to boost collection.
Commenting on the policy move, Dr. Theophilus Uwakwe Eke, an environmental expert said that Governor Wike is deeply worried over the state’s continued dependence on grants.
“As stated by Governor Wike, the state has conceived several fiscal measures aimed at growing IGR. One of the measures is the revaluation of the C of Os.
“The study conducted by the ministry charged with the preparation of the budget indicates that the option is very viable.
“If well managed, it is capable of raking in billions of naira into the state’s coffers. That is why we are putting in place necessary machinery in motion for its implementation”, he explained.
Speaking further on this development, a university lecturer in the Department of Environmental Sciences of the Rivers State University, Port Harcourt, Dr. T.T Dokubo, disclosed that players in the environment industry in the state are prepared to support government in implementing the programme.
“We in environmental society are sure that the state is going to realize sustainable revenue from the initiative and are ready, if called upon by government, to assist in achieving this noble objective. We made this known to the government recently when we visited the State Commissioner for Lands and Housing. Definitely, the initiative is long overdue and we are deeply happy that finally, the State has embraced the lofty idea”, he noted.
In view of the above, I want to say that the new innovation introduced by the Wike administration to increase the internally generated revenue of the State is a welcome development. The new initiative will certainly boost the State’s economy. It is, therefore, important that all stakeholders, especially holders of C of Os should cooperate with the State government to realise this vision.
Agbo writes from Port Harcourt.
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Empowering Youth Through Agriculture
Quote:”While job seeking youths should continuously acquire skills and explore opportunities within their immediate environment as well as in the global space through the use of digital platforms, government, corporate/ multinational organizations or the organised private sector should generate skills and provide the enabling environment for skills acquisition, through adequate funding and resettlement packages that will provide sustainable economic life for beneficiaries”.
The Governor of Rivers State, Sir Siminalayi Fubara, recently urged youths in the Rivers State to take advantage of the vast opportunities available to become employers of labour and contribute meaningfully to the growth and development of the State. Governor Fubara noted that global trends increasingly favour entrepreneurship and innovation, and said that youths in Rivers State must not be left behind in harnessing these opportunities. The Governor, represented by the Secretary to the State Government, Dr Benibo Anabraba, made this known while declaring open the 2026 Job Fair organised by the Rivers State Government in partnership with the Nigeria Employers’ Consultative Association (NECA) in Port Harcourt. The Governor acknowledged the responsibility of government to create jobs for its teeming youth population but noted that it is unrealistic to absorb all job seekers into the civil service.
“As a government, we recognise our duty to provide employment opportunities for our teeming youths. However, we also understand that not all youths can be accommodated within the civil service. This underscores the need to encourage entrepreneurship across diverse sectors and to partner with other stakeholders, including the youths themselves, so they can transition from being job seekers to employers of labour,” he said. It is necessary to State that Governor Fubara has not only stated the obvious but was committed to drive youth entrepreneurship towards their self-reliance and the economic development of the State It is not news that developed economies of the world are skilled driven economies. The private sector also remains the highest employer of labour in private sector driven or capitalist economy though it is also the responsibility of government to create job opportunities for the teeming unemployed youth population in Nigeria which has the highest youth unemployed population in the subSahara Africa.
The lack of job opportunities, caused partly by the Federal Government’s apathy to job creation, the lack of adequate supervision of job opportunities economic programmes, lack of employable skills by many youths in the country have conspired to heighten the attendant challenges of unemployment. The challenges which include, “Japa” syndrome (travelling abroad for greener pastures), that characterises the labour market and poses threat to the nation’s critical sector, especially the health and medical sector; astronomical increase in the crime rate and a loss of interest in education. While job seeking youths should continuously acquire skills and explore opportunities within their immediate environment as well as in the global space through the use of digital platforms, government, corporate/ multinational organizations or the organised private sector should generate skills and provide the enabling environment for skills acquisition, through adequate funding and resettlement packages that will provide sustainable economic life for beneficiaries.
While commending the Rivers State Government led by the People First Governor, Sir Siminilayi Fubara for initiating “various training and capacity-building programmes in areas such as ICT and artificial intelligence, oil and gas, maritime, and the blue economy, among others”, it is note-worthy that the labour market is dynamic and shaped by industry-specific demands, technological advancements, management practices and other emerging factors. So another sector the Federal, State and Local Governments should encourage youths to explore and harness the abounding potentials, in my considered view, is Agriculture. Agriculture remains a veritable solution to hunger, inflation, and food Insecurity that ravages the country. No doubt, the Nigeria’s arable landmass is grossly under-utilised and under-exploited.
In recent times, Nigerians have voiced their concerns about the persistent challenges of hunger, inflation, and the general increase in prices of goods and commodities. These issues not only affect the livelihoods of individuals and families but also pose significant threats to food security and economic stability in the country. The United Nations estimated that more than 25 million people in Nigeria could face food insecurity this year—a 47% increase from the 17 million people already at risk of going hungry, mainly due to ongoing insecurity, protracted conflicts, and rising food prices. An estimated two million children under five are likely to be pushed into acute malnutrition. (Reliefweb ,2023). In response, Nigeria declared a state of emergency on food insecurity, recognizing the urgent need to tackle food shortages, stabilize rising prices, and protect farmers facing violence from armed groups. However, without addressing the insecurity challenges, farmers will continue to struggle to feed their families and boost food production.
In addition, parts of northwest and northeast Nigeria have experienced changes in rainfall patterns making less water available for crop production. These climate change events have resulted in droughts and land degradations; presenting challenges for local communities and leading to significant impact on food security. In light of these daunting challenges, it is imperative to address the intricate interplay between insecurity and agricultural productivity. Nigeria can work toward ensuring food security, reducing poverty, and fostering sustainable economic growth in its vital agricultural sector. In this article, I suggest solutions that could enhance agricultural production and ensure that every state scales its agricultural production to a level where it can cater to 60% of the population.
This is feasible and achievable if government at all levels are intentional driving the development of the agricultural sector which was the major economic mainstay of the Country before the crude oil was struck in commercial quantity and consequently became the nation’s monolithic revenue source. Government should revive the moribund Graduate Farmers Scheme and the Rivers State School-to-Land agricultural programmes to operate concurrently with other skills acquisition and development programmes. There should be a consideration for investment in mechanized farming and arable land allocation. State and local governments should play a pivotal role in promoting mechanized farming and providing arable land for farming in communities. Additionally, allocating arable land enables small holder farmers to expand their operations and contribute to food security at the grassroots level.
Nigeria can unlock the potential of its agricultural sector to address the pressing needs of its population and achieve sustainable development. Policymakers and stakeholders must heed Akande’s recommendations and take decisive action to ensure a food-secure future for all Nigerians.
By: Igbiki Benibo
