Opinion
Task For Nigerian Economists
Page 6 of The Tide newspaper of Friday, June 18, 2021, had a news headline: “Economist Challenges W’Bank’s Prediction On Nigeria’s Inflation Rate.” The meat of that headline was that a professor of economics queried World Bank’s prediction that Nigeria’s inflation rate is expected to rise to fifth highest in sub-Saharan Africa by the end of 2021. By 3.35pm same Friday, June 18, there was a laughter at a conference hall because a speaker revealed that there were 137 professors in his university.
The embarrassing laughter came about because someone wanted to know the total member of academic staff in that institution. The meat of that laughter was that there was an after-conference gossip that Nigeria has an inflation rate, professor-wise. What is inflation? It is defined as “a continuing increase in prices or the rate at which prices increase”. Inflation can also mean filling something with air. There was a gossip that meat sellers can inflate meant to make it look fatter.
At the international level, there are gossips that Nigeria is noted for inflating values, ranging from contract value to national budgets. There is also the tendency to inflate personal dignity which is why there can be quarrels when someone is not addressed adequately according to his status. Nigerian dignitaries are known to be jittery over any slight on their status. So, we are showered with flatteries.
In the afore-mentioned news on Nigeria’s inflation rate, it was stated that “Nigeria was lagging the rest of sub-Saharan Africa with food inflation,” which means rising prices of food. Reasons given for the nation’s plight included heightened insecurity and stalled reforms, thus increasing poverty. It is interesting to know that there is a Foundation for Economic Research and Training, based in Lagos.
Research and training programmes would mean great opportunity to expand the frontiers of existing knowledge and also train experts to implement the benefits of research findings. Advancement in the academic world is largely determined by effective teaching, diligent research and publications in scholarly journals. For the institution that was said to have been blessed with 137 professors, excluding retired ones, the possibility is that there are great nation-builders quite active there.
From an economic point of view, the task of nation-building hinges on the productive capacity of the citizens of a nation. There is also a professional code which places priority on commitment to service delivery, whereby reward and praise stay behind service ethics. Therefore, for professional economists, more so, for professors of economics, there is a present task of commitment to service to save Nigeria from her current economic plight.
Apart from the inflation rate issue, there is a more serious issue of productivity. No matter how we may wish to hide the truth, it is known across the globe that the Nigerian elite are an unproductive class of people. There was almost a gang-fight in a foreign country not long ago, because a supervisor in a workplace described Nigerian employees as “malingerers and unproductive”. What annoyed the eight Nigerians more was the statement that “you can do that in your country, but not here”. Diplomacy doused the tension.
What factors have been responsible for the low capacity of productivity among Nigerians, particularly in the public sector? Answer to this question came quickly from a clergyman: “easy money; oil money”. The cleric went on to say: “What do you expect in a country where you can sell an allocation paper and become a millionaire without lifting a broom to serve the nation?” Late Professor Tam David-West once talked about oil barons who never knew what a barrel or drop of oil looked like!
There are Nigerians who talk glibly about corruption without having a clear perception of the mechanics and dynamics of that plight. Does influence peddling not undermine the productive capacity of those who watch some clever people make millions of naira without lifting a broom in service of the nation? Or, is it not true that there are godfathers and sponsors whose favoured candidates dislodge diligent applicants willing to serve the nation with their skills and patriotism? Is the nation’s reward system ideal, or capable of promoting productivity?
Economists would educate us on what they call “runaway” or hyper-inflation and say that: “It’s when you have what we call runaway or hyper-inflation that is when you get worried”. Such state of inflation means that prices are increasing every day or every month without control. Is it wrong to say that such is our current experience? But for those whose food, water, fuel and all other necessities of life are provided by tax payers, the issue of inflation would be a mere academic stuff.
In the academic circle, when an issue is described as “academic stuff” it is same as saying that you can speak from two sides of your mouth so long as you have enough “stomach infrastructure”. Therefore, one of the tasks before our economists is to be realistic, rather than speak from the position of a “high horse”. World Bank’s predictions included the warning that “inflation would push seven million more Nigerians into poverty due to falling purchasing power”.
Poor purchasing power also arises from the pathetic exchange rate of the naira which becomes a relevant concern of all patriotic economists. Why has the value of the naira fallen to the current pathetic state? A soldier, not an economist, provided the answer quickly: “We are not productive; naira exchange rate is a clear testimony to that”. There’s need for clergymen, soldiers and economists to talk together.
Dr Amirize is a retired lecturer from the Rivers State University, Port Harcourt.
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