Human Capital Development …Panacea For Poverty Reduction In Nigeria

Experts have over time emphasised the relationship between Human Capital Development (HCD), poverty reduction and good standard of living. They view human capital development in the light of increasing the number of persons who have skills, education and experience that are required for the economic growth and development of a nation. They also view it as a people -focused plan of action aimed at providing knowledge, skills and productivity for the development of a nation. The World Bank in its publication, “The-Human-Capital-Project-in-Sub-Saharan-Africa-Stories-of-Progress”, states that “Human capital, which is the sum of a population’s health, skills, knowledge, and experience, accounts for the largest share of countries’ wealth globally. “It allows everyone to reach their full potential and is increasingly becoming recognised as a primary driver of a nation’s economic growth.”
The World Bank in analysing how countries have fared with regard to HCD, stated that based on a new index, countries in Sub-Saharan Africa saw major reductions in under-five mortality between 1990 and 2015. It however, stated that “the number of children who die under the age of five mostly from avoidable causes such as complications related to respiratory infections, diarrhea, or malaria, is still high at about 2.9 million every year. “Countries such as Somalia, Chad, Central African Republic, Sierra Leone, Mali, and Nigeria have child mortality rate above 100 deaths per 1,000 live births, one of the highest in the world.” Also, according to the World Bank, Nigeria ranked 152 in the 2018 Human Capital Index (HCI). In furtherance of Nigeria’s poor rating, the World Bank 2020 HCI indicates that, “a child born in Nigeria just before the pandemic will be 36 per cent as productive when she grows up as she could be if she enjoyed complete education and full health.
“This is lower than the average for the Sub-Saharan African region (40 per cent) and Lower Middle Income countries (48 per cent).
Nigeria’s poor rating is corroborated by the United Nations Educational, Scientific and Cultural Organisation (UNESCO), global data on out-of-school children, which indicated in 2022 that Nigeria has about 20 million out-of-school children. In the same vein, the United Nations Children’s Fund (UNICEF) said a new global maternal mortality report showed that 82,000 women in Nigeria die from pregnancy and childbirth-related cases annually. Part of the fallout of the Nigeria’s poor Human Capital Index unfortunately is the current surge in human capital export popularly called “Japa”, which has led to huge manpower gap in various sectors of the Nigerian economy. This capital export, which has seen doctors, nurses, teachers and other professionals leaving the shores of the country in droves, has also led to shortage of skilled manpower. This development has further affected critical sectors of the economy that are key to measuring the level of human capital development like the health and education sectors.
To find lasting solution to the problem of poor HCI, the World Development Report (WDR) 2019 stated that “investing in human capital must be a priority for governments in order for workers to build the skills in demand in the labour market. It further stated that, “governments need to enhance social protection and extend it to all people in society irrespective of the terms on which they work.” To fund these investments in human capital and social protection, the report offers some suggestions as to how governments can mobilise additional revenues by increasing tax base. In view of this reality and as part of efforts to change the narrative, the National Economic Council in March 2018, inaugurated the Human Capital Development (HCD) Programme in Nigeria. The programme is designed in recognition of the critical role human capital development plays in addressing poverty and ensuring sustainable economic growth. It is also aimed at increasing investments in the Nigerian people, thereby improving Nigeria’s human capital development indices.
The immediate past Vice President of Nigeria, Prof. Yemi Osinbajo, at a Peer Review meeting recently held for HCD State Focal Persons under the programme, said, Nigeria must accord attention to HCD to drive the desired economic growth. He emphasised that human capital development plays a critical role in addressing poverty and ensuring participatory and sustainable economic growth. The former vice president urged the focal persons not to relent in sensitising state governments to ensure the impacts of the programme were felt at the grassroots. “We have since inception made tremendous strides in the implementation of the programme at the national and sub national levels. “Notable achievements included the inauguration of the national HCD strategy, constitution of state HCD councils and technical working groups. “Others are the development of national HCD communication strategy and the organisation of regional HCD conferences as well as strategic partnerships and alliances being forged across several stakeholders’ groups,’’ he said. Osinbajo expressed optimism that the successes achieved so far would provide the needed confidence in implementing the third phase of the programme successfully.
“As we begin the third phase of the programme implementation, the objectives of this programme will be met and the 2030 HCD target will be achieved in all, across the three thematic areas (level of education, standard of living and health of humans).“This phase is crucial to national success as it would be taking HCD to the grassroots where change is most needed and advocacy critical in where the programme is adopted,’’ he said. Osinbajo said that the third phase includes the inauguration of the community-based demonstration of the HCD programme in its simplest form. He said that successes recorded could be replicated across various communities in each local government area across Nigeria. Also speaking, the Coordinator, Core Working Group, HCD in Nigeria, Ms. Yosola Akinbi, said that critical areas of the implementation and management of the programme must happen at the grassroots. While noting that HCD was the software of any development, Akinbi said “we must build a country where the skills will be retained.”
In the same vein, some of the focal persons during their state presentations, said that the core of the HCD drive was the empowerment of youths to have the capacity and skills needed in creating or seeking employment. A participant from Akwa Ibom, Mr. Isaac Uduak, narrated how Akwa Ibom State Government under the former governor, Emmanuel Udom, took labour force participation seriously through its industrialisation policy that leveraged a Public Private Partnership (PPP) to revolutionise industries in Africa. “The average Nigerian will agree that policy formulation has never been a problem, implementation is usually the challenge. “The administration of Governor Emmanuel Udom understood this and went beyond mere policy implementation to ensuring the effective execution of its industrialisation policies in creating wealth for its people,’’ Uduak said.
The Nasarawa State Focal Person, Mrs. Habiba Suleiman, said that the programme in the state was concentrating on youth development. According to her, the Nasarawa State Government through the HCD Office with OXFAM in Nigeria as funding partners had trained youths in courses such as Team Building, Work Ethics and Business Model Canvas. “Others are Problem Solving, Presentation Skills, Telephone Etiquette, Customer Service among others,’’ she said.
In the account of the Adamawa State delegate, Mr. Amos Nuhu, the state under the programme built the capacity of 1, 000 health workers while improving the utilisation of child health and nutrition. “In addition, we have 10 skills acquisition centres and we are providing technical knowledge to improve efficiency for Small and Medium Enterprises (SMEs) in shoes and bags making. “More so, the state has its priorities in education through training and retraining of teachers as well as operating free education at the basic level,’’ Nuhu said.
Meanwhile, working in line with the vision to develop human capital in the country, the immediate past governor of Delta State, Ifeanyi Okowa, had also pledged the state’s commitment to developing the human capital crucial in the growth of industries. He said, “we will work with the entire Nigeria to ensure that we develop the human capital which is needed for the growth of industries. Analysts have opined that the new leadership of the states and the nation should give prior attention to the issue of Human Capital Development, take the works of their predecessors in this regard to higher level and initiate some projects and programmes, where they are lacking, so that more Nigerians will be equipped to contribute to the development of their states and the country at large.
They said that leaders across the three tiers of government should play down on amassing public funds for themselves and generations yet unborn and rather use these monies to rebuild the various sectors of the nation’s economy so that Nigeria will be a better place to live in.

By: Calista Ezeaku