Frustrated by escalating living expenses, ineffective governance, and a scarcity of opportunities, young Africans are spearheading a wave of protests. Nigeria recently joined this growing movement, which has already impacted at least three other countries across the continent.
On Sunday, the presidential speech sought to reassure Nigerians, particularly the #EndBadGovernance protesters, with a more conciliatory tone. However, notable gaps persist. The speech fell short in outlining how the root causes of the economic hardship—the central concern—will be systematically addressed. Without a clear, step-by-step plan for alleviating these issues, many remain unconvinced.
Source: Demonstrators gather during the End Bad Governance protests in Nigeria. PHOTO: BLOOMBERG/AFP VIA GETTY IMAGES
Among the placards in the above image is one that reads, “One day, the poor will have nothing left to eat but the rich oppressors.” This powerful statement, held by a protester during the #EndBadGovernance demonstration, encapsulates the economic hardship many Nigerians face daily.
“Instead, the speech seemed to skim the surface of these crucial issues, failing to offer concrete solutions or show a commitment to real change.”
While the speech was timely, as anticipated, it left many Nigerians feeling let down. Loosely speaking, people expected the president to tackle the high cost of governance and propose measures to ease the economic burden on everyone.
Instead, the speech seemed to skim the surface of these crucial issues, failing to offer concrete solutions or show a commitment to real change.
Unfortunately, the 2024 budget, labelled the “Budget of Renewed Hope,” does not show that the government is ready to make sacrifices for the economy. At the same time, it asks struggling Nigerians to be patient with the rising cost of living.
A closer look at the 2024 budget reveals significant unnecessary recurrent expenditures. For example, the cost of SUVs for over 450 lawmakers is $150,000 each—a substantial amount of money.
The government has also allocated about $38 million for the presidential air fleet, vehicles, and the renovation of residential quarters for the president, vice president, and the president’s wife, even though her office is not recognised by the country’s constitution.
In 2023, Argentina witnessed a major shift when anti-establishment politician Javier Milei was elected president. Since taking office, Milei has introduced significant cost-cutting measures to confront Argentina’s severe economic problems, such as hyperinflation and a persistent fiscal deficit. Nigeria can draw valuable lessons from Milei’s approach.
As reported by EL PAÍS English, Milei unveiled a plan to cut $20 billion from public sector spending. His focus was on reducing operating expenses and eliminating political privileges to curb excessive government expenditure. To lead by example, he started flying commercial flights instead of using the presidential jet, a gesture highlighted by the Peoples Gazette Nigeria. This symbolic act of austerity demonstrates a powerful way for leaders to show their commitment to cutting costs.
Milei’s administration also cut various subsidies, including federal bus subsidies, to align public finances with economic realities. The government plans to achieve a fiscal surplus by privatising certain sectors and increasing taxes on specific transactions, as noted by EL PAÍS English.
These measures offer a potential roadmap for Nigeria to tackle its economic challenges by reducing unnecessary spending and improving fiscal management.
In contrast to Argentina’s decisive reform measures, Nigeria’s experience with public sector reform has been less impactful. The Oronsaye Report, authored by Steve Oronsaye in April 2011, proposed a sweeping restructuring of Nigeria’s public sector.
The report aimed to cut governance costs by merging agencies with overlapping functions, eliminating redundant ones, and streamlining operations to enhance efficiency and accountability.
Despite some steps taken by the Nigerian government to implement these recommendations—such as merging certain agencies and attempting to streamline operations—progress has been slow and incomplete.
Various challenges have impeded full implementation. Bureaucratic resistance, political interests and funding constraints have all played significant roles in stalling reform efforts.
More than a decade later, the full realisation of the Oronsaye Report’s recommendations remains a distant goal, underscoring a persistent and painful struggle for meaningful reform.
Nigerians are keenly watching for substantial action from their leaders, particularly regarding critical issues beyond mere symbolic gestures. They are eager to see concrete steps addressing the major sources of foreign currency generation, such as the oil and gas sector.
The situation at the Nigerian National Petroleum Company Limited (NNPCL) and the overall management of oil revenues are areas of deep concern. The public awaits detailed explanations and solutions from the President on these pressing issues.
In addition, the insecurity that has plagued the agricultural sector continues to affect food production and prices. With food inflation at a staggering 40.87 percent—contributing significantly to the overall inflation rate of 34.19 percent, as reported by the National Bureau of Statistics (NBS)—there is a strong demand for action.
Nigerians are looking for clear plans from the President to address these critical issues, rather than just superficial responses.
Recent criticism from Nobel laureate Wole Soyinka highlights the growing frustration among Nigerians. Soyinka condemned President Bola Tinubu’s recent nationwide address for failing to address the violent crackdown on #EndHunger protesters by security forces, as earlier reported by BusinessDay.
As a close ally of President Tinubu, Soyinka’s criticism underscores the disappointment felt by many who believe that ignoring such issues only emboldens security forces to continue their actions with impunity.
Nigerians are calling for substantive actions and transparent solutions to address the country’s challenges, rather than just superficial measures.
While some demands from the protesters, like reversing petrol subsidies, may seem challenging or impractical, what is crucial now is a clear and detailed explanation from President Tinubu.
The public wants to understand not only the reasons behind his decisions on his inaugural day but also the specific strategies he will use to tackle the underlying issues. A transparent and actionable plan is essential to build trust and demonstrate real progress.
Oluwatobi Ojabello, senior economic analyst at BusinessDay, holds a BSc and an MSc in Economics as well as a PhD (in view) in Economics (Covenant, Ota).
Join BusinessDay whatsapp Channel, to stay up to date
Open In Whatsapp
