Portfolios show Buhari’s commitment to economy

The ministerial list and portfolios announced yesterday by President Muhammadu Buhari may have quenched investors’ anxiety over his administration’s ability to usher in a clear cut economic agenda.

Amid a weakening macroeconomic story, driven by developments in the international oil market, Buhari succeeded in rationalising ministries, an indication of government’s commitment to managing available resources judiciously.

Some analysts yesterday  expressed confidence that the ministries of power, finance, transport, trade and industries, budget and planning among others, which are expected to bring about the much desired development, have  been assigned to tried and tested hands who are also principled and decisive persons .

Power seems to be the center point of the economy and a lot of analysts believe that if Nigeria fixes power, the economy has been fixed, on account of  its spill-over implication on manufacturing, SMEs, and job creation. Also, Nigeria’s infrastructure –like roads and housing are fundamental in measuring its development. 

The immediate past governor of Lagos State, Babatunde Fashola, whose giant strides in the state’s infrastructural development, has a tripod role of overseeing key ministries: Power, Works and Housing. While President Buhari oversees the ministry of Petroleum. Other ministers and their portfolios are: Rotimi Amaechi (Rivers)—Transportation; Chris Ngige (Anambra)–Labour and Employment; Kayode Fayemi (Ekiti)–Solid Minerals; Abdulrahman Dambazau (Kano)—Interior; Aisha Alhassan (Taraba)–Women Affairs; Ogbonnaya Onu (Ebonyi)–Science and Technology; Kemi Adeosun (Ogun)—Finance; Abubakar Malami (Kebbi)—Justice; Hadi Sirika (Katsina)–State for Aviation; Suleiman Adamu (Jigawa)–Water Resources; Solomon Dalong (Plateau)–Youth and Sports; Ibe Kachikwu (Delta) – State for Petroleum; Osagie Ehanire (Edo) – State for Health; Audu Ogbeh (Benue)—Agriculture; Udo Udo Udoma (Akwa Ibom)–Budget and National Planning; Lai Mohammed (Kwara)—Information; Amina Mohammed (Gombe)—Environment; Ibrahim Usman Jibril (Nasarawa) – State, Environment; Anthony Onwuka (Imo), State for Education; Muhammadu Bello (Adamawa)—FCT; Adamu Adamu (Bauchi)—Education; Okechukwu Enelamah (Abia)–Industry Trade and Investment; Aisha Abubakar (Sokoto) State for Trade, Industry and Investment

Khadija Bukar Abba (Yobe), State for Foreign Affairs; Claudius Daramola (Ondo)–State, Niger Delta; Geoffrey Onyeama (Enugu)–Foreign Affairs; Monsur Dan-Ali (Zamfara)—Defence; James Ocholi (Kogi), State for Labour; Zainab Ahmed (Kaduna), State for Budget; Mustapha Shehuri (Borno)–State for Power; Heineken Lokpobiri (Bayelsa)–State for Agriculture; Isaac Adewole Folorunsho (Osun)—Health; Usani Usani Uguru (Cross River)– Niger Delta; Abubakar Bwari Bawa (Niger)–State for Solid Minerals; and Adebayo Shittu (Oyo)—Communications.

The key indicator of Nigeria’s equities market which has been in the red, increased by 0.12 percent, further justifying analysts views that the long-awaited portfolio allocation which ushers in a clear cut economic agenda will send positive vibrations into equities, though at a soft pace.

The Nigerian Stock Exchange (NSE) All Share Index (ASI) closed positive after rallying from a lower start. “In our view, the strength on the day partly reflects a positive reaction to the appointment of a new cabinet by the president, which suggests investors are optimistic of clarity of policy direction going forward,” said research analysts at Lagos-based investment bank, Dunn Loren Merrifield.

Adeosun takes the mantle of managing Nigeria’s economy when oil as its major source of revenue has lost over 50percent of its price since last year.

“I just hope Fashola will be able to get one hour sleep daily, with the heavy load on his shoulders, but knowing the excellent job he did in Lagos, he will perform very well”, said Sammy Ode, a public affairs analysts.

Another Nigerian who identified himself as David Adeniran said, “The only thing I expected to further justify the rationalisation and austerity is the fusion of the Ministry of Aviation with the Ministry of Transportation. If I can recollect I think many years ago, it used to be one ministry for both.”

Analysts also said that the long wait for the cabinet has been worth it and that Nigerians should expect to see resuscitation of abandoned projects of national relevance, like rail lines, goods roads  constructed and evenly distributed.

Bolade Agbola, executive director, Cashcraft Asset Management limited said, “The distribution of the portfolios is wonderful. It has confounded most analysts. The President simply assigned the key ministeries of power, transport , trade and industries, budget and planning that will define his  presidency to a few tested technocrats and young politicians with the right passion.

“The President got it right and I think the wait is worth it. I look forward to vast improvement in power supply, conclusion on the urban rails in Abuja, Porthacourt and Lagos . Who says we cannot have East-West, North -West, North-East standard gauge rail line and road network in our time, even as our economy  is rebuilt?”

Friday Ameh, an energy analyst said the country should expect improvement in power supply and accountability in the public service.

Ameh, however did not see the semblance of power with works, as presently constituted. He said however that Buhari should have appointed more than one minister of state to work with Fashola, considering the high expectations from those sectors.

John Omachonu, Iheanyi Nwachukwu & Teliat Sule