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Editorial

Violence is too costly for Nigeria: Concerted efforts from all now sacrosanct

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The disposition of Nigerian authorities to violence apparently reflect the Government may be oblivion of its cost in the Country. Recently, the narratives of violence in various forms have set to put before the Country reflections of anarchy and impunity of illegal use of force. In its various forms, violence has largely held the Country to ransom with far reaching impacts which have left the Country with clusters of unsavoury conditions.

The wild wave of these ills in their effects appear to be more stormy from particular ends, and its cost with subtle impacts, a condition that may be linked to why the apparent care-free disposition on the part of the Government has been perceivable and to certain extent, other fabrics of the society standing passive to the threats.

Be it on the scale of the evident losses and the subtle impacts, the evident damages of violence have indisputably inflicted debilitating blows on the Country’s societal fabric with huge cost. It is indisputable that the entire fabric of the Country have had to suffer directly and/or indirectly from the clusters of violent aggression in whatever form they appear. From the domestic enclave to terrorism front, violence is undesirable and has been costly on Nigeria.

The Institute of Economics and Peace (IEP) on Wednesday, 31st August 2022,  disclosed that violence affected about eight per cent of Nigeria’s Gross Domestic Product (GDP) leading to the country losing about N50 trillion within 18 months. IEP in its 2021-2022 report (January 2021 to June 2022), tagged “Nigeria Security Analysis Report” followed a research organised by Nextier SPD, which considered violence and its attendant effects on the Nigerian economy. Nextier has maintained a robust database of violent conflicts in Nigeria in recent years. The Database tracks violent conflicts such as banditry, terrorism, extra-judicial killings, farmer-herder incidents, armed robbery, cultism, piracy, secession agitation, and communal clashes.  The Nextier Violent Conflict Database is aimed at providing detailed insights into violent conflicts in Nigeria for research, policy advocacy, development and security.

In the report presented in Abuja, it was alleged that the Nigerian government spent about N8trillion on security without achieving the desired results. It stated that the increase of violence left state governors apparently overwhelmed as they were restricted by the constitution from taking certain measures in combating insecurity in their respective States. According to IEP, “Nigeria lost about N50.38 trillion to growing violence in 2021. The Nigerian government has spent at least N8 trillion on security provisions without achieving the desired results. Many governors have stated in different fora, that they are not the chief security officers in their states.”

It explained that the report was based on analyses carried out on violence activities across the Country, including secession agitations in the south, bandits attacks on vulnerable villages in Northwest and North central Nigeria, with incidences of village raids, sexual violence, ransom kidnapping, cultism, killings, and large-scale livestock which has affected the livelihoods of about 21 million people in Kaduna, Katsina, Kebbi, Niger, Sokoto, and Zamfara states.

It stated that, “banditry in the Northwest and North central regions transitioned from raids on vulnerable communities to large-scale ransom kidnapping of school students and brazen attacks on targets, including military installations. Sometimes, bandits send Ietters of impending attacks and extort levies from terrified communities.”

According to the report, a key feature of contemporary armed conflicts is that civilians have become combatants and primary victims, noting that in Nigeria, villages, streets, and schools have become battlefields, which eventually resulted to self-help and group-level armed defence systems responsible for increased secure violent hotspots.

“From the North to the South, activities of armed men have led to bloody shootouts, protracting crises, and complicated security situations. In many rural communities in Nigeria, violent conflicts limit access to farmlands and disrupt livelihood sources. Due to this challenge, food insecurity across Nigeria looms rural areas.

“Also, cities are not left out. Research shows that rural-urban migration may contribute to social and economic problems, including urban insecurity. It pointed out that despite the decrease in terror-related deaths, Nigeria recorded the ninth highest number of persons killed by terrorist incidents worldwide in 2022 due to recurrent crisis in 2022, which include banditry, terrorism, cultism, extrajudicial killings, farmer-herder struggle and secessionism,” the report stated.

It said in the wake of these violences and despite security responses, banditry incidents and fatalities have continued to heighten aided by security personnel. “Bandits are rampaging vulnerable villages in Northwest and North central Nigeria. Tracked activities by bandits include village raids, sexual violence, ransom kidnapping, killings, and large-scale livestock rustling, said the report, citing the recurrent violence affects livelihoods.

“The secessionist agitations in Nigeria raise serious concerns and have continuously thrown the nation into a state of instability and disintegration. At the very least, a significant amount of resources and lives have been lost during these agitations. Escalating violence in the South East is hampering economic progress and social order,” the report read.

According to a report, every time there is a sit-at-home, the Southeast geopolitical zone loses about N10 billion Naira.

“Cities like Onitsha, Aba, and Nnewi are core manufacturing and commercial hubs that are negatively impacted by the insecurity in the region. Manufacturing accounts for 31% and 30% of businesses in Aba and Onitsha. These commercial centres are also export routes to Central and West African nations.

“Violence is a drawback to education in the region. While pupils, students, and teachers in various parts of the country attend school, their southeast counterparts do not attend school on Mondays to avoid the wrath of overzealous members of the Indigenous People of Biafra (IPOB). Additionally, insecurity has displaced many farming communities and hindered cultivation. This situation has deterred agricultural supply and increased the cost of agricultural goods.

“Nationally, the cost of essentials like beans and tomatoes has increased by 253 per cent and 123 per cent, respectively, since July 2020. A measure of beans (known as Mudu) cost 73 cents (N305.48) in July 2020, but by July 2021, it was going for $2.16. (N900). Other goods, including bread, onions, and cassava flour, have increased exponentially,” the report noted.

Away from the forefront of terror based aggression, the violence within domestic circles appear to bear deep records with far reaching impacts. Issues of emotional trauma and imbalance, depression and other psychological defects are known to be associated with the various forms of domestic violence related offences. The rising records of these forms of violence, pose real threats which demand for critical attention. Wednesday 31, August 2021, it was disclosed no less than 4,860 cases of domestic violence, rape, sexual assaults and other related offences were recorded by the Lagos State Government (LASG) in the last 10 months.  The State’s Attorney General and Commissioner for Justice, Moyosore Onigbanjo who made the disclosure at a news conference commemorating the Domestic and Sexual Violence Awareness Month, September, 2022, said the figures covered the period between September 1, 2021 and July 31, 2022. Giving a breakdown, Onigbanjo said there were 2,029 domestic violence cases, 65 rape cases, 40 sexual assault cases, 10 attempt to commit rape, five sexual assaults by penetration, 73 threat to life and 488 others, such as separation, neglect, among others. Others included 113 child abuse/physical assault, 194 defilement cases, 15 defilement/molestation by minor to minor, 105 child labour, abduction neglect and 145 sexual harassment/molestation cases. The Attorney General added that a  total of 1,578 children had experienced emotional abuse, explaining that 55 percent of these children had been taken through counselling programmes to ensure they were able to psychologically deal with the events they had witnessed without it having a permanent and negative impact on them. He further revealed that the youngest child that experienced sexual violence in the year under review was eight months, while the oldest clients that experienced domestic violence were 75-year-old woman and 89-year-old man.

“We have also witnessed an increase in reporting of cases from other States; mostly from Ogun, Abia, Anambra and others respectively. In the past 11 months, a total of 394 cases occurred outside Lagos. Such cases are promptly referred to the relevant agencies in their respective States. The Office of the Public Defender as well as the Lagos Public Interest Law Partnership (LPILP) has provided free legal representation to 110 survivors of Domestic Violence, ranging from Judicial Separation, Divorce, Maintenance, Custody of children and Settlement. All the survivors of sexual assault received medical attention from Comprehensive Primary Health Care Centres, General Hospitals and Sexual Assault Referral Centres like Mirabel Centre, Women at Risk International Foundation (WARIF) as well as Idera Centre,” he said.

The need to fight the disturbing scourge of violence in the Country headlong is pertinent. Such fight must be comprehensive and overarching. Hence, to make the fight meaningfully driven, all well intentioned citizens, organs and institutions must rise to the challenge. While the Government has the monopoly of the control of the security forces in the Country, a function which situations now demand it becomes alive to, the Government cannot be left to it alone. Leaving the Government to fight solely would only amount to frustration. Hence, the fight to quell the prevailing raging storm of violence in the Country must be concertedly prosecuted by all, as every right thinking person and well intentioned institution of the society has their distinct and definite role to play.

For the Government, the primary role of enforcing law and order is a duty call it must awake to fulfill without option, while other institutions including the religious, cultural, traditional, social, political, among other organised bodies, including the media, civil society groups, among others have their roles to play to blend, where applicable, and complement, where necessary, measures to enforce social sanity and bring the  society to the ambience of tranquillity for peaceful coexistence.

Editorial

Nigerians groan under high cost of living 

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Barely fourteen days to the first year anniversary of this federal government, Nigerians have continued to groan under high cost of living, amidst a catalogue of failed promises. Despite its chants of ‘Renewed Hope Agenda,’ a cup of garri/rice has since gone out of the reach of an average Nigerian. There is a continuous hike in fuel and other petroleum products. Transportation fares, local, inter-state or international are a no-go area. Nigerians have lost count of pledged dates for the commencement of operations or production of our refineries, especially Port Harcourt Refinery.

Most citizens have lost hope in the current political leadership in the country. Fuel today is being sold at between N800 to N950 per litre and still counting. A bottle of kerosene is about N2,000 and this an essential product being used by almost 90 percent of the population, especially the lower cadre. In the past, the colour of kerosene used to be like spring water from a rock, but today the product is sullied with impurities, its colour of kerosene almost like that of groundnut oil. Yet, it remains scarce and costly. What a country.

Nigeria is possibly the only country with abundant crude oil deposits that prefers to throw away the crude at giveaway price to other countries in the name of exportation, only to  buy the refined products from the crude at exorbitant prices, in the name of importation.  The first refinery in Port Harcourt was built about nine years after oil was discovered in commercial quantity in Oloibiri in 1956 in the present day Bayelsa State. And up till today there is no intentional attempt to rebuild it, or be religious in maintaining it.

The Naira debuted as the national currency of Nigeria, at 75K to $1, but today N1,500 is exchanging $1. Yet, we are ranked among the highest producers of oil and gas in the comity of nations. The unadulterated truth is this: Nigerians are suffering in the midst of plenty which should not be the case.

The poor leadership of the old brigade, who have held sway since independence, should leave the stage for younger generation. The current President of France, Emmanuel Macro is below forty years. The recent election in Senegal produced a 44-year-old man as president. Whether we like it or not, once a person passes retirement age of 60, his mental faculty starts dropping.

Inflation rate is now 33-35% in the country. Unemployment rate is soaring and the Federal Government had the gut to propose N48,000 as minimum wage for Nigerian workers, possibly as part of the ‘renewed hope agenda.’ This is as against N860,000 being proposed by the organised labour, comprising the Nigeria Labour Congress (NLC) and Trade Union Congress(TUC).

We are not surprised therefore when the organised labour walked out of the negotiation table and handed down a 14-day ultimatum to the Federal Government to think right.

We hope the federal government will really do all it needs to do to avoid another showdown with Nigerian workers who are like wounded lions and have been patient enough with the economic torture currently being experienced by workers in the country. We hope and pray that the tail of a sleeping tiger, will not be unnecessarily pulled. It could amount to unpleasant consequences. The government should fulfil its campaign promises and ensure peace and tranquility throughout the nation.

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Editorial

Minimum wage Saga: FG, let the people go…

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For years, the narrative has been the same — the economy withers and the common man cries out for reprieve, only to be met with an endless array of impediments. When it is time to intercede for the poor, Nigerians are met with pointless bureaucracy and palliatives. Foreign aid is rendered ineffectual thanks to the gauze-hand of leaders, through which it all slips through into an oblivion of their own invention.

In April 2024, the headline inflation rate rose to 33.69 percent, up from 33.20 percent in March 2024, marking an increase of 0.49 percent points according to the Nigeria Bureau of Statistics (NBS). Yet, to raise the minimum wage to a level that will help beat back hunger in the poorest families has become a problem for the government.

Per the International Monetary Fund, IMF, a determined and well-sequenced implementation of government’s policy intentions would pave the way for faster, more inclusive, resilient growth in Nigeria. Without reforms — such as raising the minimum wage — to enhance the business environment, improve security, implement key governance measures, develop human capital, boost agricultural productivity, Nigeria’s growth potential will never leave the realm of imagination.

“These reforms are crucial to boost investor confidence, unlock Nigeria’s growth potential and diversify the economy, and address food insecurity, and underpin sustainable job creation,” IMF noted in its recent report, adding that over the last decade, limited reforms, security challenges, weak growth and now high inflation had worsened poverty and food insecurity in Nigeria.

“While Nigeria swiftly exited the COVID-19 recession, per-capita income has stagnated. Real Gross Domestic Product (GDP) growth slowed to 2.9 percent in 2023, with weak agriculture and trade, and in spite of the improvement in oil production and financial services.

“Growth is projected at 3.3 per cent for 2024 as both oil and agriculture outputs are expected to improve with better security. The financial sector has remained stable, in spite of heightened risks. Food insecurity could worsen with further adverse shocks to agriculture or global food prices. Adverse shocks to oil production or prices would hit growth, the fiscal and external position, and exacerbate inflationary and exchange rate pressures,” the IMF said.

Yet, on Wednesday the pattern continued. Negotiations reached a deadlock due to the government’s perceived unwillingness to engage in fair discussions with Nigerian workers. The NLC National President, Joe Ajaero, in a sense is right to say that the government’s proposal of N48,000 as the new minimum wage is an insult to Nigerian workers.

It is no surprise that the labour unions are demanding a higher minimum wage to reflect the current economic realities and alleviate the suffering of Nigerian workers. The stalemate in negotiations may lead to industrial action, which could have far-reaching consequences for the economy.

Many labour in vain for decades for peanuts, only to be denied their pensions in old age. Of course, the Nigerian worker will down his tools in the face of great poverty, and seeming apathy from the government. The relationship between wage rate and employment is well established. Most revolutions throughout the world are dependent on the satiation of the labour force. The Federal Government should maintain an atmosphere of charity and responsibility. Like the Israelite Moses said millennial ago, let our people go.

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Editorial

Inflation as major threat to life security

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Millions of Nigerians are groaning because of the devastating inflationary pressure that is making it impossible for many to consume the minimum calories required for a healthy living.

It is known that Nigeria’s macroeconomic environment has become very harsh in its diminutive impact on the purchasing power at the disposal of the citizenry.

Many cannot also conveniently afford to transport themselves to their workplace or move around for routine activities.

Meanwhile, the price of other payment obligations for services such as house rents, school fees, utilities (including cable television), health and recreation services are rising on a daily basis.

This shows that the quality of life enjoyed by Nigerians is deteriorating as poverty becomes more pervasive and endemic.

According to official statistics, the November inflation rate was 14.89 percent and it is fast heading towards the 15 percent mark.

Meanwhile, the Rural inflationary pressure is also climbing as the rate climbed to 12.28 percent in July even when the price of Premium Motor Spirit and electricity tariff had not been hiked. Prices are just rising freely.

This applies to production inputs (except labour), consumer durable, agricultural products as well as services.

This unfortunately is the case irrespective of the basket of goods one uses as a measure outside the standard yardstick.

A close look at the policy framework of the government shows that the recent surge in general price level is not unconnected with structural bottlenecks, fiscal and monetary policies, deregulation, and trade policies as well as inefficiency on the part of regulatory agencies.

The government has for too long paid lip service towards unbundling of the shackles of growth and development such as poor budgetary implementation on capital projects, outdated laws and a toxic business environment that constrain the economy.

This has indeed, slowed down economic growth and resulted in shortage of goods and services and their attendant impact on inflation.

The government seems to be heating up the system by keeping its spending open-ended even as it cries of inadequacy of revenue to finance its expenditure obligations.

The disconnect between recurrent account, capital account and public debt operations is certainly having a destabilising effect on public finance operations of the country.

This has given rise to fiscal domination that describes the aggregative impact of the uncoordinated expenditure activities of all the governments in our strange three-tier federal arrangement.

It also appears that the Central Bank is losing sight of its inflation-targeting monetary policy which has been on its front burner for more than two decades now.

This is certainly not what the nation needs now when virtually all the macroeconomic variables are in disarray.

Here, attention of CBN must be called to its Naira management policy especially as it affects the regimented devaluation and depreciation which impact heavily on the domestic and external value of the currency.

The external value requires attention considering that the Nigerian economy carries a monolithic production base and import orientation.

The gross loss in the value of Naira is having a horrible impact on the life of Nigerians as misery and hopelessness characterise the daily songs of the lower income strata and whatever is left of the middle class.

It must be pointed out also that the government policy on agriculture in general and rice production appears to suffer a backlash.

Whereas local production has increased appreciably the farmers and agricultural marketers are engaging in exploitative pricing practice.

They simply jack up their prices arbitrarily. This is particularly the case with respect to rice where the price of the local varieties is at par with the foreign brands.

The recent increase in the price of premium motor spirit and electricity tariff have surely added more salt to the injury.

These two products are directly tied to production and distribution of goods and services and as such raising their individual prices simply translates to increasing the price of everything that is bought and sold in the open and underground economies.

Unfortunately, all these are happening when the nominal income of the average citizen has either stagnated or declined as the minimum wage has not been paid by many states of the federation.

The same is characterised by controversy in those states and some federal agencies that have implemented the new salary regime.

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