Confronting poverty: Why Nigeria must prioritise systemic change over short-term relief

The core of the #EndBadGovernance protests that rocked Nigeria in August were in the inability of Nigeria’s poor to sustain their demands over time, a factor that emphasises the need for both national and local governments to engage earnestly with their grievances. To ensure that these voices are not merely heard but acted upon, it is essential that constructive dialogue be pursued to address the entrenched issues of poverty and inequality.

Nigeria has long grappled with the deep-seated issues of inequality and political disenfranchisement. Decades of mismanagement, corruption, and neglect have systematically excluded the poor from meaningful participation in the political process. Their voices have been stifled in the corridors of power, preventing them from influencing the decisions that profoundly impact their lives.

To avoid a resurgence of protests, in the face of countrywide arrests and office invasions, it is imperative that both national and subnational leaders recognise the gravity of these concerns. The government must not only listen but act decisively to dismantle the barriers that perpetuate poverty and marginalisation. Only through genuine and sustained engagement can we hope to rectify the systemic failures that have long plagued Nigeria and ensure that every citizen has a fair chance to shape their future.

The recent turmoil in Bangladesh, culminating in Prime Minister Sheikh Hasina’s resignation and escape from the country, underscores a deeper systemic issue that extends far beyond its borders. While Bangladesh’s economic growth rate may appear impressive on the surface, this episode starkly reveals the illusion of the ‘trickle-down effect’—a concept that, much like the 1960s notion of ‘growth without development,’ fails to address the fundamental needs of the populace.

This phenomenon is not unique to Bangladesh. The same patterns can be observed in Kenya, and even in more developed nations such as the UK and France. In these cases, superficial economic growth often masks the persistent inequalities and systemic failures that leave the poor entrenched in cycles of disempowerment and social injustice.

The broader issue lies in the failure of economies and political systems to prioritise genuine, equitable development. Instead, we witness a preoccupation with managing bureaucratic inefficiencies and political conflicts, with politicians often resorting to promises of short-term relief—bread and circuses—to placate the disenfranchised. Such measures are ultimately futile if they do not address the underlying issues of access to education, healthcare, and other essential services.

As Nigeria observes these global events, it is crucial to move beyond the illusion of ephemeral growth and instead focus on the concept of ‘pre-distribution.’ This approach prioritises building a solid foundation by ensuring that basic needs are met and opportunities are accessible from the base up. This shift in perspective is essential not only for fostering genuine economic progress but also for creating a more just and equitable society.

In the early 1950s, the concept of pre-distribution emerged as the prevailing wisdom in political thinking, focusing on building from the grassroots to achieve sustainable development and equitable growth. This approach proved successful, as evidenced by the progress made by agencies like the Lagos Executive Development Board (LEDB) and regional government agencies. Their efforts contributed to the development of a robust middle class, with thriving neighbourhoods such as Surulere, once known as ‘New Lagos,’ Bodija in Ibadan, and other regional hubs standing as testaments to their success.

However, the global social crises of recent years have discredited the Bretton Woods’ Structural Adjustment Programme (SAP) and its flawed ‘trickle-down effects’ ideology. It is time to revisit the concept of pre-distribution, emphasising the essential role of the state in citizens’ lives. 

Pre-distribution involves state intervention in capital and market structures, redirecting resources to productive sectors to foster sustainable growth. This approach not only stimulates economic development but also generates tax revenue for the state.

For example, a universal health insurance system supported by contributions from 40 million Nigerians (e.g., N3,000 per month per person) could create a substantial economic impact, potentially comparable to that of Togo. 

Furthermore, revitalising institutions such as the Bank of Agriculture (BOA) and linking them with Commodity Exchanges, Boards, and Agricultural Cooperatives could spark an agro-industrial revolution. This framework could significantly boost non-oil exports, potentially matching half of crude oil exports by 2031, based on conservative estimates.

For countries like Nigeria, pre-distribution represents a crucial alternative to the discredited Bretton Woods-inspired models. It’s imperative that our nation chooses between clinging to outdated theories or embracing the enlightened approaches of the 1950s and 1960s. 

The London School of Economics’ motto, ‘rerum cognoscere causas’—‘knowing the causes of things’—serves as a guiding principle. By understanding the root causes of societal issues, the government can prevent social upheaval and implement a comprehensive anti-poverty strategy that not only mitigates suffering but also empowers citizens, fueling economic growth. This is the way to go rather than showing a lack of tact by arresting the NLC President, barely a week after NNPC jerked up its PMS price. Get to the root of the matter. Stop hunting shadows.

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