Editorial
Corruption And Dev Nations:That World Bank Alarm
The recent alarm raised by the World bank to the effect that a whooping $40 billion belonging to developing nations, is stolen annually and stashed in dedicated foreign accounts by corrupt leaders, presents another opportunity to address corruption and its negative impact on poor nations.
World Bank Managing Director, Ngozi Okonjo-Iweala, while lamenting the perpetual under development of beggerly nations, most of them, from sub-saharan Africa, blamed their perennial backwardness on rogue leaders who, rather than address basic infrastructal needs of their people divert scarce resources into their private accounts.
This would not be the first time corruption among African leaders would attract attention of the international community, but coming from a World bank chief, without doubt, typifies the degree of the malaise and a such, must not be treated with the familiar levity of the past
Apparently disturbed by the retrogressive level of the economies and peoples of the affected nations, Okonjo-Iweala called on World leaders, especially, those of the top most industrialised nations, to address the situation, as they gather in Canada between June 26-27, this month, for the G-20 summit.
It is no secret that, in Africa and most developing nations, corruption is not merely pervading or growing but rather entrenched since independence. It is on record that corruption in Africa started about 50 years ago, when, many African nations gained independence but assumed very disturbing proportions with emergence of military dictatorships which unfavourable political and economic environment encouraged capital flight to Europe and United States of America, through the connivance of foreign crooks.
Instructively, most African countries became increasingly indebted to their colonial masters through whose stooges and foreign accomplices, legitimately acquired wealth found safe havens abroad for fear of the then prevalent economic and political uncertainties, while illegitimate wealth was easily spirited away by corrupt leaders who preferred to flee from the unconducive environment they created. In all these, the wealthy nations looked the other way, because the stolen funds boosted their own economies at the expense of the poor nations into whose development such funds should have been channeled.
A study of 33 Sub-Saharan African countries, revealed that between 1970 – 2004 private external assets far exceeded public external liabilities which made some powerful individuals far richer than their countries and by 2004 total capital flight of such countries was $443 billion compared to external debt of $195 billion.
Without doubt, capital flight has become the safest means of underdeveloping already poor nations. Besides the fact that such money ought to be used for developing such nations, it also denies the concerned masses the benefits of direct investment and the multiplier effects of their own country’s resources. Even more painful is the fact that such monies in foreign accounts are not ever taxed by their primary owners thus denying such countries of funds, and the people left with the burden of direct denial of amenities and indirect payment of external debts.
Not only that, it is estimated that 30 per cent of every dollar spent on imports leave the country as capital flight by corrupt officials through over-invoicing of imports and under-invoicing of exports.
Also worthy of note is the high level of internal corruption in Africa which undermines the impact of investments made to meet the target of the Millennium Development Goals.
It not only caused preventable deaths but increased the number of people living on less than two dollars a day from 292 million in 1981 to 555 million in 2005.
Rather than count our gains and pride in our developmental strides since independence, it is indeed sad that African nations through their corrupt leaders are entangled in retrogressive actions that perpetually enslave their peoples over the years with the collaboration of their foreign counterparts.
This is why we support the clarion call by the World Bank to redress the situation, by enlisting the cooperation of the G-20 Summit scheduled for Canada, this weekend. With the International Monetary Fund (IMF) and the World Bank as members, and with countries representing 90 per cent of global gross national product, 80 per cent of World trading and two-thirds of world population, the G-20 stands the best option to tackle the menace of capital flight from developing countries.
Another way of checkmating corruption is for global bodies such as the United Nations to institute sanctions on countries like Switzerland, that directly or indirectly encourage corruption among African leaders by safeguarding their dubious secret accounts. It will also be necessary to force such finance houses to expose identities of such ‘big-time’ customers periodically
To further tighten the noose on perpetrators of global corruption, we believe that an independent central bank for Africans, if established would help prevent corrupt officials from transferring money to foreign accounts.
But should they scale the hurdle, the masses would wish to see their corrupt leaders transparently prosecuted through functional and proactive anti corruption agencies instituted locally and internationally and strengthened to facilitate their arrest.
The World Bank also has a role to play in redressing the woes of developing countries through humane lending policies to Africa rather than imposing very strangulating conditions like structural adjustment programmes, privatisation and import liberalisation that mainly favour the developed world. It should instead help discourage corruption at the highest level through its international network.
Most importantly, the World Bank should support positive efforts at instituting democracy and good governance in African countries such as Nigeria, where, such collaboration would have immeasurable impact on current electoral and banking reforms as well as encourage other fledging anti-corruption agencies.
The delay in implementing President Bola Tinubu’s directive for zero customs duty and value added tax on food imports is unacceptable and highlights a concerning lack of urgency within the Federal Ministry of Finance and the Nigerian Customs Service. Over two months after the announcement, the policy remains stalled, despite the President’s clear intention for immediate enforcement. This prolonged delay, especially given the policy’s temporary nature (July – December), is inexplicable and detrimental to a hoi polloi already grappling with a severe economic crisis.
While the Comptroller-General of Customs attributes the delay to the Ministry of Finance finalising details, this explanation is insufficient. The dire need for food relief demands swift action, especially in the face of soaring fuel prices, rampant inflation, and skyrocketing food costs. The President’s promise of subsidised rice at N40,000 per 50kg bag remains elusive as well, pushing many Nigerians further into hardship. Accusations of deliberate slowdowns motivated by the government’s revenue goals are alarming and warrant serious investigation.
A circular from the Presidency has clarified the approved food items eligible for duty exemption, specifically maize, millet, rice, wheat, husked brown rice, grain sorghum, and beans. This strategic move aims to alleviate the financial burden on consumers and enhance food security. Previously subjected to import duties between five and 30 per cent, these commodities will now be more accessible, potentially stabilising prices in the local market.
It seems the execution of the policy is encountering obstacles due to bureaucratic processes. If the government fails to address this crisis with comprehensive and effective measures, the consequences could be catastrophic. The simmering discontent amongst Nigerians could easily boil over into widespread protests and social unrest, further destabilising an already fragile nation. Ignoring the cries of its citizens and the looming threat of social upheaval would be a grave mistake with potentially devastating ramifications.
Public officials insulated by privilege and detached from the everyday struggles of the people, have fostered a dangerous disconnect. For too long, they have failed to truly understand the harsh realities faced by the majority of Nigerians, the daily grind of poverty, the constant battle for survival, and the crushing weight of economic hardship. However, the current multifaceted crisis, with its clear manifestation of suffering, should serve as a jarring wake-up call, even to the most arrogant and out-of-touch.
The government’s ill-conceived and draconian policies, implemented without adequate consideration for the people, have created an intolerable situation that can no longer be swept under the rug or dismissed with platitudes. The widespread suffering is a stark indictment of their negligence, demanding a fundamental shift in perspective and a renewed commitment to the welfare of the Nigerian people.
The recent #EndBadGovernance protests serve as an obvious reminder that disregarding the plight of the people is a dangerous gamble. When basic needs like food and security are unmet, and the cries for change are silenced, the simmering discontent inevitably boils over. Escalating hunger and desperation create a fertile ground for unrest, a truth tragically illustrated by the protests. If the government continues to turn a blind eye to the suffering of its citizens, more widespread and possibly violent demonstrations are not only likely, but inevitable.
Furthermore, attempting to quell dissent through intimidation and persecution of protesters is a recipe for disaster, as it only serves to further inflame tensions and breed resentment. The path to stability lies not in suppression, but in genuine engagement with the concerns of the people and a commitment to addressing the root causes of their suffering.
The Federal Ministry of Finance, led by Olawale Edun, has a crucial role to play in improving the image of this government. Minister Edun and Customs Comptroller-General, Wale Adeniyi, must prioritise the fight against hunger by expediting the zero duty policy. This policy will allow the importation of food at a reduced cost and ease the burden on struggling families.
Officials must accord precedence to the well-being of citizens over bureaucratic processes. The current economic hardship is undeniable, and the callous indifference displayed by those in power, who seem shielded from the harsh realities ordinary Nigerians face, is deeply troubling. The government must act decisively to expedite this critical policy and provide the much-needed relief to a population struggling with hunger, poverty, and misery. Continued delay is a betrayal of Tinubu’s promise and a grim reminder of the disconnect between those in power and the suffering Nigerians.
The delay in implementing President Bola Tinubu’s directive for zero customs duty and value added tax on food imports is unacceptable and highlights a concerning lack of urgency within the Federal Ministry of Finance and the Nigerian Customs Service. Over two months after the announcement, the policy remains stalled, despite the President’s clear intention for immediate enforcement. This prolonged delay, especially given the policy’s temporary nature (July – December), is inexplicable and detrimental to a hoi polloi already grappling with a severe economic crisis.
While the Comptroller-General of Customs attributes the delay to the Ministry of Finance finalising details, this explanation is insufficient. The dire need for food relief demands swift action, especially in the face of soaring fuel prices, rampant inflation, and skyrocketing food costs. The President’s promise of subsidised rice at N40,000 per 50kg bag remains elusive as well, pushing many Nigerians further into hardship. Accusations of deliberate slowdowns motivated by the government’s revenue goals are alarming and warrant serious investigation.
A circular from the Presidency has clarified the approved food items eligible for duty exemption, specifically maize, millet, rice, wheat, husked brown rice, grain sorghum, and beans. This strategic move aims to alleviate the financial burden on consumers and enhance food security. Previously subjected to import duties between five and 30 per cent, these commodities will now be more accessible, potentially stabilising prices in the local market.
It seems the execution of the policy is encountering obstacles due to bureaucratic processes. If the government fails to address this crisis with comprehensive and effective measures, the consequences could be catastrophic. The simmering discontent amongst Nigerians could easily boil over into widespread protests and social unrest, further destabilising an already fragile nation. Ignoring the cries of its citizens and the looming threat of social upheaval would be a grave mistake with potentially devastating ramifications.
Public officials insulated by privilege and detached from the everyday struggles of the people, have fostered a dangerous disconnect. For too long, they have failed to truly understand the harsh realities faced by the majority of Nigerians, the daily grind of poverty, the constant battle for survival, and the crushing weight of economic hardship. However, the current multifaceted crisis, with its clear manifestation of suffering, should serve as a jarring wake-up call, even to the most arrogant and out-of-touch.
The government’s ill-conceived and draconian policies, implemented without adequate consideration for the people, have created an intolerable situation that can no longer be swept under the rug or dismissed with platitudes. The widespread suffering is a stark indictment of their negligence, demanding a fundamental shift in perspective and a renewed commitment to the welfare of the Nigerian people.
The recent #EndBadGovernance protests serve as an obvious reminder that disregarding the plight of the people is a dangerous gamble. When basic needs like food and security are unmet, and the cries for change are silenced, the simmering discontent inevitably boils over. Escalating hunger and desperation create a fertile ground for unrest, a truth tragically illustrated by the protests. If the government continues to turn a blind eye to the suffering of its citizens, more widespread and possibly violent demonstrations are not only likely, but inevitable.
Furthermore, attempting to quell dissent through intimidation and persecution of protesters is a recipe for disaster, as it only serves to further inflame tensions and breed resentment. The path to stability lies not in suppression, but in genuine engagement with the concerns of the people and a commitment to addressing the root causes of their suffering.
The Federal Ministry of Finance, led by Olawale Edun, has a crucial role to play in improving the image of this government. Minister Edun and Customs Comptroller-General, Wale Adeniyi, must prioritise the fight against hunger by expediting the zero duty policy. This policy will allow the importation of food at a reduced cost and ease the burden on struggling families.
Officials must accord precedence to the well-being of citizens over bureaucratic processes. The current economic hardship is undeniable, and the callous indifference displayed by those in power, who seem shielded from the harsh realities ordinary Nigerians face, is deeply troubling. The government must act decisively to expedite this critical policy and provide the much-needed relief to a population struggling with hunger, poverty, and misery. Continued delay is a betrayal of Tinubu’s promise and a grim reminder of the disconnect between those in power and the suffering Nigerians.
All looks set for the conduct of the Rivers State local government election scheduled to take place tomorrow in the 23 local government areas of the state. A total of 18 political parties will vie for various council positions in the polls to be conducted on Saturday. The Rivers State Independent Electoral Commission (RSIEC) had initially listed 19 political parties for the election, but the Peoples Democratic Party (PDP) discontinued the contest. Chief Emeka Beke’s faction of the All Progressives Congress (APC) has said that it will participate in the ballot.
Ahead of tomorrow’s council election, various lawsuits have resulted in conflicting rulings about how the election should be conducted. A recent judgment by a Federal High Court in Abuja has prohibited the Independent National Electoral Commission (INEC) from providing the voters register to RSIEC and instructed the police to withdraw security for the ballot. Similarly, the court has barred RSIEC from getting the voters register from INEC. However, in a counter ruling, a High Court in Port Harcourt has mandated that the state electoral commission continues with the election, requiring INEC to hand over the voters register and ordering police protection for the event.
As voters in the state prepare to head to the polls tomorrow, the conflicting rulings and legal battles have cast a shadow of uncertainty over the election process. With INEC and RSIEC at odds over claims regarding the issuance of the voters register by the former and security arrangements for the ballot, there is a need for clarity and resolution to ensure a free and fair election. The conflicting court rulings have added further complications to an already challenging situation, raising concerns about the integrity of the electoral process. As all stakeholders navigate these legal challenges, the focus remains on upholding the democratic principles and ensuring that voters are able to cast their ballots without interference.
Intense preparations have characterised Saturday’s polls. The election is expected to be conducted in line with the provisions of the Rivers State electoral laws. Speaking at a meeting with stakeholders, the RSIEC chairman, Justice Adolphus Enebeli (Rtd), hinted that the commission had complied with relevant sections of the law in all its preparations for the task. He implored political parties and politicians to ignore acts that could jeopardise the electoral process.
While we wholeheartedly endorse the move to ensure that democratic practice, norms and values always prevail at the local government level, we are truly elated by the level of earnestness and commitment exhibited so far by the Justice Enebeli-led commission to conduct credible, free and fair election in the 23 local government councils. Indeed, RSIEC can execute credible elections if it resists pressures from different quarters.
Despite the Federal High Court order, the state electoral commission’s parley with security agencies, especially with the police, and other stakeholders is, to say the least, heart-warming and reassuring. We expect this cooperation and partnership to continue even after the election. Going by Enebeli’s antecedents, we strongly believe that the commission will not fail to provide a level playing ground for political parties and politicians to test their popularity in a free, fair and tension-free contest.
The state electoral body must, therefore, strive to adopt an open-door policy where complaints would be entertained on their merit during and after the election. As anticipated, we hope the commission embarked on massive voter education and training of electoral and ad hoc staff that would man the 23 local government areas. It is advised that adequate preparations should be made for the security of sensitive and non-sensitive electoral materials, particularly given the tensed atmosphere in the state.
RSIEC is reminded that the success or otherwise of any election depends largely on the authenticity of the updated voter’s register which the commission has reportedly obtained ahead of the election from the Independent National Electoral Commission (INEC). The news that as many as 18 political parties in the state will participate in the council polls is cheering. The parties are urged to support and cooperate with the commission in ensuring a smooth and credible election.
It is expedient that Governor Siminalayi Fubara releases all the funds appropriated for the conduct of the local government election to the commission and ensure that he does not interfere in the workings of the RSIEC, or even influence the outcome one way or the other. Members of the commission should work harder to uphold the law without fear or favour; let or hindrance.
Incidents of missing ballot or result sheets, late arrival of materials and other logistics will only serve to discourage the electorate who already entertain a deep mistrust for the electoral process in the country. The lack of confidence in the system is largely responsible for the attitude of most Nigerians refraining from playing an active role of either voting for candidates of their choice or vying for political office. RSIEC must guard against those lapses.
Politicians, on their part, must understand that irrespective of their party affiliations, the common goal is the provision of good governance for the people. An election should never be a ‘‘do or die affair’’ and no aspirant is worth spilling blood for. Political positions are a call to service, not personal enterprises motivated by profits or bloody sports for which violent and fatal competitions are means. Experience has shown that arms provided for political thugs during elections, end up being tools for robberies and kidnappings after the election.
The idea of security agents acting the script of political actors should no longer amount to something in our polity. The nation currently faces perhaps its worst security challenges, and the police as well as other security agencies need the trust of Rivers people to enable them to carry out their duties effectively throughout the polls.
Law enforcement agents must protect both voters and election materials because it is their constitutional role to do so. The recent #Endbadgovernance protest, along with the violence that ensued, is a manifestation of the dissatisfaction of Nigerians with police operations. These security agencies must learn to commit themselves to their constitutional obligation and oath in the sustenance of democracy, rather than to any government official.
We must realise that ultimate power rests with the people, and the best way to exercise this power is through the electoral process. Hence, Rivers people must own the electoral operation, first by acquiring their permanent voters’ card, turn out en masse tomorrow to vote for candidates of their choice, and guarantee that their votes count. They have to elect responsible and responsive persons whose utmost interest will be the security and welfare of the people.
