Opinion
The Restructuring Nigeria Needs
Each time the mention of restructuring of Nigeria is made, what comes to the minds of many Nigerians is ‘ Nigeria’s federalism’; how it has failed to engender development, national integration and solve burning issues of minority question, marginalization, ethno-religious crises, etc. For these reasons, they get headbent on restructuring the country.
Yes, the political space has been bastardised that it seems everything must be wrong with our government system. An advocate of restructuring would say that Nigeria faired better when we operated as Western, Eastern and Northern regions than now.
Surprisingly, amidst various calls for restructuring, reasons why this same federal system which benefits countries like Ethiopia, USA and India, is counter-productive in Nigeria, appear yet to be given thought to.
Speaking on this during a public debate some time ago, a professor of Political Science at the University of Ibadan (UI), Bayo Okunade, noted that unless some fundamental issues are addressed, the problems would persist with or without restructuring.
Nevertheless, Vincent Aluu, (2018), in his work, ‘True Federalism and Restructuring in Nigeria’, wrote that Nigeria is operating a federal system in an awkward manner that does not reflect true federalism as enunciated by Professor K.C Wheare.
Wrong application of the tenets of federalism, high level political instability, ethno/religious crisis, etc, Aluu alluded, have culminated into frictions and clashes posing serious threat to Nigeria’s political and economic development and national integration.
If Aluu’s allusion be anything to go by, it means the baton obviously falls back at the players themselves, making it imperative to restructure ourselves first before the system. In line with this understanding, the Minister of Works and Housing, Babatunde Fashola, while urging Nigerians to learn from the Brexit experience and prevent similar occurrence, said, “If anything needs restructuring, it must start with us as a people.”
This is because for a system to work, there has to be consistency with the construed norms and supportive ethos that will make it work. if we have those things that do not want the current system to work, especially the nature of the political class, corruption, all these tendencies like nepotism and others, they will consistently remain cog in the wheel of the country’s progress.
I remember a keynote address, Fashola gave at Island Club’s 76th-anniversary lecture on Lagos Island, he emphasized the need to put up a positive attitude as a people, instead of erroneousely clamouring for institutional change or restructuring, stating that a new territory doesn’t necessarily translate to a better life.
In his words, “A good document not backed by the right attitude does not take a people far. If anything really needs restructuring, it must start with us as a people, with our attitude and with our mindset. He advocated that Nigerian youths who are considered leaders of tomorrow, should be given political education to make them understand the issue of restructuring to avoid replicating the Brexit experience.
Fashola’s words reminded me of the effort made by Late Prof. Dora Akunyili, a former minister for information and communications, in this regard, while she lived. The late minister whose understanding of restructuring falls in alignment with Fashola’s, floated the idea of “Re-branding Nigeria Project”.
The whole essence of late Akunyili’s endeavour, was to encourage Nigerians to consciously “work on themselves”, so as to change the pervading negative perception of the country in the comity of nations. Her courage no doubt, may had been spurred by the words of Late Chief Anthony Enahoro, an elder statesman and one of the founding fathers of modern Nigeria.
The late national hero was quoted thus: “I am about the only one left of my generation that fought for Independence. I would be very sad if I die leaving Nigeria behind the way she is now. My goal is to help… see Nigeria better governed; then, one might leave”.
Enahoro’s goal of seeing Nigeria better governed appears to have been scuttled by greed and selfishness of leaders which has metamorphosed into all shades of corruption. His feeling should apply to all patriotic Nigerians of uprightness to rise to the challenge of quitting the beaten track of institutionalised corruption as a way of life, and re-orientating the citizenry towards playing a meaningful role as responsible members of the global community.
We might be toeing the line of failure if we continue to fault existing institution without seeing the need to purge or sanitize the operators of the system or institution. Little wonder, our elders say that it is a bad workman that quarrels with his tools. Nigeria needs men of proven integerity to propel its developmental wheel and land it safely.
Nation-building may well be hard to achieve, but it needs not be as difficult as we make it in Nigeria. Nation-building is also intentional. It doesn’t happen by accident. The real test is in the leadership and the actions that create a real spirit of nationhood, and the willingness of every stakeholder to build a united, stable and cohesive nation. It is unfortunate that sixty -two (62) years after independence, we are still confronted with the imperative of defining a future for Nigeria.
By: Sylvia ThankGod-Amadi
From all indications, Nigeria possesses enough human and material resources to become a true economic powerhouse in Africa. According to the National Population Commission (NPC, 2023), the country’s population has grown steadily within the last decade, presently standing at about 220 million people—mostly young, vibrant, and innovative. Nigeria also remains the sixth-largest oil producer in the world, with enormous reserves of gas, fertile agricultural land, and human capital.
Yet, despite this enormous potential, the country continues to grapple with underdevelopment, poverty, unemployment, and insecurity. Recent data from the National Bureau of Statistics (NBS, 2023) show that about 129 million Nigerians currently live below the poverty line. Most families can no longer afford basic necessities, even as the government continues to project a rosy economic picture.
The Subsidy Question
The removal of fuel subsidy in 2023 by President Bola Ahmed Tinubu has been one of the most controversial policy decisions in Nigeria’s recent history. According to the president, subsidy removal was designed to reduce fiscal burden, unify the foreign exchange rate, attract investment, curb inflation, and discourage excessive government borrowing.
While these objectives are theoretically sound, the reality for ordinary Nigerians has been severe hardship. Fuel prices more than tripled, transportation costs surged, and food inflation—already high—rose above 30% (NBS, 2023). The World Bank (2023) estimates that an additional 7.1 million Nigerians were pushed into poverty after subsidy removal.
A Critical Economic View
As an economist, I argue that the problem was not subsidy removal itself—which was inevitable—but the timing, sequencing, and structural gaps in Nigeria’s implementation.
- Structural Miscalculation
Nigeria’s four state-owned refineries remain nonfunctional. By removing subsidies without local refining capacity, the government exposed the economy to import-price pass-through effects—where global oil price shocks translate directly into domestic inflation. This was not just a timing issue but a fundamental policy miscalculation.
- Neglect of Social Safety Nets
Countries like Indonesia (2005) and Ghana (2005) removed subsidies successfully only after introducing cash transfers, transport vouchers, and food subsidies for the poor (World Bank, 2005). Nigeria, however, implemented removal abruptly, shifting the fiscal burden directly onto households without protection.
- Failure to Secure Food and Energy Alternatives
Fuel subsidy removal amplified existing weaknesses in agriculture and energy. Instead of sequencing reforms, government left Nigerians without refinery capacity, renewable energy alternatives, or mechanized agricultural productivity—all of which could have cushioned the shock.
Political and Public Concerns
Prominent leaders have echoed these concerns. Mr. Peter Obi, the Labour Party’s 2023 presidential candidate, described the subsidy removal as “good but wrongly timed.” Atiku Abubakar of the People’s Democratic Party also faulted the government’s hasty approach. Human rights activists like Obodoekwe Stive stressed that refineries should have been made functional first, to reduce the suffering of citizens.
This is not just political rhetoric—it reflects a widespread economic reality. When inflation climbs above 30%, when purchasing power collapses, and when households cannot meet basic needs, the promise of reform becomes overshadowed by social pain.
Broader Implications
The consequences of this policy are multidimensional:
- Inflationary Pressures – Food inflation above 30% has made nutrition unaffordable for many households.
- Rising Poverty – 7.1 million Nigerians have been newly pushed into poverty (World Bank, 2023).
- Middle-Class Erosion – Rising transport, rent, and healthcare costs are squeezing household incomes.
- Debt Concerns – Despite promises, government borrowing has continued, raising sustainability questions.
- Public Distrust – When government promises savings but citizens feel only pain, trust in leadership erodes.
In effect, subsidy removal without structural readiness has widened inequality and eroded social stability.
Missed Opportunities
Nigeria’s leaders had the chance to approach subsidy removal differently:
- Refinery Rehabilitation – Ensuring local refining to reduce exposure to global oil price shocks.
- Renewable Energy Investment – Diversifying energy through solar, hydro, and wind to reduce reliance on imported petroleum.
- Agricultural Productivity – Mechanization, irrigation, and smallholder financing could have boosted food supply and stabilized prices.
- Social Safety Nets – Conditional cash transfers, food vouchers, and transport subsidies could have protected the most vulnerable.
Instead, reform came abruptly, leaving citizens to absorb all the pain while waiting for theoretical long-term benefits.
Conclusion: Reform With a Human Face
Fuel subsidy removal was inevitable, but Nigeria’s approach has worsened hardship for millions. True reform must go beyond fiscal savings to protect citizens.
Economic policy is not judged only by its efficiency but by its humanity. A well-sequenced reform could have balanced fiscal responsibility with equity, ensuring that ordinary Nigerians were not crushed under the weight of sudden change.
Nigeria has the resources, population, and resilience to lead Africa’s economy. But leadership requires foresight. It requires policies that are inclusive, humane, and strategically sequenced.
Reform without equity is displacement of poverty, not development. If Nigeria truly seeks progress, its policies must wear a human face.
References
- National Bureau of Statistics (NBS). (2023). Poverty and Inequality Report. Abuja.
- National Population Commission (NPC). (2023). Population Estimates. Abuja.
- World Bank. (2023). Nigeria Development Update. Washington, DC.
- World Bank. (2005). Fuel Subsidy Reforms: Lessons from Indonesia and Ghana. Washington, DC.
- OPEC. (2023). Annual Statistical Bulletin. Vienna.
By: Amarachi Amaugo
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