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Economic Growth
The Nation is making every effort to diversify the economy to support continuous growth and attract more investments to develop her full potential
With the return to civilian rule in 1999, the Obasanjo government took steps towards restructuring the economy – initially focussing on developing electricity supplies across the country and cutting down on vast areas of financial waste that were allowed to exist under corrupt military regimes. However, the accumulated arrears owed to contractors had reached NGN150 billion (USD1.17 billion) by 2003.
This instability in public finances hampered any long-term investment plans by the private sector, with the only realistic opportunity for sensible investment being short-term ventures, particularly in retail.
Coming off the back of 16 years of military rule, the priority for the Obasanjo government's first term in office was to secure a politically stable environment and nurture Nigeria's fledgling democracy. It used its second term, from 2003-2007, to implement an economic reform program called the National Economic Empowerment Development Strategy (Needs). The purpose of Needs was to raise the country’s standard of living and secure long-term economic stability through a variety of reforms, including greater transparency and accountability in government, deregulation, and more privatisation. The Needs programme is tackling the basic issues that undermine the stability and prosperity of the Nigerian economy – from the lack of fresh water for household use and irrigation, to unreliable power supplies, decaying infrastructure and impediments to private enterprise – and aims to encourage the participation of the private sector in resolving them.
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