Critical Analysis Of The Performance Of National Economic Empowerment And Development Strategy Needs On The Nigerian Economy
This chapter is talking all about (NEEDs). National Economics Empowerment and Development Strategy. NEEDS is Nigeria’s plan for prosperity. It is a way of letting the international communities know where Nigeria stands in the region and in the world and how it wishes to be supported.
NEEDS is the people’s plan. It is up to regular Nigerians as well as government to see that it is implemented.
1.1 Background of Study
Nigeria is a large nation with a population or about 120 million people made up of three main ethnic groups: Hausa, Yoruba and Ibo, plus many other minor tribes. Nigeria gained her independence in 1960 and become a republic in 1963. Since then, the country has been involved in development policies as a deliberate and calculated method for mobilizing her resources with the hope of improving the material well-being of her citizenry. It is worthy of note that since the attainment of political independence in 1960, five national development plans (1962-1968, 1970-74, 1974-80, 1981-85 and 1968-2010) where launched at different period but without resounding success (Salesman 1998:3). This situation can be attributed to lack of the main ingredients required for the success not these developmental, efforts, which included political stability social, Economic, Educational and Industrial advancement are lacking in the Nigerian context. Nigeria has a large deposit of oil, gas and solid Minerals and skilled workforce. Apart from these, Nigeria has not been able to effectively control its endowment to develop the economy sufficiently to improve the welfare of his people. With a computed population growth rate of 2.8% and a GDP growth rate of about 2.5% per capita income growth was negative for the greater part of the 1990s. Nigerians urbanization is one of the highest in the world, leading to loss of strong labour force for Agriculture. In addition the rate of job creation has been far less than the rate of growth of the urban labour force. This connected with an education system that is not attended to the population of the proper manpower required to support well growth has led to high levels of unemployment and underemployment. In Nigeria, oil currently is about 75% of government speedy growth of the industrial sector led to investment in some projects which turned out to be “white elephants”. According to Akbash, 2004, Nigeria contributes about 30% of Gross Domestic Profit but employs only about 3% of the available labour force. The two reasons for this development is not far fetch firstly, the ability to design such project was lacking. Secondly, the soft loans required diminish of oil prices in the early century.
These provide the background for the new started economy improvement agenda, the Nation Economics Empowerment and Development Strategy (NEEDS). During the regime of obasanjo’s, it has also taken other the measures such as the establishment of an independent corrupt practices commission (ICPC) the Economic and financial crime commission (EFCC) and due to process office to screen contracts sooner to execution.
1.2 Statement of Problem
The National Economics Employment and Development Strategy (NEEDS) came into takeover from the former structural adjustment programmes (SAP) which as introduce according to Babangida’s administration in 1986 which emphasizes. The National Economics Empowerment and Development Strategy (NEEDS) Intend to correct the negative impacts of the SAP on the country economic growth, which has led to an unprecedented social dislocation. The Mono-cultural economy practiced by Nigeria that is oil, has depressed other beneficial and elastic sector, sector, as economy now depends on oil as its major engine of growth and source of government revenue. According to Umar, 2005 summarized the problems of Nigeria economy.
Galloping inflation that rate is freely.
Embarrassing the need rate.
Poor wealth distribution.
Gigantic unemployment and underemployment.
Poor industrial capacity utilization etc.
On this note the researchers intend to critically investigate the performance of National Economics Empowerment and Development Economy.
1.3 Objectives of the Study
The main goals in this research work are to ascertain if National Economics Empowerment and Development Strategy (NEEDS) has made any impact on the Nigerian economy, and to analysis such impacts.
The major objectives are:
(i) To ascertain the condition of the Nigerian economy before the invention of National Economic Empowerment and Development Strategy (NEEDS).
(ii) To examine the possible implementation challenges that National Economics Empowerment and Development Strategy (NEEDS) may encounter.
(iii) To estimate the performance of NEEDS so far.
(iv) To critically analyse the features of National Economics Empowerment and Development Strategy (NEEDS)
(v) To make meaningful recommendation
1.4 Significance of the study
This project work is carried out in partial fulfillment of the requirements for the award of the Nigerian Certificate in Education. This work will be great help to future researchers who will carry out their own investigations in the subject area. This work will help Nigerians in understanding the working of the economy and how to better it.
This work will be helpful in restoring public confidence on NEEDS and support people to it through opinion polls, suggestions and contribution by accepting the NEEDS as a genuine remedy to the current in conducive and in clement Economic conditions.
1.5 Research questions
(i) How do you compute the role of the Nigerian government in developing the nation’s economy?
(ii) How do you assess the performance of the Nigerian economy before the invention of NEEDS?
(iii) Can NEEDS really salvage the Nigerian Economy?
(iv) Are there possible implementation problem(s) that?
(v) Is it true that the several reform optional adopted in the past by the government were ineffective?
1.6 Scope of the study
The region of this project is Enugu. The research is to determine if NEEDs can be used as a measure to revitalize the falling economy of Nigeria.
1.7 Limitation of the study
A study of this nature cannot be carried out without difficulties in the process. An important constraint is the time constraint. This research work was carried out simultaneously with other class work and examination and the research were compiled with a very short period of one year. Another constraint is finance, a research of this nature involves traveling to various states nationwide so as to search for adequate data (raw materials). NEEDs is a new programme and as such have not text books and a few articles written on it. NEEDS being new in Nigeria has not gained popularity and consequently offered only a few people as respondents to the questionnaires distributed.
Lastly, difficulty in securing relevant data for the study.
1.8 Definition of terms
To master NEEDS properly, it is pertinent that we understand the words used informing the “National Economics Empowerment and Development Strategy”. According to Ude and shaibu (2003) defines-
(i) Economic growth as the increase in the quantity of goods and services produced in a country over a year.
(ii) Economic development is all about the maturity of the quality and quantity of goods services produced in a country over a year. In additional by the above definition “goods are products of the private sector or the public sector. Private sector is the industries under government control while public sector is the industries under government that are tangible, services represents control that are tangible, services represent the products of the private or public sector that are intangible or invisible. E.g. Banking, Insurance, warehousing etc.
(iii) Empowerment: According to Chibueze 1996, defined Empowerment involves equipping one with the authority in ones society. Empowerment is synonymous with capacity or enablement.
(iv) Strategy: the Longman (1995) defined a strategy as “Well planned series of action for achieving an aim, especially success against an opponent. An consolidated of the above headings reveals that NEEDS can be defined as a well-planned series of actions for achieving a maturity of the quantity of goods and services produced in Nigeria by Nigerians.