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OF REFORMS, INSTITUTIONS, SOCIAL FAULT LINES, AND THE TINUBU DREAM TEAM

Published

2 years ago

October 29, 2024

milcah

Striking a healthy balance between revenue and expenditure is one of the macroeconomic policy goals of government. To achieve this fiscal balance, policy interventions should be holistic and properly embedded in relevant institutions to maximize impact and ensure sustainability. Thus, economic reforms should, by necessity, consider the wider environment and the existing level of government fiscal discipline.

The Tinubu government may congratulate itself for its series of both fiscal and monetary reform initiatives, but its neopatrimonialism in spending remains challenging and uninspiring. The expected frugality has been missing, evident in clientelist dealings with institutions like the National Assembly, the Judiciary, and the Cabinet. The rising government expenditure on the National Assembly, the Judiciary, and the continuous maintenance of non-critical MDAs runs counter to the spirit of austere times. Reforms tend to become a basket case when the gains are expended on non-essentials, as demonstrated by the government in recent times.

Right Initiatives, Wrong Priorities

The government recently sent four Economic Stabilization bills to the Assembly for consideration, as part of Nigeria’s overall Fiscal Framework. They include: Nigeria Revenue Service, the Joint Revenue Board, Nigeria Tax Administration, and a Tax (taxation) bill. The government aims to achieve efficiency in tax administration and maximize revenue.
These plans hold promise but haven’t gone far enough to address the oversized and top-heavy governance setup. In its present form, fiscal reforms may struggle to succeed if the size of the executive and the legislature remain unreformed alongside fiscal intervention. Furthermore, the government’s high propensity to spend on non-essentials should equally be curbed.

Fiscal reforms only become meaningful if spending is prioritized. It’s like fetching water and filling a bottomless pit—a scenario that has characterized successive governments in Nigeria. The latest being the new, and ill-timed, “financial romance” between the executive and the Judiciary on one hand and between the executive and the Legislature on the other. Maintaining harmonious relationships among these branches is not the issue but rather the prohibitive cost of doing so, especially when government struggles to address critical challenges like mass youth unemployment, endemic poverty, infrastructure decay, and national insecurity. Nigerians are grappling with unprecedented economic hardships of late.

On a few occasions, hardships have forced the public to take to the streets, demonstrating and calling for the government’s attention to their plight. Understandably, given the prevailing cash crunch, the government could do little more than call for calm with a promise to “do something.”

That said, new policy measures arrived just as Mr. President took delivery of a customized aircraft and announced a 300% pay raise for judicial officers. He also embarked on constructing 40 units of luxury homes for their Lordships, perhaps to prevent their wigs from gathering cobwebs in their current “unbefitting” houses. Next year, 20 more units will be added. One really wonders who convinced the government that the stench in Nigeria’s Administration of Justice is caused by aging lavatories and leaking roofs in Justices’ homes. Nigerians are not finding this amusing.

The much-anticipated cabinet reshuffle failed to impress many. Highlights included the merger of two ministries into one: Tourism and Arts/Culture, now forming the Federal Ministry of Culture, Tourism, and Creative Economy. The exercise also involved reassigning 10 ministers, dropping five others, and appointing seven new ones. A new Ministry of Regional Development was created, alongside an earlier-established Ministry of Livestock.

Though commendable, these initiatives fell short in terms of depth and scope, leaving out governance institutional frameworks. Critical MDAs and even the Legislature’s operations should have been reformed. Economic policy reforms become more impactful and sustainable when carried out alongside repositioning relevant institutions, especially inefficient and over-bloated ones.

Cumbersome Cost Centers Left Out

The executive arm’s bloated size remains intact. With over 21 federal ministries and 45 ministers (including state ministers), it is undoubtedly top-heavy. When the President proposed a recent cabinet reshuffle, citizens expected him to reduce the number of ministries and ministers to save costs. Surprisingly, the number of ministries stayed the same (some were given new names), and the seven ministers dropped were replaced. Political considerations likely outweighed economic ones. Although Nigeria shouldn’t need up to 37 ministers, it has to, since the constitution requires each state, plus the FCT, to be represented. However, the number of ministries could be reduced to about 25, allowing some ministers to serve as “Ministers of State.”

A possible reform area also left unaddressed is the National Assembly (NAss). Despite the serious cash crunch, the government doesn’t seem ready to curb the massive national spending on the Nigerian Legislature. Intended primarily to enact laws and oversee government activities, the NAss has morphed into an implementation arm under the guise of Constituency Projects. The Assembly also burdens taxpayers with emoluments for nearly 2,570 legislative aides. Nigeria spends an average of N20 million monthly per member—among the highest worldwide. For instance, the office of the Senate President is entitled to 45 legislative staff, the Deputy Senate President to 30, the House Speaker to 33, the Deputy Speaker to 15, and Principal Officers to 10 each. The balance is distributed among the remaining members.

To make reforms more impactful, the government should address the above areas. The nation’s situation does not allow for half measures, especially given the over 60% multidimensional poverty rate, 20 million out-of-school children, 80% of national highways in disrepair, and power supply hovering around 5,000 MW for over 200 million people.

The Need to Move Beyond the Cosmetic

While the government should continue refining reforms, additional options could be explored. These include:

Streamlining and merging some ministries. Nigeria needs no more than 25 ministries, as its key sectors should align with this number. Hundreds of specialized parastatals and agencies handle implementation, leaving ministries to focus on policy formulation, regulation, and advising the President. Yet, overlaps are apparent, such as between the Ministry of Trade and SMEDAN regarding IDC management, or the Labour Ministry and NDE in skills training.

Proposed mergers might include:

Science and Technology with Education
Housing and Urban Development with Works, as states play a greater role in housing development
Blue Economy with Water Resources and Sanitation
Aviation with Transportation
Steel Development with Power
Special Duties and Intergovernmental Affairs to be handled by a Presidential Liaison Officer
Police Service Commission should be subsumed by the Ministry of Police Affairs, or vice versa.

Another reform area is reducing the number of ministers to improve cost-effective efficiency.

Reducing legislative aides. Cutting down the nearly 3,000 legislative aides by half and removing Constituency Project budget provisions would help members focus on lawmaking and oversight while reducing corruption in the National Assembly.
Enhancing oil and gas security. The government should address oil bunkering in oil-producing areas, starting with complicit security personnel. With over 400,000 barrels per day lost to theft, a substantial economic threat persists. Security should be bolstered, possibly through foreign expert firms, as done in Angola.
Reviewing salary structures. Harmonizing disparities in public service pay structures could improve morale and productivity. The extensive pay gaps between civil servants in ministries versus revenue-generating establishments like CBN and NNPC are difficult to justify.

Overburdened, Weak Economic Base

The suggested reforms may seem daunting, but Nigeria’s history of imprudence and poor economic state leaves limited options. A decade ago, then-CBN Governor Sanusi Lamido Sanusi claimed that running the National Assembly cost Nigeria nearly 25% of the national budget. Assembly members contested this, asserting a 3.5% budget allocation. However, a more realistic figure, including Constituency Projects, may hover around 10%.

Given these conditions, President Tinubu should leverage his authority to navigate Nigeria away from a looming economic crisis. His administration has an opportunity to lay a solid economic foundation but must avoid ethnic-based appointments at the expense of national interest.

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Alao-Akala’s Widow Urges Full Implementation Of LG Autonomy

Published

5 hours ago

October 7, 2026

Our Reporter

Drums support for Tinubu, APC candidates

Stephen Olufemi Oni, Ilorin

The Chairperson of the Akala Transformation Movement (ATM) and former First Lady of Oyo State, Chief (Mrs) Oluwakemi Alao-Akala, has called for the full implementation of local government autonomy, saying it will bring governance closer to Nigerians and accelerate development at the grassroots.

Alao-Akala made the call during an ATM outreach held at Equilibrium Resorts, Ojongbodu, Oyo West Local Government Area of Oyo State, where she also urged Nigerians, particularly women, to support the administration of President Bola Tinubu and participate actively in the democratic process.

She said the effective functioning of local governments was crucial because they remained the closest tier of government to the people.

“One important thing I am preaching now is local government autonomy. Obviously, we are going to have our local governments properly elected. They are going to be funded, and they are the closest to the people,” she said.

The former First Lady urged Nigerians to understand and assess the impact of government policies before making political decisions, stressing that the coming years should be devoted to consolidating ongoing reforms and ensuring that their benefits reach ordinary citizens.

She also called on women to remain actively involved in governance and continue supporting leaders through their votes and prayers.

According to her, voting remained a major responsibility of citizens because it determines the quality and direction of leadership at all levels.

Alao-Akala further urged ATM members and supporters to work for the success of the All Progressives Congress (APC) and support its candidates in state and national elections ahead of the 2027 general elections.

She clarified that ATM was a movement and not a political party, adding that its activities were aimed at mobilising support for the APC and its candidates.

Meanwhile, the Director-General of ATM, Mr Demola Alao-Akala, said the movement would continue to preserve and promote the legacy of his late father, former Oyo State Governor, Otunba Adebayo Alao-Akala.

He said the essence of the movement was not merely to remember the late governor but to sustain the values and principles he stood for, particularly people-oriented governance and the welfare of ordinary citizens.

“The concept of remembrance of our father is about making sure that his legacy survives. When he left, he left us a pattern, and we strongly believe that the legacy he left behind can be used to propagate his ideas and keep his memory alive,” he said.

The ATM DG said members of the movement were determined to build on the ideals of service and good governance associated with the late governor.

“We believe strongly that if we are alive, we are going to go back to our lives and continue in the spirit that he showed. We are moving forward, and I think we are supposed to continue,” he added.

Alao-Akala said the late governor’s political philosophy placed the welfare of the people at the centre of governance, noting that democracy should ultimately be judged by its positive impact on citizens.

He assured ATM members that the movement would remain committed to promoting the late governor’s ideals while mobilising support for programmes and candidates it believes can improve the lives of Nigerians.

“We are going forward,” he declared.

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Bank Cannot Freeze Customer’s Account Without Valid Court Order — Zarewa

Published

13 hours ago

October 7, 2026

Our Reporter

A legal practitioner, Mr M. D. Zarewa, has said that a bank cannot freeze or restrict a customer’s account without a valid court order.
Zarewa said it was prevalent in the society for law enforcement agencies to give directives to banks to freeze customers’ accounts whenever there was a pending case before them, adding that banks often complied with such directives.
He, however, said such practice was alien to Nigeria’s jurisprudence, stressing that banks were enjoined not to interfere with or restrict the activities of any customer’s account without a valid court order.
According to him, it is trite law and settled beyond argument that a bank cannot freeze a customer’s account without a valid court order.
He said the position was entrenched in the case of GTB Plc v. Olachi & Anor (2025) LPELR-81833(CA), where the Court of Appeal held that “whether frozen or restricted, neither can be done without the valid order of a Court of Law.”
Zarewa further cited GTBank v. Adedamola (2019) 5 NWLR (Pt. 1664) 30 at 43, Paras. E-F, where the court held:
“Before freezing customer’s account or placing any form of restraint on any account, the bank must be satisfied that there is an Order of Court.
“By the provisions of Section 34 of the Economic and Financial Crimes Commission Act 2004, the Economic and Financial Crimes Commission has no power to give direct instructions to banks to freeze the account of a customer without an Order of Court. So doing, constitutes a flagrant disregard and violation of the rights of a customer.”
The lawyer said any customer whose account had been frozen or restricted without a valid court order could institute a suit against the bank for grossly violating his or her rights.
He said such a customer could particularly seek redress for the violation of the right to own movable and immovable property and seek compensation from the court.
Furthermore, Zarewa said the law was trite that where there was a wrong, there was a remedy, as captured in the Latin maxim, Ubi jus ibi remedium.

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Gov AbdulRazaq Inaugurates 464-Unit Housing Estate In Kwara

Published

13 hours ago

October 7, 2026

Our Reporter

Stephen Olufemi Oni, Ilorin

‌‌‌‍‍‍⁠⁠‍⁠⁠Kwara State Governor AbdulRahman AbdulRazaq has inaugurated the ‘AbdulRahman AbdulRazaq Morire Housing Estate’ in Ijagbo, Oyun Local Government Area of the State.

Speaking at the groundbreaking of the housing estates, which included 210 units of two-bedroom terrace apartments, 200 units of three-bedroom units and 54 units of four-bedroom terrace duplexes, the
Governor, noted that housing should not be seen or regarded as a luxury, but rather as a fundamental human requirement and cornerstone of dignity, security, and family stability, lamenting the daunting challenge of addressing housing deficits across the country.

He said: “Dear Kwarans, housing is not a luxury. Basic housing is a
fundamental human need and a cornerstone of dignity, security,
and family stability. Yet, across Nigeria and indeed in Kwara State,
the challenge of addressing housing deficit is daunting.

“This administration believes that inadequacy of proper shelter
for Nigerians is not merely a problem of not building enough
houses. Indeed, several studies have attributed the housing deficit in Nigeria to a complex mix of causes, key among them being high costs and rising costs of building materials, weak finance, difficult land systems, infrastructure gaps, institutional limitations, among others.

“On behalf of the people of Kwara, I thank the management of ISHI
Homes Limited for this partnership and for choosing Kwara State
as the location for this important development.”

Represented by the Commissioner for Housing and Urban Development, Dr Segun Ogunsola, the Governor applauded the developer for recognising his administration’s contributions to mass housing development in the State.

“The administration has consistently placed housing development high on its agenda. The government recognises access to decent and affordable housing as essential to the wellbeing of the people.

“The State Government has also been in active collaboration with
institutional partners including the Federal Ministry of Housing
with a view to increasing housing stock in the State.

“Recently, we acquired a housing estate with over 130 flats at
Ogbondoroko in Asa LGA of the State. Government has approved
that the estate be onboarded onto the administration’s social
support scheme,” he disclosed.

AbdulRazaq said the commitment was reflected in the development of the Kwara Smart City and other mass housing initiatives across the State.

The Governor disclosed that his reforms in land administration have reduced the processing time for Certificate of Occupancy (C of O) from 180 days to 35 days.

AbdulRazaq said the improved turnaround time demonstrated the administration’s commitment to making land administration more transparent, efficient and investor-friendly.

Earlier in his remarks, the Chief Executive Officer (CEO) of ISHI Homes, Dr Olayinka Ilufoye, said the project was intended to democratise home ownership and make decent and affordable housing accessible to the people of Kwara South senatorial district.

Ilufoye said the estate was meant for civil servants, traders and other Nigerians who can access it through the National Housing Fund (NHF).

“The name AbdulRahman AbdulRazaq Morire, which translates to ‘I have seen goodness’, is a deliberate expression of our faith, hope and expectation.

“We believe this estate will become a testimony of prosperity, progress and abundance in Kwara South,” he said.

Ilufoye pledged that the company would remain committed to transparency, accountability, quality construction and timely delivery.

The Executive Chairman of the Kwara State Geographic Information Service (KWGIS), Alhaji Sulyman Abdulkareem said the state government has consistently placed housing development high on its development agenda.

He commended the state government for ensuring access to land, facilitating the prompt issuance of titles and certificate of occupancy.

Abdulkareem pointed out that by providing timely approval for mortgage transactions, the Governor is creating the conditions necessary for housing development to thrive in Kwara State.