The causes of Nigeria’s poverty problem are well known to all Nigerians, and to some extent the rest of the enlightened world as well. Ridiculous as this might sound, but the solution to the problem is also known. It is therefore important to state upfront that this paper is not an original thought, but a compilation of the many and various already documented statements of the facts on the Nigerian poverty problem.
At independence in 1960, efforts to eradicate poverty in Nigeria centered more on education, something that was seen as the door-opener to economic, technological and social development. As the late Dr. Nnamdi Azikiwe, Nigeria’s first President at that time said, “Show the light, and the people will find the way.” Then enter the oil boom in the 1970’s. Rising global oil prices boosted exports from 4 billion naira in 1975 to 26 billion in 1980. GNP per capita also rose from $360 to more than $1,000. But, as oil prices began their downward descent, so did the nation’s export revenues. Growth turned negative and GNP per capita fell to $370 in the 1980’s.
According to the Nigerian Federal Office of Statistics, in 1960 about 15% of the population was poor, but by 1980 this percentage had risen to 28%. By 1996, the incidence of poverty in Nigeria was 66% or 76.6 million people.
The UN human poverty index in 1999 placed Nigeria amongst the 25 poorest nations in the world. Presently, it is estimated that two thirds of the 120 million, or 80 million, people that call themselves Nigerians are said to be poor. A very tragic situation, when one considers the fact that Nigeria has realized over $300 billion in oil and gas revenues since independence.
What Is Poverty And How Is It Measured?
According to the World Bank, poverty is hunger. It is lack of shelter. Poverty is being sick and not being able to see a doctor. It is not being able to go to school, not knowing how to read, not being able to speak properly. Poverty is not having a job, and is fear for the future, and living one day at a time. It is losing a child to illness brought about by unclean water. And lastly, but by no means exhaustively, it is powerlessness, lack of representation and freedom.
The World Bank’s most commonly used method of measuring poverty is based on incomes or consumption levels. A person is considered poor if his or her consumption or income level falls below some minimum level necessary to meet basic needs. This minimum level is usually called the “poverty line.” This “…line” however varies across time and societies. Each country uses lines that are appropriate to its level of development, societal norms and values.
The world’s per capita income as at 2003 was $7,140. Compared to this, Nigeria’s per capita income of $290 makes the country one of the poorest in the world. This, sadly, placed our beloved nation in the ranks of Togo ($270), Rwanda ($220), and Mali ($210).
Causes Of Poverty
The World Bank’s Poverty Task Force has identified the following as the main causes of poverty:
• Inadequate access to employment opportunities
• Inadequate physical assets, such as land and capital, and minimal access by the poor to credit even on a small scale.
• Inadequate access to the means of supporting rural development in poor regions.
• Inadequate access to markets where the poor can sell goods and services.
• Low endowment of human capital.
• Destruction of natural resources, leading to environmental degradation and reduced productivity.
• Inadequate access to assistance for those living at the margin and those victimized by transitory poverty.
• Lack of inclusive participation; which is the failure to include the poor in the process of designing development programs.
Strategies And Methods Of Tackling Poverty
The strategies and methods for tackling poverty have a universal applicability, as can be found in the UN’s Millenium Development Goals (MDGs) agenda. According to Ilungole (2006), MDGs range from halving extreme poverty to halting the spread of HIV/AIDS, and to providing universal primary education, all by 2015. The MDGs blueprint has been agreed to by all the world’s leading development institutions.
The approach recommended by the Millenium Project (2005), is a four step strategy:
• First, each country should map the key dimensions and underlying determinants of extreme poverty, by region, locality, and gender.
• Second, consistent with the poverty maps, each country should undertake a needs assessment to identify the specific public investments necessary to achieve the goals.
• Third, each country should convert the needs assessment into a 10-year framework for action, including public investment, public management, and financing.
• Fourth, each country should elaborate a 3-5-year MDG-based poverty reduction strategy within the context of the 10-year framework.
Friday, July 23, 2010
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