While fuel subsidy has long been identified by many economists, administrators, and even politicians as a major drain on Nigeria’s resources, which led to its removal, the cost of governance has emerged as another monstrous challenge that needs to be dealt with decisively.
In fact, this monster should have been dealt with even before subsidy removal. Aside from all its negatives, fuel subsidy benefits the poor (in the short run), unlike the outrageous cost of governance that favours only public officials and their families.
The lavish spending on government bureaucracy, excessive salaries, and allowances for public officials have created an unsustainable burden on the Nigerian economy, widening the economic parity between rich and poor. T
he recent approval to purchase presidential yachts and sport utility vehicles for the first lady and the 460 legislators at a cost of more than $150,000 each is a display of sheer political arrogance and a lack of concern for the plights of Nigerians by both the Presidency and the National Assembly.
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In Nigeria, the cost of governance has reached alarming levels, with a bloated public sector characterised by numerous and needless government agencies, redundant departments, and excessive staff members, some of whom do not even have schedules.
This bureaucratic inefficiency has resulted in a significant strain on the nation’s resources, diverting funds that could be utilised for critical infrastructural development, healthcare, education, agriculture, and poverty alleviation to an expenditure that caters to only the privileged minority.
Now that the fuel subsidy is gone for good, it is safe to say that the burden of financing the exorbitant cost of governance contributes to the current high fiscal deficit in Nigeria, leading to increased borrowing, skyrocketing inflation, and a weakened currency.
The naira’s volatility is scary, as it fluctuates around N1000 to a dollar. Inflation gallops to a record high of 27.3 per cent, where prices of food picked up to 31.5 per cent in the consumer price index, forcing millions of Nigerian families into hunger because they cannot afford the usual three square meals.
This situation is particularly troubling considering Nigeria’s high poverty rate and inadequate access to quality education and healthcare. The extravagant expenditure on the recently approved supplementary budget stands in stark contrast to the dire conditions faced by many Nigerians, creating a sense of disillusionment and eroding public trust in the current administration.
The president must know that this erosion of trust has severe implications for national unity as citizens become disillusioned with the government’s ability to address their needs and aspirations.
The cost of governance in Nigeria is a pressing issue that demands immediate attention from all stakeholders, including the media, opposition parties, pundits, pressure groups, and the government itself.
It is a second monster after fuel subsidy that hampers the nation’s progress and perpetuates economic and social disparities. I hope to see the application of the same energy on this issue as was used to fight the subsidy regime.
Adamu Bello Mai-Bodi, Kasuwar Kaji, Azare
