HomeFeatures
Features

Oil Money: Honey or poison?

Law & Society Magazine
By Law & Society Magazine
30
388

Another decade has just begun. What this journey portends for Nigeria is very hazy. On Thursday December 5, 2019, Nigeria’s 2020 budget was passed. The only snag is that it is still based on the same oil income. What becomes of revenues generated by various sectors of the economy with relation to how they are used, what they are used for and other fine details remain unclear though. Actually the subject here is oil. About 46 years ago, The New Nigeria Newspaper wrote an incisive Editorial. The words of that Editorial still rings true. Below is The New Nigerian Editorial of 29/6/1974 titled: OIL MONEY: HONEY OR POISON?

It is commonplace to say that Nigeria is at the moment very lucky because of oil revenues. In a very real sense we have much more money than our system can absorb. Unofficial estimates put the figure added to our reserve this year at N200m. In many essential respects this bounty has been a blessing. It has enabled us to repay some of our outstanding foreign loans, liberalised commercial and industrial policies and has enabled increased revenue to be diverted to building of modern infrastructure commensurate with our executive capacity.

But the reverse side of this coin is painful to contemplate. The nature and source of oil money put it in a class of its own. A few years ago, a disturbing international report was published arguing in stark terms the failure of all underdeveloped oil producing countries to make more than marginal use of their splendid fortune. No effort is involved on our part. It is the foreigners who employ their capital and skills to exploit this resource and we simply receive huge autonomous additions to our national income.

Such un-worked for riches can land a country in trouble of a peculiar kind. There is soulless opulence of the few, in evil contrast to crushing poverty of the many. There is unimaginable corruption and disastrously wrong allocation of resources. Above all there is the absence of hard work without which the country cannot pull itself together. In that sense the oil money becomes poison rather than honey. How will an economic historian 50 years hence explain the relative expenditure on agriculture and on the various forms of so-called “culture”: All-African Games, Black Arts Festival and all the rest of it? He must conclude that we had taken leave of our collective senses.

Happily, in the Nigerian case, the situation is by no means irretrievable. We could deploy considerable energies and resources in producing a commodity which is more important even than oil: food. We must at all costs get agriculture on the move again. There are millions of acres lying fallow when they could be used to grow food for our burgeoning population. The setting up of the two River Basin Commissions is a great step in this direction (although the staffing has ensured that the two schemes would not take off for some time.)

Nor are we unmindful of individual state efforts. But fiddling about with N10-15m is just like one grain in a silo. We need a monumental plan. A N500m plan with the help of, say, Danish and Chinese experts under our direction, would do wonders for grain productivity in this country. We may or may not have oil in 50 years. But to survive we must have food. The ground work can be done now.

29/06/1974

Previous article
The general, the merchant and awaiting trial inmates
Next article
Visa on Arrival: SANs divided over NASS approval
Law & Society Magazine
Law & Society Magazinehttps://lawandsocietymagazine.com

Related Articles

30 COMMENTS

  3. My developer is trying to persuade me to move to .net from PHP.

    I have always disliked the idea because of the
    costs. But he’s tryiong none the less. I’ve been using WordPress on numerous websites for about a year
    and am anxious about switching to another platform.
    I have heard excellent things about blogengine.net.
    Is there a way I can import all my wordpress content into it?

    Any kind of help would be really appreciated!

    Also visit my blog post; Antony

  4. I’m gone to convey my little brother, that he should also go
    to see this webpage on regular basis to obtain updated from hottest
    reports.

    Also visit my page – Maynard

  5. Definitely believe that which you stated. Your favorite justification appeared
    to be on the net the easiest thing to be aware of.

    I say to you, I definitely get irked while people consider worries that they just do not know about.
    You managed to hit the nail upon the top as well as defined out the whole thing without having side
    effect , people could take a signal. Will likely be back to get
    more. Thanks

    My blog – Zenaida

  6. Howdy I am so thrilled I found your web site, I really found you by error, while I was searching on Digg for something else, Anyhow I am here now and would just like
    to say cheers for a remarkable post and a all round thrilling
    blog (I also love the theme/design), I don’t have time to read it all at
    the moment but I have bookmarked it and also added
    your RSS feeds, so when I have time I will be back to read more, Please do keep
    up the fantastic work.

    Feel free to surf to my web blog … Sheena

  9. You can definitely see your expertise in the work you write.
    The sector hopes for even more passionate writers such as you who aren’t afraid to say
    how they believe. Always go after your heart.

    Also visit my homepage :: Monika

  10. obviously like your web site but you need to check the spelling on several
    of your posts. Several of them are rife with spelling issues
    and I to find it very bothersome to inform the reality on the other hand I will definitely come back again.

    Also visit my web page :: Flora

  11. I do not know if it’s just me or if perhaps everybody else experiencing issues with your website.
    It appears like some of the text in your posts are running off the screen.
    Can somebody else please comment and let me
    know if this is happening to them as well? This may
    be a problem with my internet browser because I’ve had this happen before.
    Kudos

    Feel free to visit my web-site :: Kirk

  13. Do you mind if I quote a couple of your articles as long as I provide credit and sources back to
    your website? My blog is in the very same niche as yours and my users would genuinely
    benefit from some of the information you provide
    here. Please let me know if this ok with you. Thanks!

    Review my web site Edythe

  15. Wow that was unusual. I just wrote an incredibly long comment but after I clicked
    submit my comment didn’t appear. Grrrr… well I’m not writing all that over again. Anyhow,
    just wanted to say excellent blog!

    Here is my web blog :: Ben

  16. Hello! This post could not be written any better! Reading this post reminds me of my previous room mate!
    He always kept talking about this. I will forward this post to him.
    Pretty sure he will have a good read. Many thanks
    for sharing!

    Here is my webpage :: Cindi

  18. I’ve been browsing on-line greater than 3 hours as of late, but I never found any interesting article like yours. It is pretty price enough for me. In my opinion, if all web owners and bloggers made good content as you did, the web might be a lot more helpful than ever before. “Now I see the secret of the making of the best persons.” by Walt Whitman.

    theoppidan.com/__media__/js/netsoltrademark.php?d=kubetno1.net/author/ngoclinh

  20. I dugg some of you post as I cerebrated they were very beneficial extremely helpful

    wherepigsfly.com/__media__/js/netsoltrademark.php?d=kubetno1.net/author/ngoclinh

  27. I will immediately take hold of your rss as I can’t find your e-mail subscription link or e-newsletter service. Do you have any? Kindly allow me know in order that I could subscribe. Thanks.

    maclewis.net/__media__/js/netsoltrademark.php?d=kubetno1.net/author/ngoclinh

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Stay Connected

1,167,000FansLike
34,567FollowersFollow
1,401,000FollowersFollow
0SubscribersSubscribe
- Advertisement -

Latest Articles

Load more

Law & Society Magazine is a general interest magazine with a bias for law and its effects on the society

Contact us: [email protected]

© 2024 Copyright - Law & Society Magazine