Why Nigeria needs strong public sector
In view of the forthcoming general elections, analysts want Nigerian politicians to have a clear-cut plan on fixing the public sector.
Oluwole Adedokun, a senior manager at KPMG Nigeria, says there is a need to strengthen the capacity of the public sector in Nigeria in order to accelerate economic development in Nigeria.
Adedokun said this at the KPMG 2019 CFO forum themed ‘Planning with Purpose: 2019 Economic Outlook’. According to him, special projects require government intervention, which will serve as basis for economic growth.
He explained that in order to facilitate development in an economy, there is a need to envision projects and policies, make plans towards the achievement and then take steps towards the implementation of that project. He stated that due to the limitation of not having a well-equipped and functioning public sector capacity, there are loopholes in delivering the proposed polices thereby hindering plans to develop the economy. In order to combat this, there is a need to strengthen the capacity of the public sector, he stated.
Making reference to the Apapa port situation, he explained that the problem with the port was not solely about the lack of infrastructure but also the problem of traffic management, coupled with the fact that the port is being used to the point of saturation.
He further explained that the goods being imported are more than the capacity of the port, as individuals, industries and companies make use of the port for shipping their goods ignoring the existence of other ports in the country.
According to him, ways through which this problem can be solved is to upgrade the transport facilities, especially the railway, proper traffic management and establishment of a more orderly, effective and efficient methods of mobilisation of goods and services.
Also speaking at the event, Adewale Ajayi, partner in Tax, Regulatory and People Services Practice of KPMG Advisory Services Nigeria, advised that the government should fast-track the validation of other components of the Petroleum Industry Bill, such as the Petroleum Industry Fiscal Bill and Petroleum Hosts Community Bill to have a promising competitive tax environment. He said this would in aid government’s steps in simplifying start-ups in Nigeria.