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THE PROBLEMS AND PROSPECTS OF PRIVATIZATION IN THE NIGERIAN ECONOMY

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THE PROBLEMS AND PROSPECTS OF PRIVATIZATION IN THE NIGERIAN ECONOMY

 

ABSTRACT

This research work is intended to x-ray some of the unexamined fact and the problem and prospect of privatization in the Nigerian economy.  Privatization as a reformatory programme has come to rest in the Nigeria economy. One could say that privatization is a child of circumstance but it could be a circumstance itself if not well implement.   This programme has worked well in some other countries though with some problems.   The Nigeria environment has considerably militated against its smooth implementation. This study is intended to evaluate the privatization exercise already on in Nigeria by drawing inference form already privatized company such as NITEL, African petroleum, Niger dock but more emphasizing and detailed study was conducted in NITEL.The study will also help the researchers and management students have a basic knowledge of Nigeria political economic situation and efforts being advanced by the federal government to revive the economy.

CHAPTER  ONE

INTRODUCTION

The needs of a society stimulate the design of a programmed.  In the programme, the missions and the objectives are clearly stated and all other thing required for its    achievement of the programme are mapped out.  This therefore suggests to the implementation of the programme that certain procedures need to be followed for the achievement of the peoples’ desire it is designed for. The issue of privatization as a programme is relatively new to Nigeria.  It is an old issue in other countries like Britain, USA, and French etc. The concept of privatization crept into our vocabulary simultaneously with the economy crisis.  The combination of stringent trade and exchange controls on the trend and over devaluation of the Nigerians on the other hand resulted in misallocation of resources, high incidence of capital flight and other problems which tended to undermined government control of the economy.

Indeed, matters tended to get worse with the persistence and determination of balance of payment problems.  The erosion of national credit, the inability of most holders of import licenses to effective by utilizing them owning to the death of confiding lines and acute shortage of raw materials as well as consumer goods pushed the country’s economy to a large of collapse. Here, in Nigeria, the emergence of privatization as a major public issues owning to the inefficiencies outlined above which as resulted to poor management of resources and consequently, general economic down turn could be as a result of Nigeria political system.

“ECONOMY IS A FUNCTION OF POLITICS” Immediately often her independence, Nigeria became a sovereign nation.  Independent in political and economic considerations, coupled with the windfall gains from the Crude Oil and the emergence of political tissues among the various ethnic groups geared up by tribalism, nepotism, favouritism and other extinct vices lead to the various coup and counter coup in the political area. Consequently, the constitution was abandoned decrees by various Military Government became the order of the day.

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THE PROBLEMS AND PROSPECTS OF PRIVATIZATION IN THE NIGERIAN ECONOMY

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