10 April 2010
THIS DAY

Chinazor Megbolu

Lagos — Former head of state General Yakubu Gowon and former Finance Minister Dr. Ngozi Okonjo-Iweala have harped on the need for sustainable economic development of Nigeria.





Gowon, who was the Chairman during the Institute of Directors (IoD) Nigeria Conference 2010 held at Eko Hotel and Suite, Victoria Island, Lagos said as head of government, he was involved in completing part of the first Republic Development Plan between 1970 - 1975 as well as second and the third one between 1975 - 1980.

"The two development plans I was fully involved in were the second and third National Development Plans, 1970 - 1975 and 1975 - 1980 respectively, both building upon the first Development Plan of the First Republic government of Sir Abubakar Tafawa Balewa, " he said.

Gowon explained further that the second Development Plan was a post civil war plan channeled towards rehabilitation and reconstruction plan of especially the South -Eastern part of Nigeria, East of the Niger and South of the Benue.

According to him, the experience gained from this plan gave birth to a most ambitious plan, the Third National Development Plan that had the potential and possibility of laying the foundation of Nigeria's industrial take off. It was mainly agro-allied industry based.

"If only the succeeding governments had continued with it and carried it through and built upon it, we would not have had the problems we are now facing about infrastructure including power, energy, roads and transport and general economic growth and development," he said.

Unfortunately, it was totally abandoned and even the healthy foreign reserve was quickly squandered and soon the nation went a borrowing, " Gowon said.

While lauding the initiative of IoD Nigeria on its theme of the conference 'Laying the Foundation for Sustainable Economic Growth of Nigeria', advised the governments at all levels to adopt and return to formal economic development planning rather than the adhoc programme being employed.

Meanwhile, Okonjo-Iweala, presently the Managing Director of World Bank and who was the Guest Speaker, noted that Nigeria has the potentials and vision of becoming one of the top 20 economies in the world by year 2020 stressing that its economy is projected to grow from 4.3 per cent in 2009 to 4.8 percent in 2010.

She, again, explained that as at today, the country is the 8th most populated nation in the world and also ranks 41st in terms GDP and 161 out of 183 in terms of GDP per capita and added that Nigeria is the second largest economy in Sub-Saharan Africa and contributes to 10 per cent of the SSA GDP and 66 per cent of West Africa's GDP.

"To be part of the G-20, Nigeria needs to think differently, take advantage of the financial crisis to re -shape the economy, put in place new policies to transform and strengthen institutions to support multiple drivers of growth, " she said.

Okonjo-Iweala, however, averred that for decades now, the country has focused more on its vast oil resources, which have been the main engine of growth of the economy even as she added that the oil sector alone cannot help the country to develop rapidly as well as to achieve its Vision 2020 objective of becoming the a G-20 economy.

On how the country can become one of the best, she posited that it is time for Nigeria to focus on its youth for they are the untapped growth drivers of Nigeria so as to reap bountiful development benefits.

She further buttressed that Nigeria's demographic map, which she also described, as 'Demographic Dividend' is full of promise if only it can be directed and managed effectively.

According to her: If the demographic transition to smaller family sizes that is slowly gathering momentum on the continent and here in Nigeria continues, we will see a prolonged period of several decades during which the youth will have a small number of dependents, less 'mouth to feed', a surge in labour force, and if the workforce is skilled and employed, this will lead to an increase in income, savings, investments and thus stimulate economic growth.

Okonjo-Iweala, pointed out that 'Demographic Dividend' occurs when a falling birth rate changes the age distribution so that fewer investments are needed to meet the needs of the youngest age groups and resources are released for investment in economic development and family welfare.