Economic Objectives (II)

Call to rededication, reconstruction – Tribune Online

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CONTINUED FROM LAST WEEK

A Statement made at the meeting of the Federal Executive Council at the Action Group of Nigeria held at Ikeja VIP on 18th December. 1961.

ONLY twelve days now stand between us and 1962. As we are about to enter the new year, it will not be out of place if we do a national stock-taking of the past year, and make some resolutions for the new year.

 

What then are the credits and the debits for 1961?

On the credit side, the judiciary, as typified by the Federal Supreme Court and the Regional High Courts and Magistrates’ Courts, is the most outstanding item on this side of the account An impartial, fearless and incorruptible judiciary (wherever it exists) is the most formidable bulwark of the citizens against certain forms of tyranny in Nigeria has, on the whole, prove to be impartial, fearless and incorruptible. In the context of our Constitution, it has also demonstrated to all of us and to the entire world, that it is a completely dependable guardian of the more important provisions of that Constitution, especially those of them that relate to fundamental human rights.

Also on the credit side, the following items are worthy of note, namely:

1) The countrywide acceptance of the idea which I outlined in Okrika in January this year and elaborated in an address delivered at Agbor in February to the Mid West Regional Conference of the Action Group, that Nigeria should before long become a Republic;

2) The appointment of Nigerians to fill some of the top posts in the Nigeria police Force, and the elevation of two Nigerians to the rank of Lt. Colonel in the Army;

3) The achievement (at least so it seems to an outside observer like myself) of closer relations and better understanding amongst all the four Governments of the Federation;

4) The lifting of the ban on communist literature following criticisms by Action Group Leaders and other nationalists;

5) The launching of three Universities – that is the Universities of Ife, Lagos and Kano – in addition to the two existing ones – that is the University College Ibadan, and the University of Nigeria, Nsukka;

6) The opening of the Bauchi Railway Extension; and

7) The public ownership of the National Shipping Lines and the Nigerian Airways Corporation.

I do not pretend that the above items are exhaustive. But I do firmly hold that such other items as there may be are either trifling or unedifying. For instance, I regard the recent visit of the Prime Minister to the USA on the invitation of President Kennedy as mere diplomatic routine. Speaking for myself, I cannot see anything edifying in allowing Nigeria to be used as an imperialist catspaw for convening the Monrovia Conference; nor in the secondary, feeble role we played at last Commonwealth Conference, on the issue of South Africa’s expulsion from the Commonwealth. Dr. Verwoerd himself complained bitterly to the Press about those who unyieldingly hindered his country’s readmission to the Commonwealth. At no time did he mention the name of Sir Abubakar.

Now let us take a look at the debit side of the account. Democracy is now pining away on its death-bed in the Northern Region, where it has been mercilessly assaulted and violated by the NPC; it is in full retreat in the Eastern Region; and at the federal level, it is already being made to suffer from gross misuse and utter lack of nurture. Bribery and corruption are rampant; and the malignant canker-worm which they constitute is gnawing fast at the central core of the nation, to which the common run of Nigerian citizenry should look for inspiration and exemplary conduct. Every day that dawns adds many more to the already swollen ranks of the unemployed. There is a growing trade recession throughout the country. In the face of mounting unemployment, and of a sudden slump in trade, our Governments are hard put to it to make ends meet, so much so that the Eastern Region Government has announced its intention to cut down heavily on its expenditure on social services. I make bold to assert, with all sense of responsibility, that in this Year of Grace, 1961, a vicious circle of economic depression is already set in motion, and, unless we do something drastic about it now, we are in danger of an economic crisis of grave proportions early in 1962. The Federal Government, whose primal duty it is to stimulate the nation economy and boost the finances of the Regional Governments, is itself running the’ affairs of the country most inefficiently and on a deficit. The financial picture of Nigeria in 1961 is that of a ‘debtor’ and beggar’ nation. On the African scene, we have lost rather than gained in prestige. Whatever may be the outward pretence to the contrary, the truth is that African nationalists have come to regard as an illusion  and mirage the high hopes and confidence which they cherished towards us before our attainment of independence. The dynamic and militant leadership which they had hoped that independent Nigerians would give has not been forthcoming.

It is futile, senseless, and prosaic to cry and strike a balance, in a numerical fashion, between the debit and the credit sides of this account. The realm of political economy, which is the subject-matter of this address, is far removed from that of accountancy where THREE always exceeds TWO by ONE. In the province of politics and economics, many subjective and imponderable factors are always at work. With the result that the answer to THREE minus TWO may be far in excess of ONE or may even be ZERO.

Let us acknowledge our shortcomings and admit that the items on the debit side of our account are too grim and gloomy, and should be substantially reduced in the coming year. If we are to be this, we need money, we need idealism, and we must be resolved to acquire both in a large measure in 1962.

In our search for money we must be downright realistic, and must scrupulously avoid any temptation to rationalization or to a plea of alibi.

The first realism of the situation which we must face is that every one of our four Governments is in the grips of financial crisis. It is imperative that we should direct all our energies to finding answers to this problem. On the other hand, it will be a disservice to the nation for any leader to dissipate his efforts in devising a means of escape for his part in bringing about the present difficulties. I have no doubt that the Federal Minister of Finance is already devoting a good deal of time to the construction of his escape routes. He has blamed the financial ills in the East and the West on the former regimes in these two regions. Expressly, he has stated in the House of Representatives on the 20th of November, 196 I, and I quote his exact words, that:

‘The Hon. Leader of the Opposition (that is myself) handed to the present Premier (that is of the Western Region) a half-submerged wreck which the Premier is desperately trying to salvage.’

I spoke immediately after the Minister, only to debunk some of the economic heresies to which he gave vent. But I deliberately refrained from commenting on his statement which I have just quoted, for a number of reasons. First, I do not at any time consider myself answerable to the House of Representatives for my conduct in the Western Region, as one-time head of the Region’s Government. Second, I hold the considered view that the name and affairs of a Regional Government should never be brought into debate in the House of Representatives either for eulogy or obloquy. Consequently, I personally have never spoken there in praise or criticism of any Regional Government, and have persistently tried to enjoin a similar attitude on my fellow-parliamentarians. It is most unfair to bring the affairs of a Regional Government into debate in the Federal Parliament, partly because the Regional Legislature and not the Federal Parliament is the only proper forum for such an exercise. For instance, whether or not there was a half-submerged wreck in the Western Region which its present Premier inherited and which he was desperately trying to salvage was an issue which no one, in the House of Representatives, other than myself could tackle without notice. And as I said before, I am in no way answerable to the House of Representatives for my past participation in the administration of the Western Region, or my official connection therewith, in the House of Representatives. Any such defence would only evoke more venomous attacks, and in due course we would all find ourselves defending and counter-attacking one Region and another. The first and the last duty of the members of the Federal Parliament is to devote their attention to dealing with issues which affect the Federation as a whole and not just one segment or region of it. Third, I am quite satisfied that the Federal Minister of Finance was merely drawing on the figment of his imagination. This satisfaction of mine stems not only from the fact that the finances of the Western Region were sound when I banded the affairs of its Government to my successor, but also from the clear and unequivocal appraisal of the true financial slate of affairs by the new Premier himself. In February 1960; the Western Region Government made a substantial reduction in rates throughout the Region. This reduction was so substantial that it is now costing the Regional Government about £1.6m per annum in subsidy to Local Governments. In concluding a statement which he made. to the Press on this rate reduction, the Hon. Chief Akintola said:

“The measures (that is tax reduction measures) now approved are possible because of the wise and eminently commendable manner in which the finances of the Region were managed under the leadership of my distinguished predecessor, Chief Obafemi Awolowo.’

The Federation of Nigeria is one body politic. Whatever adversely Affects any member of that body is bound to incommode the rest of the body. The Action Group of Nigeria, as a country-wide organization, treats with the utmost concern any problem whatsoever which may affect any of the Regions and the entire Federation.  I call upon all political leaders to unite in meeting the crisis that looms ahead, and desist from a fruitless search for scapegoats.

The second realism which we must face is that the Federal  Government’s approach our problems lacks principle, vision and enlightenment. I have spoken on this matter a good deal of late, and I do not wish to repeat in extensor what I have persistently drummed in everybody’s ear. I would like to be permitted however, to recapitulate briefly what I have advocated on this score, and to say something in defence of my advocacy.

I have advocated that our economy should be nationally planned and that such planning should be guided by the ideals of Democratic Socialism. Specifically, I have advocated the public ownership of certain industries and the studied encouragement of Nigerian entrepreneurs, within the ambit of a national plan, to take their rightful place in the development of the country.

It has been said by my opponents in criticism of me, that I have taken these standpoints only after my party lost the last Federal election. In order to rebut this charge and to show that the views which I now express have been consistently held by me some years before 1959, I make the following extracts from my Indian Report and from two of my past speeches.

In my report on my Indian Tour which I submitted to my colleagues, and circulated to all the then Ministers in the other three Governments of Nigeria, dated 11th December, 1952, I observed as follows:

‘It has been said by someone whose opinion deserves notice that a Government which entered into trade would flop. I disagree with all my might. Indiscriminate trading by Government is not only unwise, but might prove to be the worse form of inroad into the liberty of the citizens. But trading and industrial activities for Government in certain selected fields, and under certain circumstances, are indisputably beneficial not only to the national economy but also to the national security.

‘In regard to introduction of foreign capital, it is my humble but considered opinion that a subject and poor but potentially rich country like ours would be taking enormous and almost suicidal risk to throw its door open to foreign investments without stringent safeguards. We would most probably enjoy a measure of comparative prosperity in the immediate present, but we would eminently succeed in mortgaging our future in the way of economic initiative and freedom. It has been wisely stated that political independence and economic spoon-feeding go ill together. Too much dependence economically, it requires drastic and even revolutionary political action to attain economic independence.

‘Under this heading, I do not wish to attempt any detailed proposals. All I wish to do is to make suggestions about the setting up of machinery by which the Nigerian Government and the three Regional Governments could work out satisfactory and generally acceptable proposals for the economic development of the country.

‘Therefore, I suggest the immediate setting up of a Nigerian Planning Commission, and of a Regional Planning Board for each Region.

‘The main functions of the Planning Board would be

  1. a) to make a survey of the economic resources of the territory under its charge, and make plans and recommendation about the best’ form of their utilisation; and
  2. b) to institute measures for the execution of such of its plans and recommendations are approved by the Planning Commission.

‘On the other hand the functions of the Planning Commission would be:

  1. a) to co-ordinate and harminise the plans submitted by the Planning Boards,
  2. b) to determine locations of industries,
  3. c) to lay down categories of industries as is done by the Government of Pakistan,
  4. d) to regulate the manner in which foreign investors would be permitted to engage in industries, and
  5. e) to devise means by which indigenous industries would be stimulated, financed, and protected.

‘The supreme aim of the Planning Commission and the Board would be to revise the economic status of the peasant class, to achieve a balanced economy, and to bring about an all-round prosperity for the people of Nigeria.’

‘The Action Group believes that free enterprises should be encouraged and fostered within such limits as will be laid down by law, but it advocates the public ownership of basic industries. It is not necessarily opposed to the importation of foreign capital but insists that such capital shall be introduced into the country only on the basis of partnership with, and active participation by, the people or the Government of the country. Keeping thee principle in mind, the Action Group dedicates itself to fashion out and pursue any economic policy that will ensure prosperity and contentment to the citizens of Nigeria.’

In an address entitled ‘Statement of Economic Policy’ which I delivered to the Western Region Executive Committee of the Action Group at Ibadan on 27th May, 1954, I made the following remarks:

‘At this stage, I will now restate what I know to be our policy on this question of industrialization and foreign capital.

1 We are determined to raise the productivity of our fanners by the introduction of scientific methods of cultivation and conservation of soil fertility, etc., and expand our output of farm produce by this means and by the establishment of Government-owned plantations.

2 We are determined to diversify our agricultural economy by the cultivation of a larger variety of crops than at present in order that we may cease to be dependent on one or two items of export products.

  1. We will embark on industrialisation on a limited scale in so far as it is compatible with the two objectives above stated.
  2. We will welcome foreign capital so long as it enters into Partnership with indigenous capital provided either by Production Boards, the Government or the people, in such a proportion that at least 51 per cent of the total capital is vested in us.
  3. Wherever possible and advisable we will seek to control the whole capital ourselves and make use of the skilled labour and organization which foreigners alone can at present provide.
  4. In the future we will seek to nationalize such of the existing industries controlled in this country by foreigners as we deem expedient in the national interest. But such nationalization will be accompanied by adequate compensation.

“In short, the aim of the Action Group is, for the present, to arrest the tendency of our industrial activities being concentrated in the hands of foreigners, and, in the long run, to ensure that all major industrial activities are either vested in the state or in our fellow countrymen.’

Having shown by the above quotations that I am by no means a post-1959 convert to Democratic Socialism, may I now once again urge it upon the Federal Government to adopt in theory and in practice that ideals of Democratic Socialism, and to appoint forthwith a National Economic Planning Commission with one hundred per cent Nigerian composition, which will produce a five-year plan for the nation on the basis of these ideals. Well-meaning and expert expatriate, with the correct ideological background or training, and with no vested interests in Nigeria may be invited from time to time to advise the Commission. If merit is the decisive factor in appointing the members of the Commission, I have no doubt that it will succeed in producing a Plan worthy of Nigeria and under which the resources of our land will be exploited mainly for the advancement of the masses of our people.

The third realism which we must face is that the difficulties of the Regional Governments arise primarily from an unusually prolonged depression in the prices of our export commodities. From lack of courage in exploiting every avenue of raising funds; and secondarily from a misguided rivalry in prestige spending. It does not appear that the Federal Government attaches much importance to our commodities. It is these commodities that give us the wherewithal for paying for our overseas purchases. Yet throughout the Economic Mission mounted by the Federal Government little attention was paid by the Mission to giving a strong fillip to the volume and prices of our export products. The Federal Government must now make an all-out plan for boosting the sales of our export crops and for getting much better prices for them. On the other hand, the Regional Governments must never again fight shy of calling upon the people to pay for the benefits they receive or clamour for.

The truth is that those who are able (and there are millions of them) are not being made to contribute enough or at all to the Government coffers in accordance with their individual ability. I shall have more to say on this point later. But it will be helpful for all of us to remember the following figures. According to reliable statistical data prepared in 1957, Nigeria only employs 5 per cent of her gross national products on current public expenditure, as against 15 per cent in Ceylon and 12 per cent in Ghana and Tanganyika. We can only spend as much as we care or have the courage to demand from the people. But is clear from these figures, other things being equal, that our Governments are assuredly very far from getting enough financial contributions from the people.

At the same time, it must be emphasised that the capital and recurrent expenditure on the State Houses in Kaduna and Enugu could have been usefully saved, and the numbers of the Missions we have sent abroad in the outgoing year could have been fewer, and their sizes much smaller.

The fourth realism is that by injudicious political manipulations, we have (all of us without exception) succeeded, albeit unwittingly, in breeding the haves and the have-nots fast becoming more and more mutually antagonistic. Before the two classes harden, in their prejudices, beyond non-violent readjustment, we must embark on the dual operation of leveling down and leveling up.

The fifth realism we must face is that if, at this point of time, we are intent on evoking any patriotic response from the masses for the need to make adequate and additional financial contributions to the Government exchequers, those of us who have the privilege to lead the nation must not only purify ourselves in the eyes of the public, but must also show be example that we too can give the lead in self-sacrifice whenever the circumstances so demand.

Having set out the realisms as I see them, I now proceed to make a number of concrete proposals in addition to those which I have already made in the course of this statement. In the course of my contribution to the debate on the Supplementary Appropriation Bill, during the last meeting of the House of Representatives, I had declared as follower.

‘The present time calls for austerity, if we are to get over our financial difficulties, and promote the welfare of our ‘people.

This is the keynote of the purely material aspects of my proposals. As it has been our privilege to give the lend in big spending, so it must be our honour to set a noble example in what real austerity in the facer of financial crisis truly means.

It will not be proper for me to give the details of what form or forms these austerity measures should take. That is a matter for the Federal Executive Council to consider and determine. But I consider it my duty to warn that our admonition and appeal for sacrifices would sound hollow and hypocritical in the ears of the public, unless those of us who occupy a position of leadership have first of all made the highest possible sacrifices.

The Eastern Region Government is to be commended for its bold efforts in tackling its financial problem. But it has gone about it the wrong way. It abolished Infant I, pegged its UpE scheme to Infant II and Standard I and II and raised school fees in Standards III and IV from £3 10s. od. To £5. os. Od. per pupil, and in Standards V and VI from £5. os. Od. to £8 os. od. The Action Group which has criticized these regressive and crushing measures has been accused of playing politics, and of breaking faith with the agreement reached at the National Economic Council that taxation should be taken out of the arena of politics.

In the first place, the present imposition of school fees is not taxation, because it does not conform with – any of the principles of an enlightened tax system.

In the second place, the agreement referred to has not been made known to the public. At all events, the Action Group and I myself are still to be informed of the said agreement and its precise terms. In any case, I want to assure the Eastern Government that, if an agreement is reached that taxation should be taken out of the arena of politics, they will find the Action Group a very active collaborator in implementing its terms. From the time I took office in the Western Region in 1952, I have consistently advocated this very course in vain. In vain, because the NCNC which is the party in power in the East was implacably bent on playing politics with taxation, with the unsavoury consequences which now stare all of us in the face. I am not at all happy about the present state of affairs. But I am glad that whether we are Jews or Gentiles, Greeks or Barbarians, we now see quite clearly that playing politics with rates and taxes is a most dangerous game. If the NCNC had responded to my repeated calls for unity of purpose in the matter of taxation, and if it had not had reasons to believe that its financial returns from other sources would say good perhaps the Western Region Government would not have reduced rates as substantially as it has done with a resultant heavy financial burden on the Regional exchequer. Similarly, the Eastern Region Government would not have been pressed to the wall as it now is. In the case of the East, the answer to the problem is not increases in school fees. Indeed, I do conscientiously advocate that school fees should be abolished in Primary schools in the Eastern and Northern Regions, and that some other avenues should be explored for raising the funds required for meeting the expenses on Primary education. This exploration should be done by all the Governments of the Federation acting in correct and taking their respective parties into full confidence to what and what are proposed to be done. Those of us who by the Grace of God are placed in a position of leadership must be Prepared right now to grasp the nettle. If we unite in doing so, and if, in addition, we set a worthy example and a marat on pace in probity, unselfishness and self-sacrifice, the people will follow, all too readily, in our footsteps.

There is a short poem whose author I do not now remember, but which I pass on to you for its intrinsic value. It runs:

 

‘The Past is a story told;

The Future may be writ in gold.’

Animated by the sage message of this poem, we should, as we enter the New Year, resolve to make 1962 a glorious epoch in Nigeria’s history.

For the year 1962, therefore:

1) We should resolve to make democracy work in Nigeria at all levels of government activities;

2) We should resolve to unite in combating, with all the constitutional resources at our disposal any attempt on the part of any Government or party in power to encroach upon and invade the liberty of the individual’

3) We should resolve to exterminate the cankerworm of bribery and corruption, and to evolve effective plans to this end;

4) We should resolve to produce a five-year development plan which will bear the stamp of the genius of Nigerian brains and patriotism, and which is designed for the speedy abolition of disease, ignorance and want, and for the introduction of a new era of abundance for all;

 

5) We should, in particular, resolve to close, so far as it lies in our power and is compatible with socialist ideals, the yawning gap between the haves and the have-nots;

6) We should resolve to raise the prestige of Nigeria as an economically self-reliant and political dependable nation, to whom the other countries of Africa can look for succor and merited leadership; and

7) We should resolve to rededicate ourselves for the great task ahead, and to co-operate with all those of our fellow-citizens who see the need and are determined to work for a radical reconstruction of our society.

If we are to succeed in carrying out these resolutions, we must have idealism as our impregnable armour. The idealist is not, as is erroneously believed by some impractical Indeed by adhering to fundamental principles, he is fully armed with unimpeachable yardsticks and criteria by means of which all practical issues are justly and equitably determined. His guiding and dominant motive in his approach to all private or public affairs is self first, self second and self last. The bane of our society is the monstrous growth in 1961 of unabased opportunism. We must resolve to destroy the monster right now, if we are to save this nation from imminent peril.

 

INDEX

Africa Unit, 1

Agricultural Development, 63

Anglo-Nigerian Defence Pact, 26

Akintola, S.L.A., 145, 213

Ashby Commission, 65

Awokoya, Hon. S.O., 142

 

Balance of Payments, 70

 

Call to Rededication and

Reconstruction, 209

Cameron, Sir Donald, 80

Charter of Freedom, 76

Creation of More States, 146

 

ECH, 62

Economic Development, 123

‘Economic Development of

Nigeria, The’, 102

Education, 158

Enahoro, Hon. Anthony, 143

 

FBI, 65

Financial Cross-roads, 46

Freedom for All, 195

Glory of a King, The, 94

Good Government, 121

 

Ideological Orientation, 184

Ighodaro, Hon. S.O., 143

I1e-Ife, 45

Independence, 151

Independent Nigeria, 9

Industrial Rule, 79

It Isn’t Life That Matters, 206

 

Lugard, Lord, 79, 80

 

Macpherson, Sir John, 145

Malan, Dr., 38

Mens Sana in Corpore Sano,164

Motion for Self-government, 164

 

Nationalisation, 58

NATO, 2, 14

NCNC, 148, 201, 219

Nigerian Shipping Company 56

NPC, 19, 148, 201, 202 ,210

OAC, 8

Odebiyi, Chief J.A.O. 200

Okotie-Ebob, Cbief Festus, 75

Ondo, 45

Owo, 45

 

Pbilosopby for Independent

Nigeria. 9

 

Political Memoranda. 79

Politics and Religion. 117

Public Finanee, 43

Public Finance. 123

 

Public Relations and Other

Matters, 129

 

Rapid Economic

Development, 51

Social Services, 121

Speech in Defence of Chief

S.L.A. Akintofa,136

Street Beggar Economy, 35

 

The Press, 166

Thomas, Chief Bode. 145

 

UK, 31

UNO, 23

 

Valedictory Summing-up, 118

Verwoenf, Dr. 2

 

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Yvonne Gordon:               LESSON IN LOVE

Grace Goodwin:               LOVE IS THE KEY

Angela Gordon:                LOVE HAS MANY FACES

Vera Craig:          LOVE IN WARD TWO

 

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CONTINUES NEXT WEEK

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