THE PRIVATE SECTOR
The private sector is generally regarded as the engine for the nation’s growth. It is the executor, investor, and manager of business.The strategies, which are the ways and means or methods for achieving the economic objectives, are the most crucial of the overall economic action agenda. Economically, Nigeria operates a philosophy in favour of a strong public and private sector partnership to achieve sustainable economic growth and development that is private sector-driven with the government as an enabler.private sector grow, create jobs, and generate wealth. Deregulation and liberalization are being implemented to diminish governments’control and attract private sector investments. The idea of embarking on the Vision 2020 programme in place was based on the report of a foreign Economic Evaluation Agency,that believes that Nigeria could emerge the 12th largest economy by 2050 ahead of Italy, Canada and Korea. According to the CBN report, Nigeria’s economy has the capacity to sustain over 10% in the medium term and achieve Vision 20: 2020, while also diversifying the nations’ monolithic economy through reform packages and the utilization of the private sector as the engine for growth and development. The strategies for each of the economic objectives are as follows:
- To reduce the dominance of the public sector in the economy and develop a viable, dynamic, highly motivated, socially and environmentally responsible private sector. Develop a strong public and private sector partnership which fosters a strong economy that is private sector-driven with the government as the enabler.
- To use Nigeria’s wealth of gas, petrochemicals, agriculture and solid mineral, cultural and other resources to diversify the economic base and develop an export-driven production, manufacturing and industrial non-oil sector. Ensure Nigerian products are of international standards and are able to compete in the global market-place; significantly increase the volume and proportion of non-oil exports to reduce Nigeria’s dependency on oil.
- To develop and/or acquire production technologies in order to accelerate the growth and development of small and medium-scale businesses to provide wider economic opportunities, employment and poverty alleviation.
- Establish and promote SME industrial clusters which specialize in products and technologies for specific industries; provide infrastructure such as access roads, electricity, water and telephone link in these locations.
- Encourage and support local contracting capability to achieve competition with foreign service providers in quality and price; make it a requirement for oil companies to set aside a specific percentage of contracts for local contractors and provide quality assurance to ensure target standards are met.
- Minimize community-related disruption of operations by making the community a stakeholder in the operations of the sector.
- Actively promote competition by participating in efforts at deregulating and liberalizing the economy.