By Sandra Ijeoma Okoye
There is no denying the fact that the Federal government has over the years been rolling out various kinds of intervention programmes to keep Nigeria’s economy afloat. These interventions in different sectors of the economy, particularly under the auspices of the Central Bank of Nigeria (CBN) range from banking, agriculture, real estate, health and manufacturing.
For instance, to enhance the manufacturing sector and improve the real estate sector, the CBN introduced the 100 for 100 Policy on Production and Productivity (PPP); being an intervention programme that was targeted towards the strengthening of local private companies with bankable projects to fund. The programme was also designed to wean Nigeria off massive importation and foreign exchange depletion by bolstering local capacity to meet local demands; create massive jobs, galvanize sustainable economic growth via exports, accelerate structural economic transformation and ultimately promote diversification and productivity.
In other words, the government has been involved in bailing out some critical sectors of the economy when observed that such sectors are not doing well. At this juncture, it is expedient to ask, “What is bail out in this context?” It is basically when government provides money and/or resources to a failing sector. These actions help to prevent the consequences of that sector’s potential downfall which may include bankruptcy and default on its financial obligations.
Economic sectors may receive a bailout which may take the form of a loan, the purchasing of bonds, stocks or cash infusions, and may require reimbursement of the support, depending upon the terms.
At this juncture, it would be recalled that the CBN has through its Special Intervention Reserves (SIR) bailed out distress banks in the past. The apex bank’s interventionist programmes have also been extended to the Agriculture sector of the economy, and even the manufacturing sector of the economy as well.
In a similar vein, it would be recalled that not few states that were owing their workers for several months in 2016 had their governors blaming the dismal revenue they receive from Abuja, even as their monthly allocations dwindled since 2014 due to falling price of oil.
The governors, who at the time met under the aegis of the Nigeria Governors Forum, (NGF) discussed as a unified group for the first time after its election of 2013, had the federal government bailing them out from their collective predicament.
Against the backdrop, the Nigeria’s 36 states were offered financial bailout by the federal Government in a fresh bid to reflate the beleaguered economy. The bailout came in the form of an informal restructuring of the loan obligations of the states which they do not now have to repay for an unspecified period of time.
Given the foregoing backdrop, the Academic Staff Union of Universities’ (ASUU) recent critical comment on FG’s bailout to banks, aviation sectors cannot be pooh-poohed.
The ASUU has expressed dismay over sudden provision of bail out to banks and Aviation sector by the federal government as against funding education. It would be recalled that the Kano Zonal chairman of the union, Mahmud Lawal, while addressing newsmen, said the actions showed that the federal government is not serious when it comes to funding education.
Against the foregoing backdrop, it is very clear that government is not giving equal and commensurate attention to the educational sector, particularly to when it comes to funding education as it can, without any pressure, even as it continues to give bailout to banks and aviation sector which is owned by private individuals.
Without any iota of exaggeration, it is disturbing to note that the offices of the minister of labour and that of education have woefully failed to mediate in ongoing impasse between the ASUU and the federal government.
Without resort to blaming any of the parties that is involved in the face-off, it is expedient to ask, “Why has it been so difficult to salvage the dwindling conditions of Nigerian universities, at least, by paying the salaries and allowances of lecturers that has grounded the university system to the detriment of the collective future of the students?
In fact, looking at the situation from the idiomatic expression that says, “What’s good for the goose is good for the gander, it is expedient to ask why is it that the preferential treatment been accorded other sectors of the economy is not been accorded the educational sector, even as university education in Nigeria has close to a year being grounded?
Given the foregoing interventions that the government has so far carried out in other sectors of the economy, it is expedient to ask, “Why is the bailout that is good for other sectors of the economy not considered to be good for the educational sector of the economy?
