FG Operating ‘Voodoo Economics’- Tinubu

Bola Ahmed Tinubu, former governor of Lagos State has returned a damning indictment on the managers of Nigerian economy whom he said are operating ‘voodoo economics’.

He said the federal government cannot claim to be saving for the rainy day when it is already raining and pointed at the hunger and wants in the midst of huge foreign reserves the federal government claim it has amassed.

Tinubu waxed worriedly and wondered why the Federal Government is maintaining a foreign reserve of $46 billion with one or two per cent interest and shouldering a load of $42 billion domestic debt, which it services with 16 per cent interest.

According to him, Nigeria economic realities demand that leaders invest in infrastructures that would help to improve the lives of the people rather than piling up money that would be wasted on the long run.

The former Lagos State governor spoke at the launch of the book “Financialism- Water from an Empty Well” which he co-authored with Brian Browne, former American Consul-General in Nigeria.

“We must in this country do away with the idea of ‘it is better save the money and spend the people.’ Rather I will say we should adopt the policy of ‘it is better to save the people and spend the fund.’

“Their voodoo economics is choking up the private sector,” he said.

Tinubu argued that the accumulation of money by the government was a misplaced objective for these times, saying that the driving purpose must be “to channel idle human and material capacity into productive streams that furnish jobs and manufacture tangible goods bettering the living conditions of every citizen.”

He said: “I believe in the national government saving money if saving is for the purpose other than itself. For a government that prints its own currency, to save that currency for merely for saving’s sake is to accumulate worthless paper.

We must reform our philosophy about economic development. First, we must reform the financial sector so that it becomes an effective artery that sends funds to the heart of the real sector. The Federal Government must formulate a national industrial policy that would focus on developing labour-intensive industries.” Tinubu added.

Prof. Kalu Idika Kalu, chairman of the occasion,  in his opening address, the regretted the failure of successive administration to leverage on the groundwork investment done by the nation’s founding father in the real sector, noting that we have continually stray away from the foundation of discipline laid by them.

“We are filled with slogans, copied lifestyles and values, thinking it will be a substitute for real hard thinking, sacrifice and investment.

“Nigerians are tired of factions, parties and mergers. There has to be a coming together to bridge the divisive gap of inequality in the country.”