Opinion
By Professor Frank Ozoh
SOLUDO’S presentation here is completely misleading and anachronous. Economically speaking, he misplaced rationality conditions in business expectations for the public and private investors.
Governments, particularly in developing countries do invest in both Social Overhead Costs (SOCs), in other words, infrastructures, as well as in DPA (Directly Productive Activities) as Mbakwe did with Concorde Hotel, Glass, Paint, Shoe Factories in old Imo State. The government can invest wholly and/or partially in these productive activities to raise revenue through taxes, create jobs, goods and services by multiple times.
In this regard, profits and capital gains and losses are secondary motives of this variety of government investments.
Therefore, Soludo’s presentation is completely misleading.
Again, governments can invest exclusively and/or partially with the private sector in SOCs (infrastructures) as in Second Niger Bridge, Toll Roads, Airports, Railways etc. The investment in this variety of infrastructures goes to reinforce productive activities in communities.
Understanding the significance of these investments, then Mr Obi did the needful during his administration.
These investments under Mr Obi raised school performance, jobs, raised health care services etc.
These notwithstanding, Mr Obi left huge savings in foreign currencies and in Naira bank accounts for the rainy days.
He put Anambra in the map of oil producing States enabling it to earn 13% Derivation.
Logically speaking, increased investments in both SOCs and DPAs as done by Mr Obi will lead to increased revenue through taxes, increased jobs, goods and services by multiple times in Anambra. Therefore, it is paradoxical for Soludo to say that poverty increased under Mr Obi, unless the gestation period of Obi investments occured under Obiano. Otherwise, induced real investments will certainly lead to multiple increases in revenue, jobs, goods and services by multiple times within the expected time elements of maturity of the investment. Of course, this will not include people who are not willing to work at the existing wage rate in Anambra.
Furthermore, without presenting time scope for proper assessment, Soludo’s accounts are deeply misleading and irrational. The importance of the element of time is crucial for gestational assessment on investments.
Again, as Mr Obi was not owing contractors, workers and did not leave any debt for Obiano, but as Obiano left huge debts for the people of Anambra and Soludo’s administration, therefore, Soludo is placing his anger wrongly.
Apparently, the House has approved N100 billion to enable Soludo borrow money within the 7-8 months he has been in office. What will be the debt stock and the debt overhang left for the people of Anambra at the end of his administration will be better imagined?
The Obi-Datti movement and the poor masses in Nigeria know that with this team, the hope of the common man is assured and there is no going back.
Certainly, if the 2023 Presidential typy of election is free, fair, clean and credible, there is no doubt that Obi and Datti are the next President and Vice President of this nation.
All said and apparently, Soludo’s account seem to suggest that savings, investments and debt free society are a vice, whereas lack of savings, lack of investment, increasing debt stock and overhang are a virtue in the business governance in Nigeria.
Ya diwa!
We shall overcome and in God Almighty we trust and Obi-Datti Presidency is the answer through Christ Jesus. Amen.
A.I
Tags: Concorde Hotel Glass Paint
