TEXT OF NATIONAL BROADCAST BY PRESIDENT MUHAMMADU BUHARI ON MAY 29, 2016
My compatriots,
It is one year today since our administration came into office. It has
been a year of triumph, consolidation, pains and achievements. By age,
instinct and experience, my preference is to look forward, to prepare for
the challenges that lie ahead and rededicate the administration to the
task of fixing Nigeria. But I believe we can also learn from the obstacles
we have overcome and the progress we made thus far, to help strengthen the
plans that we have in place to put Nigeria back on the path of progress.
We affirm our belief in democracy as the form of government that best
assures the active participation and actual benefit of the people. Despite
the many years of hardship and disappointment the people of this nation
have proved inherently good, industrious tolerant, patient and generous.
The past years have witnessed huge flows of oil revenues. From 2010
average oil prices were $100 per barrel. But economic and security
conditions were deteriorating. We campaigned and won the election on the
platform of restoring security, tackling corruption and restructuring the
economy. On our arrival, the oil price had collapsed to as low as $30 per
barrel and we found nothing had been kept for the rainy day. Oil prices
have been declining since 2014 but due to the neglect of the past, the
country was not equipped to halt the economy from declining.
The infrastructure, notably rail, power, roads were in a decrepit state.
All the four refineries were in a state of disrepair, the pipelines and
depots neglected.
Huge debts owed to contractors and suppliers had accumulated. Twenty-seven
states could not pay salaries for months. In the north-east, Boko Haram
had captured 14 local governments, driven the local authorities out,
hoisted their flags. Elsewhere, insecurity was palpable; corruption and
impunity were the order of the day. In short, we inherited a state near
collapse.
On the economic front, all oil dependent countries, Nigeria included, have
been struggling since the drop in prices. Many oil rich states have had to
take tough decisions similar to what we are doing. The world, Nigeria
included has been dealing with the effects of three significant and
simultaneous global shocks starting in 2014:
1.A 70% drop in oil prices.
2.Global growth slowdown.
3.Normalization of monetary policy by the United States federal reserve.
Our problems as a government are like that of a farmer who in a good
season harvests ten bags of produce. The proceeds enable him to get by for
rest of the year. However, this year he could only manage 3 bags from his
farm. He must now think of other ways to make ends meet.
From day one, we purposely set out to correct our condition, to change
Nigeria. We reinforced and galvanized our armed forces with new leadership
and resources. We marshaled our neighbours in a joint task force to tackle
and defeat Boko Haram. By the end of December 2015, all but pockets and
remnants had been routed by our gallant armed forces. Our immediate focus
is for a gradual and safe return of internally displaced persons in safety
and dignity and for the resumption of normalcy in the lives of people
living in these areas.
EFCC was given the freedom to pursue corrupt officials and the judiciary
was alerted on what Nigerians expect of them in the fight against
corruption. On the economy, in particular foreign exchange and fuel
shortages, our plan is to save foreign exchange by fast tracking repair of
the refineries and producing most of our fuel requirements at home. And by
growing more food in Nigeria, mainly rice, wheat and sugar we will save
billions of dollars in foreign exchange and drastically reduce our food
import bill.
We resolved to keep the Naira steady, as in the past, devaluation had done
dreadful harm to the Nigerian economy. Furthermore, I supported the
monetary authority’s decision to ensure alignment between monetary policy
and fiscal policy. We shall keep a close look on how the recent measures
affect the Naira and the economy. But we cannot get away from the fact
that a strong currency is predicated on a strong economy. And a strong
economy pre-supposes an industrial productive base and a steady export
market. The measures we must take, may lead to hardships. The problems
Nigerians have faced over the last year have been many and varied. But the
real challenge for this government has been reconstructing the spine of
the Nigerian state. The last twelve months have been spent collaborating
with all arms of government to revive our institutions so that they are
more efficient and fit for purpose:
•That means a bureaucracy better able to develop and deliver policy
•That means an independent judiciary, above suspicion and able to defend
citizen’s rights and dispense justice equitably.
•That means a legislature that actually legislates effectively and
•Above all; that means political parties and politicians committed to
serving the nigerian people rather than themselves.
These are the pillars of the state on which democracy can take root and
thrive. But only if they are strong and incorruptible. Accordingly, we are
working very hard to introduce some vital structural reforms in the way we
conduct government business and lay a solid foundation on which we can
build enduring change.
An important first step has been to get our housekeeping right. So we have
reduced the extravagant spending of the past. We started boldly with the
treasury single account, stopping the leakages in public expenditure.
We then identified forty-three thousand ghost workers through the
Integrated Payroll and Personnel Information system. That represents pay
packets totalling N4.2 billion stolen every month. In addition, we will
save Twenty-Three Billion Naira per annum from official travelling and
sitting allowances alone.
Furthermore, the efficiency unit will cut costs and eliminate duplications
in ministries and departments. Every little saving helps. The reduction in
the number of ministries and work on restructuring and rationalization of
the MDAs is well underway. When this work is complete we will have a
leaner, more efficient public service that is fit for the purpose of
changing nigeria for the good and for good.
As well as making savings, we have changed the way public money is spent.
In all my years as a public servant, I have never come across the practice
of padding budgets. I am glad to tell you now we not only have a budget,
but more importantly, we have a budget process that is more transparent,
more inclusive and more closely tied to our development priorities than in
the recent past. 30% of the expenditure in this budget is devoted to
capital items. Furthermore, we are projecting non-oil revenues to surpass
proceeds from oil. Some critics have described the budget exercise as
clumsy. Perhaps. But it was an example of consensus building, which is
integral to democratic government. In the end we resolved our differences.
We have, therefore, delivered significant milestones on security,
corruption and the economy. In respect of the economy, I would like to
directly address you on the very painful but inevitable decisions we had
to make in the last few weeks specifically on the pump price of fuel and
the more flexible exchange rate policy announced by the central bank. It
is even more painful for me that a major producer of crude oil with four
refineries that once exported refined products is today having to import
all of its domestic needs. This is what corruption and mismanagement has
done to us and that is why we must fight these ills.
As part of the foundation of the new economy we have had to reform how
fuel prices had traditionally been fixed. This step was taken only after
protracted consideration of its pros and cons. After comprehensive
investigation my advisers and I concluded that the mechanism was
unsustainable.
We are also engaged in making recoveries of stolen assets some of which
are in different jurisdictions. The processes of recovery can be tedious
and time consuming, but today I can confirm that thus far: significant
amount of assets have been recovered. A considerable portion of these are
at different stages of recovery. Full details of the status and categories
of the assets will now be published by the Ministry of Information and
updated periodically. When forfeiture formalities are completed these
monies will be credited to the treasury and be openly and transparently
used in funding developmental projects and the public will be informed.
On the Niger Delta, we are committed to implementing the United Nations
Environment Programme report and are advancing clean-up operations. I
believe the way forward is to take a sustainable approach to address the
issues that affect the delta communities. Re-engineering the amnesty
programmes is an example of this. The recent spate of attacks by militants
disrupting oil and power installations will not distract us from engaging
leaders in the region in addressing Niger Delta problems. If the militants
and vandals are testing our resolve, they are much mistaken. We shall
apprehend the perpetrators and their sponsors and bring them to justice.
The policy measures and actions taken so far are not to be seen as some
experiment in governance. We are fully aware that those vested interests
who have held Nigeria back for so long will not give up without a fight.
They will sow divisions, sponsor vile press criticisms at home and abroad,
incite the public in an effort to create chaos rather than relinquish the
vice-like grip they have held on Nigeria.
The economic misfortune we are experiencing in the shape of very low oil
prices has provided us with an opportunity to restructure our economy and
diversify. We are in the process of promoting agriculture, livestocks,
exploiting our solid mineral resources and expanding our industrial and
manufacturing base. That way, we will import less and make the social
investments necessary to allow us to produce a large and skilled
workforce.
Central Bank of Nigeria will offer more fiscal incentives for business
that prove capable of manufacturing products that are internationally
competitive. We remain committed to reforming the regulatory framework,
for investors by improving the ease of doing business in Nigeria.
Meanwhile, the first steps along the path of self-sufficiency in rice,
wheat and sugar – big users of our scarce foreign exchange – have been
taken. The Labour Intensive Farming Enterprise will boost the economy and
ensure inclusive growth in long neglected communities. Special
intervention funds through the Bank of Agriculture will provide targeted
support. Concerns remain about rising cost of foods such as maize, rice,
millet, beans and gari. Farmers tell me that they are worried about the
cost of fertilizers, pesticides and the absence of extension services. The
federal and state governments are on the same page in tackling these
hurdles in our efforts at increased food production and ultimately food
security.
I would like to take this opportunity to express my appreciation for the
increasing role that our women are playing in revitalizing the
agricultural sector. Modern farming is still hard and heavy work and I
salute our Nigerian women in sharing this burden. In this respect I am
very pleased to announce that the government will shortly be launching the
national women’s empowerment fund, which I have approved to provide N1.6
billion in micro-finance loans to women across the nation to assist in
rehabilitating the economies of rural communities, particularly those
impacted by the insurgency and conflict.
With respect to solid minerals, the minister has produced a roadmap where
we will work closely with the world bank and major international investors
to ensure through best practices and due diligence that we choose the
right partners. Illegal mining remains a problem and we have set up a
special security team to protect our assets. Special measures will be in
place to protect miners in their work environment.
For too long, ours has been a society that neglects the poor and
victimizes the weak. A society that promotes profit and growth over
development and freedom. A society that fails to recognize that, to quote
the distinguished economist Amartya Sen “ poverty is not just lack of
money. It is not having the capability to realize one’s full potential as
a human being.”
So, today, I am happy to formally launch, by far the most ambitious
social protection programme in our history. A programme that both seeks to
start the process of lifting many from poverty, while at the same time
creating the opportunity for people to fend for themselves. In this
regard, Five Hundred Billion Naira has been appropriated in the 2016
budget for social intervention programmes in five key areas. We are
committed to providing job creation opportunities for five hundred
thousand teachers and one hundred thousand artisans across the nation. 5.5
million children are to be provided with nutritious meals through our
school feeding programme to improve learning outcomes, as well as
enrolment and completion rates. The conditional cash transfer scheme will
provide financial support for up to one million vulnerable beneficiaries,
and complement the enterprise programme – which will target up to one
million market women; four hundred and sixty thousand artisans; and two
hundred thousand agricultural workers, nationwide. Finally, through the
education grant scheme, we will encourage students studying sciences,
technology, engineering and maths, and lay a foundation for human capital
development for the next generation
I would like to pay a special tribute to our gallant men and women of the
armed forces who are in harm’s way so that the rest of us can live and go
about our business in safety. Their work is almost done. The nation owes
them a debt of gratitude.
Abroad, we want to assure our neighbours, friends and development partners
that Nigeria is firmly committed to democratic principles. We are ready
partners in combating terrorism, cyber crimes, control of communicable
diseases and protection of the environment. Following on the Paris
Agreement, COP 21, we are fully committed to halting and reversing
desertification. Elsewhere, we will intensify efforts to tackle erosion,
ocean surge, flooding and oil spillage which I referred to earlier by
implementing the United Nations Environment Programme (UNEP) report.
We are grateful to the international community notably France, the US, UK
and China for their quick response in helping to tackle the recent Ebola
outbreak in our sub-region. We also acknowledge the humanity shown by the
Italian and German governments in the treatment of boat people, many
fleeing from our sub-region because of lack of economic opportunity. We
thank all our partners especially several countries in the EU.
We appreciate the valuable work that the UN agencies, particularly UNICEF,
ICRC, the World Food Program have been doing. We must also appreciate the
World Bank, the Gates Foundation, the Global Fund and Educate A Child of
Qatar for the excellent work in our health, education and other sectors.
Fellow citizens let me end on a happy note. To the delight of all, two of
the abducted Chibok girls have regained their freedom. During the last one
year, not a single day passed without my agonizing about these girls. Our
efforts have centred around negotiations to free them safely from their
mindless captors. We are still pursuing that course. Their safety is of
paramount concern to me and I am sure to most Nigerians. I am very worried
about the conditions those still captured might be in. Today I re-affirm
our commitment to rescuing our girls. We will never stop until we bring
them home safely. As I said before, no girl should be put through the
brutality of forced marriage and every Nigerian girl has the right to an
education and a life choice.
I thank you and appeal to you to continue supporting the government’s
efforts to fix Nigeria.