The Potency Of Privatisation In The Economic Development Of Nigeria

Privatisation has become the current wave moving across both developing and developed nations all over the world. This is so in order to promote efficient allocation and management of resources. In Nigeria, like most other developing countries, the ownership and control of key public utilities have virtually been the responsibility of the government since independence in 1960. The case for government control of public utilities, such as electricity, telecommunication, gas, water supply and air transportation is based on the argument that basic goods and services need to be provided to the citizenry at affordable prices, and also that government needs to control the utilities due to the relative significance in the national economy. Over the years, however, the inability of successive Nigerian governments to provide the services in an efficient manner has led to persistent calls for reform. In response, several polity initiatives have been undertaken, including market regulation, deregulation, liberalisation and privatisation. (Ibeabuchi et al 2003)