Abuja: The Independent Media and Policy Initiative (IMPI) has urged Nigerian leaders to learn from years of poor resource management that caused repeated poverty even during times of oil boom. The IMPI said this in a policy statement signed by its Chairman, Dr. Omoniyi Akinsiju on Friday in Abuja.
According to News Agency of Nigeria, the think-tank emphasized that Nigeria's poverty crisis was not the result of a lack of resources, but rather the successive governments' failure to manage these resources prudently and sustainably. The group highlighted Nigeria's experience from 1980 to 2015, illustrating how poor policy choices and neglect of critical sectors such as agriculture and manufacturing entrenched widespread poverty and economic vulnerability.
The IMPI pointed out that the oil boom years exposed Nigeria to what economists describe as the 'Dutch disease'. This phenomenon involved a sudden rise in oil revenues leading to exchange rate appreciation, reduced competitiveness of local industries, and neglect of non-oil exports. The massive inflow of oil income created a false sense of prosperity, distorting the economy, diverting labor from agriculture, and weakening domestic production capacity.
The IMPI further explained the 'Nigerian disease' situation, where rural workers abandoned farming for urban jobs with temporarily higher wages, worsening poverty and food insecurity across the country. Government spending during the oil boom focused on large capital projects, most of which were uncompleted or unproductive, creating little employment and offering limited long-term benefits to citizens.
The misallocation of resources in agriculture included uncompleted irrigation projects, over-mechanization, and policies favoring wealthy farmers over smallholders, which worsened inequality and reduced productivity. Even during economic growth spurts, poverty remained high because successive administrations failed to provide social protection for vulnerable groups or establish a sustainable safety net.
Following the collapse of oil prices in 1982, the economy faced inflation, debt, and foreign exchange rationing, exposing the fragility of the system and revealing how weak policies had hollowed out the productive sectors. The IMPI stressed that the persistence of poverty amid growth highlighted the gap between economic expansion and inclusive development, emphasizing the need for reforms prioritizing human capital and domestic productivity.
The organization urged current and future governments to ensure macroeconomic growth aligns with effective social investment, transparency, and policy consistency. It concluded that only deliberate efforts to correct past structural distortions would guarantee lasting prosperity for Nigerians. The group reaffirmed its commitment to supporting policy reforms promoting economic diversification, social protection, and responsible governance as foundations for sustainable development.