NON EXPORTATION OF OIL IN NIGERIA. LIKELY PROBLEMS ACCOUNTING FOR AND POSSIBLE SOLUTION

INTRODUCTION
In order to reverse this unhealthy trend, and underpin Nigeria’s global competitiveness in the international market, it has become imperative to diversify the economy and broaden the revenue base within and away from crude oil export. As a result, the government must embark on a deliberate, determined and systematic plan to aggressively expand and promote non-oil exports. This has become even more compelling considering the volatility in the global oil market and its topsy-turvy effect on government’s revenue. Moreover, considering that Nigeria’s current oil wells, judging by recent reports, may dry up in the next few decades (estimated to be 30-40 years time), except of course new oil wells are discovered, the need for a strategic policy shift in favour of non-oil exports as the key driver of growth cannot be overemphasised.

The stimulation of non-oil exports will provide a veritable alternative source of revenue, increase access to foreign exchange and enhance the country’s foreign/external reserves. The increased foreign exchange earnings generated from non-oil exports will go a long way in ensuring a stable and competitive exchange rate/value for the naira. Furthermore, the nation’s ability to reduce her external indebtedness and service existing debts will, to a large extent, depend on our export earnings, through additional revenue from non-oil exports.The promotion of non-oil exports, willy-nilly, will have tremendous multiplier effects, directly and indirectly, on employment generation/job creation, especially considering the present high level of youth and graduate unemployment in the country. This is because with increased non-oil exports, there will be an exponential increase in employment opportunities in the industries engaged in direct production for exports. By extension, export growth will also have positive bearings and indirect effects on employment in feeder industries supplying inputs, materials and equipment to the industries directly engaged in export production. The aggregate consumer expenditures of workers employed in all these industries, as a result of income earned will also have significant impact on the economy by way of lowering income inequalities, enhancing the country’s Gross National Income and stimulating economic growth.

In furtherance of its transformation agenda to liberate the nation’s tottering economy from the shackles of the current high-dependence and over-reliance on oil export/revenue, the government must adopt outward-looking and permissive economic policies which will emphasise vigorous export promotion and expansion. This it will do through the provision of appropriate mix of incentives to exporters. In this regard, I reiterate the need to emulate and learn from the experience of the Newly Industrialised Countries, especially the “Asian Tigers”, such as South Korea, Taiwan, China, Singapore, Hong Kong, Thailand, Malaysia and Indonesia. It is an acclaimed fact that the remarkable economic performances of the NICs have been largely due to the export-oriented growth of their economies. The governments of these countries, together with dynamic entrepreneurs and investors succeeded in promoting vigorous export-led growth and industrialisation.

TABLE OF CONTENTS
Title page i
Dedication ii
Acknowledgement iii

CHAPTER ONE
Introduction 1

CHAPTER TWO
Problems of Non-Export in Nigeria Crude oil 7

CHAPTER THREE
Solutions to the Problems
Overall Rating

0

5 Star
(0)
4 Star
(0)
3 Star
(0)
2 Star
(0)
1 Star
(0)
APA

Kings, S. (2018). NON EXPORTATION OF OIL IN NIGERIA. LIKELY PROBLEMS ACCOUNTING FOR AND POSSIBLE SOLUTION. Afribary. Retrieved from https://afribary.com/works/non-exportation-of-oil-in-nigeria-likely-problems-accounting-for-and-possible-solution-3744

MLA 8th

Kings, Solomon "NON EXPORTATION OF OIL IN NIGERIA. LIKELY PROBLEMS ACCOUNTING FOR AND POSSIBLE SOLUTION" Afribary. Afribary, 29 Jan. 2018, https://afribary.com/works/non-exportation-of-oil-in-nigeria-likely-problems-accounting-for-and-possible-solution-3744. Accessed 22 Nov. 2024.

MLA7

Kings, Solomon . "NON EXPORTATION OF OIL IN NIGERIA. LIKELY PROBLEMS ACCOUNTING FOR AND POSSIBLE SOLUTION". Afribary, Afribary, 29 Jan. 2018. Web. 22 Nov. 2024. < https://afribary.com/works/non-exportation-of-oil-in-nigeria-likely-problems-accounting-for-and-possible-solution-3744 >.

Chicago

Kings, Solomon . "NON EXPORTATION OF OIL IN NIGERIA. LIKELY PROBLEMS ACCOUNTING FOR AND POSSIBLE SOLUTION" Afribary (2018). Accessed November 22, 2024. https://afribary.com/works/non-exportation-of-oil-in-nigeria-likely-problems-accounting-for-and-possible-solution-3744