The Monetization Policy of Federal Government of Nigeria and its Implication

Abstract

Since the attainment of political independence in 1960, there has been a persistent decline in productivity in the public sector, marked by a colossal increase in the cost of governance, resulting to a plethora of policy prescriptions, to bail Nigeria from a state of suspended paralysis. “The monetization policy is one of the most recent measures of the Obasanjo's administration to reduce the cost of governance, facilitate budgeting and budgetary control; minimize waste and abuse of public facilities, obtain savings for capital projects, promote a culture of discipline and maintenance, etc. This paper attempts a critical analysis of the components of the monetization policy against the backdrop of the implication of the policy on the workers' productivity and governance of the Nigerian state. It is contended that, although, the objectives of the policy may appear laudable and splendid, the implementation impacts of the policy are likely to be catastrophic. The cushioning measures of the government to alleviate the adverse effect of the policy are questionable, insufficient, cosmetic and superficial in nature. Inevitably, is likely to be more beneficial to the political class than the public servants; compound societal problems, hence will impact negatively on productivity of workers. It is the contention of the paper, that the sustainability of the policy in the next four or five years, depends on the ability of the country to foot the cost, availability of political will and popular acceptability of the effect of the policy, etc.

SOPHIA: An African Journal of Philosophy Vol. 8 (2) 2006: pp. 77-83