The Benefits of Privatization – Real or Imaginary?: The Nigerian Experience

Abstract

This paper examines the benefits of privatization to see whether they are real or imaginary, using the Nigerian experience. Proponents of privatization argue that the exercise will promote efficiency, leading to improved productivity and profitability of firms. That government by removing its hands from the running of public enterprises which have been a veritable source of waste of public funds would have been spared, the badly needed fund that should be expended on basic goods. Based on this, it is believed that the people will ultimately benefit as the nation privatizes. But we argue that the much canvassed benefits of privatization is at best imaginary, because experiences have shown that excess funds in Nigeria have never meant any improvements in the standard of living of Nigerians.



SOPHIA: An African Journal of Philosophy Vol. 9 (1) 2006: pp. 107-111