By Adefolarin A. Olamilekan
President Bola Ahmed Tinubu has initiated a defining chapter in Nigeria’s economic history—one characterized by bold reforms, structural recalibrations, and an unwavering pursuit of progress. In the short span of two years, his administration has launched a series of transformative initiatives aimed at reshaping Nigeria’s long-term economic trajectory.
Notable among these reforms are the removal of petrol subsidies and the unification of the exchange rate system. These steps have facilitated a more stable and market-driven foreign exchange environment, with Nigeria’s foreign reserves now exceeding $38 billion. These gains mark a turning point, yet they also illuminate how much more remains to be done.
Persistent Structural Challenges
Despite policy shifts, Nigeria’s economy continues to reel from both internal inefficiencies and external shocks—chief among them, the volatility of global oil prices. Nigeria’s overdependence on crude oil as its primary revenue source has left the nation vulnerable to fluctuating markets. This mono-product economic model has exposed critical weaknesses, such as reduced government revenue, wage arrears at both federal and state levels, job losses, and eroding investor confidence.
Learning from Developed Economies
To chart a more resilient course, Nigeria must draw meaningful lessons from developed countries—lessons that extend beyond superficial policy mimicry to context-sensitive implementation. Below are seven critical domains where lessons from industrialized nations could inform Nigeria’s economic transformation:
1. Macroeconomic Stability and Inflation Control
In developed economies, macroeconomic stability is the bedrock of investor confidence and sustained growth. Policies to curb inflation, manage public debt, and ensure currency stability are pursued consistently and transparently. In contrast, Nigeria’s experience reveals a disconnect between policy intent and execution, often due to weak institutional frameworks and political interference. These gaps must be bridged through accountable governance and robust fiscal discipline.
2. Economic Diversification Beyond Rhetoric
Diversification in developed countries was achieved through targeted investment, long-term planning, and unwavering commitment. For Nigeria, diversification has remained more of a slogan than a strategy. While agriculture, solid minerals, technology, and manufacturing hold promise, realizing this potential requires integrated policies, sectoral incentives, and measurable outcomes.
3. Education and Human Capital Development
The foundation of every developed economy is a well-educated and highly skilled workforce. Investments in STEM education, vocational training, and digital literacy have propelled countries like Germany, South Korea, and the United States to global leadership in innovation. Nigeria must close its skills gap by prioritising not only access to education but also its quality and relevance to market needs.
4. Infrastructure as an Economic Enabler
Modern economies thrive on robust infrastructure. From transportation and energy to broadband and logistics, developed countries understand that infrastructure is not a luxury but a necessity. Nigeria must scale up infrastructure investment, ensure quality execution, and adopt public-private partnership models to overcome its infrastructural deficit.
5. Technology, Innovation, and R&D
Innovation ecosystems—anchored in universities, research institutions, and start-ups—are pivotal to long-term growth in developed economies. Nigeria must create an enabling environment for R&D, support tech incubation hubs, and strengthen IP protection laws. This will elevate local industries and enhance global competitiveness.
6. Trade Policy and Global Integration
Smart trade agreements, efficient customs procedures, and export-friendly policies have enabled developed countries to penetrate global markets. Nigeria must renegotiate trade pacts to reflect national interests, remove non-tariff barriers, and build the capacity of local exporters. A trade policy focused on value addition rather than raw commodity exports is vital.
7. Security, Governance, and Political Stability
Security is a non-negotiable prerequisite for economic prosperity. Developed nations ensure domestic tranquility and uphold the rule of law, creating a stable environment for business. Nigeria must address its security challenges—particularly those affecting agricultural regions and industrial corridors—while also strengthening institutions, tackling corruption, and fostering a culture of savings and investment among citizens through financial literacy initiatives.
Conclusion: Moving from Policy to Practice
Nigeria’s economic aspirations cannot be realized through policy borrowing alone. The real challenge lies in adapting global best practices to local realities—anchored in discipline, inclusiveness, and consistent implementation. President Tinubu’s early reforms provide a strong starting point, but without a coordinated effort to institutionalize these lessons, the gains will remain fragile.
A new era of economic growth is possible—one driven not by extractive dependency but by productivity, innovation, and people-centered development.
