A Stakeholders’ Assessment of Enhancement of the Competitiveness of the Nigerian Economy through the Economic Recovery and Growth Plan*

Abstract

The Keynesian postulate on the importance of the state’s role in economic development
has propelled many governments across the world to enhance job creation and pursue
the reduction of income inequality. Addressing these issues has proven to be better
achieved within the context of globalisation and the focus of enhancing the
competitiveness of the domestic economy. In this regard, this study examines the
performance of the Federal Government of Nigeria’s medium-term Economic Recovery
and Growth Plan (ERGP) between 2017 and 2020, especially in relation to the objective
of building a globally competitive economy. The analysis was based on stakeholders'
perspectives on the subject using the case of Lagos State, a microcosm of Nigeria. The
survey method was employed, with respondents randomly selected from the five
administrative divisions (IBILE) in Lagos: Ikorodu, Badagry, Ikeja, Lagos, and Epe. The
results from descriptive and inferential analyses show that the ERGP’s focus on good
governance, through the fight against corruption did not produce the desired results. For
instance, in comparison to the Comoros Islands and Guinea, the country’s position
worsened on the Transparency International (TI) Corruption Perception Index, as it
moved from 136 in 2016 to 148 in 2017. Survey results indicate that only 42% of the
respondents perceived the business atmosphere as becoming friendlier and only 39.7%
reported that their business had the capacity to effectively compete with businesses in
other parts of Africa. Overall, as envisaged, the ERGP appeared weak in building a
globally competitive economy. Therefore, it is recommended that government should
focus on fostering a viable macroeconomic environment alongside institutional
frameworks that would enhance the competitiveness and efficiency of the economy.