Governor Godwin Obaseki of Edo State has attributed the ongoing surge in inflation across Nigeria to the nation’s chronic inability to produce and export goods and services consistently. He emphasized that this shortfall in domestic production continues to have a detrimental effect on the country’s overall economic stability.
Obaseki made these remarks during a meeting with a delegation from the World Bank, led by Manievel Emmanuel Sene, the Task Team Leader (TTL) for the Agro-Processing, Productivity Enhancement, and Livelihood Improvement Support (APPEALS) Project in Nigeria. The delegation was at the Edo State Government House in Benin City for the third implementation mission of the World Bank’s project in the region.
The delegation included significant figures such as Hon. Stephen Idehenre, Edo State’s Commissioner for Agriculture and Food Security, and Sanusi Abubakar, the National Project Coordinator for the Livestock Productivity and Resilience Support Project (L-PRES).
Speaking on Nigeria’s economic predicament, Obaseki highlighted that one of the country’s greatest challenges is its lack of production capacity, which leaves it unable to substitute its imports. He explained that high food inflation in the country is a direct consequence of this low production, as Nigeria no longer possesses the foreign exchange reserves needed to support imports. Without sufficient domestic output, the country faces a bleak economic future.
“The primary issue we face is that we are not producing enough to meet the demands of the country. Without production buffers, we have no means to substitute imports, which is a major factor in the escalating food prices,” Obaseki stated. He went on to explain that, unlike other nations, Nigeria’s agricultural and industrial production remains inadequate, despite its vast resources. As a result, the nation is left vulnerable to external economic shocks.
Obaseki also highlighted the gap in infrastructure and capacity to ensure a stable domestic market for agricultural products. He explained that Edo State, under his leadership, has been actively working to improve the local economy by fostering reforms aimed at attracting investment and boosting the state’s internally generated revenue.
“We have focused on ensuring commercialization of products in the state, meaning that once we produce, there must be a market and a linkage to those who need the products,” Obaseki remarked. He further stressed the importance of recognizing the true farmers within the state, assessing their production capacity, and linking them with appropriate markets to ensure economic growth.
Despite some challenges, Obaseki expressed his commitment to tackling the systemic issues affecting agriculture in Edo, pointing out that even though funds had been allocated for livestock farming, success depends on the real capabilities and sincerity of the beneficiaries. “It’s not just about providing money but ensuring that those involved have the right capacity and commitment to succeed,” he added.
Meanwhile, Manievel Emmanuel Sene, the World Bank’s TTL for the APPEALS project, outlined the bank’s goals of improving productivity, commercialization, and resilience within Nigeria’s agricultural sector. These objectives are designed to build a stronger, more self-sufficient economy that can weather economic challenges and provide long-term stability for Nigeria and its citizens.
This meeting marks a significant step in Nigeria’s pursuit of agricultural reform and economic diversification. Through continued collaboration between state governments and global partners like the World Bank, Nigeria hopes to turn its agricultural potential into a sustainable, globally competitive sector.
