Buhari's account of his government's progress
Nine months into the rule of the military, measures instituted by the soldiers are viewed by them to be achieving the desired results. This view was presented in a nationwide broadcast by the head of the military government, Maj- Gen. Buhari on the occasion of the 24th anniversary of Nigeria's independence.The most urgent problem facing this Government when it assumed office was the grave economic state of the country. Accordingly, our major preoccupation has been to restore Nigeria's economic balance.
Our initial policy measures were designed to limit expenditure and increase foreign reserves and at the same time boost agricultural and industrial production.
Figures available so far indicate that these measures are achieving the desired results. The previous government spent 253m naira more than it earned between January and June 1983. This year, we have spent 249m naira less than we earned during the same period. Our foreign reserves at the end of June 1984 stood at 1,021m naira, against 782m naira at the end of June 1983. From January to August this year we paid 1,154m naira in settlement of debts inherited.
These trends reflect positive impact of various exchange control measures, particularly those directed at minimizing waste and malpractices and limiting foreign exchange allocations to the basic survival needs of the economy. The present policy under which the Central Bank pays for current imports on the basis of open account and bills for collection as and when due is to be maintained as a way of restoring inter- national confidence in our external payments system.
At home, control of Government expenditure at Federal and State levels have been effective. Public sector salaries are paid generally on time and on a regular basis. The Federal Government borrowing from Central Bank has been reduced by more than half.
Before this Administration came into being, the economy was almost ruined by illegal trafficking in the naira which not only made it convertible out- side Nigeria, but also encouraged the looting of the Treasury by government leaders. In addition, there was too much money in circulation, which at the beginning of the year was put at about 6bn naira, a level that further aggravated inflation in the country. To compound the problem, there were elements busy counterfeiting the naira. Therefore, this Administration, if it ever hoped to revive the economy, had to change the Nigerian currency.
The new naira notes, which were then introduced between April and May this year, as well as the sealing of the Nigerian borders, were to ensure that the illegal lodgement of large sums of naira abroad were rendered value- less. Furthermore, the measures pro- vided an opportunity to establish and maintain an optimum money supply level for the country, which means that now less money is spent on non- essential items. One of the things we can justifiably be proud of at this stage is the restoration of confidence in the naira.
We are giving the industrial sector a new impetus. A sizeable proportion of the foreign exchange allocation in 1984 went to the purchase of raw materials, machinery and spare parts. Raw materials licences were given only to bonafide manufacturers and assemblers and some of the factories and plants which were closed or were about to do so at the inception of this administration are being revived. Initial delays in utilisation of licences due to form M and commercial bank formalities are being gradually sorted out. Total value of import licences issued in the past nine months for raw materials, machinery and spare parts is about 2.5bn naira. It is expected that by the time all licences already issued have been fully utilised, the current shortages of manufactured goods should be considerably reduced. In addition, thousands of retrenched workers would be recalled to their jobs.
Government efforts to revive power supply for industry has resulted in a great increase in output of power from 900MW at the beginning of the year to 1,400MW by mid-September. The power stations at Afam, Sapele, Delta, Kainji and Ijora in Lagos are being supplied with needed spare parts to increase their generating capacity. Also new power projects in progress at Jebba, Shiroro and the Lagos station at Egbin are being progressively implemented. When they are completed, the generating capacity at the national grid will more than match the economy's requirements.
Fuel supply to industry and for general transportation has also improved. Depots and filling stations up and down the country have regular supplies. Smuggling and the illegal lifting of our petroleum products have been curbed. Retrenchments suffered were a painful choice of losing thousands of jobs now or millions of jobs later.
Food prices: While Government has ensured, through importation and steady supply of food and household commodities to complement local pro- duction, distribution, however, is still causing enormous problems. Prices are only now beginning to come down.
Agriculture and related activities are accorded the highest priority by this Administration. The primary objective is the attainment of self-sufficiency in food. In order to evolve an effective co-ordinated agricultural policy, the river basin and rural development authorities are working in close liaison with State Government extension services and local farmers. The Federal Military Government is extremely happy with the public response to the call to go back to the land.
Indiscipline: One of the main objectives of this administration when it took over the reins of government nine months ago was to exterminate from the body politic the social, moral and economic indiscipline that pervaded the country in the preceding four years and which led to the collapse of the Second Republic. To reverse the trend, we have embarked upon a deliberate national consciousness and mobilisation campaign known popularly as the War Against Indiscipline. The objective was to set up basic norms and standards for an orderly society. The Administration is happy with the response of Nigerians generally in accepting the doctrine underlying the War Against Indiscipline as a catalyst for a better and greater tomorrow.
We make no false promises because there is a limit to what the Government can do for you. But there is a limit to what you can do for yourself. The Administration wishes the country to realise the necessity for firmness, justice and evenhandedness.
So far, 112,129,482.57 naira and 1,688,185.80 pounds sterling have been recovered by the various investigations panels and on the orders of the special military tribunal on the recovery of public property. In addition, the sums of 348,644,840.09 naira and 48,073,077.44 naira have been recovered from the defunct Fedeco (Federal Election Commission) and National Assembly respectively. Those amounts enabled the Government to finance urgent social services and the purchase of industrial machinery and spare parts.
After careful deliberation, the Federal Military Government has ordered the immediate release of 250 detainees including some businessmen. Further details will be given by the Supreme Headquarters after the holiday. I wish to assure the nation that this exercise will be a continuous one. While we will not hesitate to send those found with cases to answer before the special military tribunal, no person will be kept in detention a day longer than necessary if investigations so far have not incriminated him.
Fellow Nigerians, because of the economic situation, independence celebrations this year are being observed with a minimum cost.
