National Development Planning in Nigeria
National Development Planning in Nigeria
National Development Planning in Nigeria
Iheanacho, E. N.
Department of Political Science
Imo State University, Owerri, Nigeria
Emmanueliheanacho403@yahoo.com.
ABSTRACT
Since independence, Nigeria has embarked on series of National Development
plans and visions in her endless efforts to search for appropriate development
strategy. It is worrisome that these development plans and visions have failed to
achieve their expected objectives. This is evident from widespread poverty,
dilapidated infrastructure, massive unemployment, high incidence of diseases
and excessive debt burden among others. Therefore this study aims to examine
critically various development plans in Nigeria and identify those problems that
hinder successful implementation of development plans in Nigeria. The study
relied on secondary data, as its source of information. Based on the findings that
development plans have been accepted as a suitable strategy to address
development challenges in Nigeria, this study concludes that the efficacy of our
national development plans would be enhanced and serve as a viable instrument
of sustainable development if the problems that confront the National
Development plans are properly addressed.
Keywords: Development, Planning, Development Planning, strategy.
INTRODUCTION
Successive governments in Nigeria have adopted development plans as appropriate strategy
to address development challenges in the country. Tordoff (1993) observes that there is a
general consensus that the instrument of both diagnosis and remedy to development is the
“development plan” In the same vein Adedeji (1989) opines that the economic aspirations
of Nigeria since independence are perhaps best exemplified by her various development
plans. Since the past four decades, Nigeria has embarked on series of development plans
to fasten the rate of economic growth and improve the standard of living of the people. It
is noteworthy that Nigeria has gone through four national development plans in her post-
independence history, (the fifth National Development Plan did not materialize).
These plans are: First National Development Plan (1962), the Second National
Development Plan (1970-74), Third National Development Plan (1975-80), and Fourth
National Development Plan 1981-85. Apart from the five year National Development
Plans, the Federal Government has also embarked on three year rolling plans between
1990 and 1998 and long term perspective planning in her endless efforts to search for
appropriate developmental strategy. The federal government introduced another ambitious
programme between 2003 and 2007 known as the National Economic Empowerment
and Development Strategy (NEEDS). It was a medium term planning which focused on
wealth creation, employment generation, poverty reduction and value orientation. Recently
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Vision 20:2020 was launched. Vision 20:2020 is a perspective plan which aims to make
Nigeria a fully developed economy by the year. Though development planning has been a
consistent phenomenon in Nigeria’s administrative system, it is worrisome that these plans
have not achieved the expected results. This is evident from widespread poverty, dilapidated
infrastructural facilities, massive unemployment, low capacity utilization, technological
backwardness, short-life expectancy, urban congestion, excessive debt burden,
environmental degradation and high incidence of diseases which beset the country. It is
obvious that Nigeria is an underdeveloped country and occupies very low position among
the poorest countries of the world inspite of her huge potential in natural and human
resources. In the opinion of Obikeze and Obi (2004) “a review of the various plans clearly
shows that the country is still very far from where it was envisaged it will be today. This is
simply as a result of either faulty implementation of the plan, distortions or even non-
implementation”.
Therefore, the basic thrust of this work is to examine critically the various
development plans and visions since independence and determine the extent which these
development plans and vision has achieved their expected objectives. The study also aims
at identifying those problems that militate against effective implementation of development
plans in Nigeria and suggests appropriate remedies to enhance the efficacy of these plans.
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that planning entails determination of control, direction and methods of accomplishing the
overall organization or national objective. Plans must be directed and controlled towards
achieving desired objectives. Todaro (1992) conceptualizes development planning as the
conscious governmental effort to influence, direct and in some cases, even control changes
in the principal economic variables of a country over the course of time in order to achieve
predetermined set of objectives”. From the above it is obvious that without adequate
planning, no meaningful development can take place in any system or State. Development
planning as long-term programme designed to effect some permanent structural changes in
the economy is connected with the involvement of government in the economy whereby it
set out objectives about the way it wants the economy to develop in future and then
intervenes to try to achieve those objectives (UNPD, 2008). Development planning involves
processes which ensure that national policies and strategies are realized and development
concerns at all levels are fully integrated into the overall national development thrust (Datta,
2010).
NATIONAL DEVELOPMENT PLANNING IN NIGERIA
Development plans have been accepted as a suitable strategy to address development
challenges in Nigeria. Therefore, the analysis of various development plans in Nigeria
since independence becomes necessary.
Pre-Independence Plan: Nigeria’s planning experience began with the Ten-Year Plan of
Development and Welfare for Nigeria which was introduced in 1946 by the colonial
government (1945-1956) sequel to a circular from the Secretary of State for Colonies to
all British colonies, directing the setting up of a Central Development Board (Onah, 2010).
The Ten Year Plan of Development and Welfare for Nigeria could not be actually be
termed as plan in real sense because it contained mainly a list of uncoordinated projects in
various regions. The objective of the plan, though not stated was to meet the perceived
needs of the colonial government rather than any conscious attempt to influence the overall
performance of the Nigerian economy then (Egonmwan and Ibodje, 2001). The primary
interest of the colonial government was to produce agricultural products such as groundnuts,
palm oil, and cocoa that were required by the British factories. No attempt was made to
articulate and incorporate the needs and interest of Nigerian people into the objectives
and priorities of development plans (Onah 2010). Ayo (1988) observes that the programme
“suffered from non-specialized colonial administrators approach to development planning,
the inadequacy of planning machinery and absence of clearly defined national objectives.”
Irrespective of the weaknesses of the plan, it served as a launch pad to subsequent
development plans in Nigeria.
First National Development Plan 1962-1968): Immediately after attainment of
independence in 1960, the first National Development Plan (1962-1968) was launched.
The objectives of the plan were: to bring about equal distributions of national income; to
speed up the rate of economic growth; to generate savings for investments so as to reduce
its dependence on external capital for the development of the nation; to get enough capital
for the development of manpower; to increase the standard of living of the masses
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particularly in respect of food, housing, health and clothing and to develop the infrastructure
of the nation (Onyenwigwe 2009). It had a proposed total investment expenditure of
about N2,132million. The public sector was expected to invest about N1,352.3million
while the remaining investment expenditure of N780 million was expected to be made by
the private sector (Obi, 2006). Though, the plan appeared impressive, but due to political
upheaval in the country which resulted in 30 month civil war, the plan almost became
redundant. According to Nnadozie (2004), the objectives and targets of the 1962-68 plan
were too large and over-ambitious and therefore out of tune with financial technical and
managerial capabilities of the country. This made the plan to lack clarity and precision in
the formulation of objectives and targets (Onah, 2010). Despite the weaknesses of the
plan, some major projects were executed during that period. These included the Nigerian
Security and Minting Plant, the Jebba Paper Mill, the Sugar Mill, Niger Dam, the Niger
Bridge, Onitsha, Kaingi Dam and Port Harcourt Refinery.
The Second National Plan (1970-1974): At the end of 1970, national reconstruction
and rehabilitation were the focus of attention of the federal government. In order to fasten
the growth of national economy and ensure equitable distribution of national income, it
became imperative to launch the Second National Development Plan. Initially, the plan,
was meant to cover the four year period, 1970-1974, it was later extended to cover the
fiscal year of 1974-1975. The plan put forward five national objectives: a United, strong
and self reliant nation; a just and egalitarian society; a land of bright and full opportunities
for all citizens; and a free and democratic society (Onyenwigwe, 2009). Ayo (1988) outlines
the difference between this plan and others as:
“Besides being much bigger in size and more diversified in its project
composition, it was in fact the first truly national and fully integrated
plan which viewed the economy as an organic unit: the twelve states
were fully integrated into national development plan. Also, unlike
the first plan, the second plan was formulated wholly by Nigerians.”
The total capital projected expenditure of about 4.9 billion was contained in the
plan. Out of this figure, the proposed public sector investment was 3.3 billion while the
private sector was expected to invest 1.6 billion (Obi, 2006). The highest order of priorities
in public sector projected expenditure were accorded to transport and communication,
manufacturing, housing and education (Onah 2010). Second National Development Plan
laid much emphasis on indigenization. In the opinion of Okowa (1991) “indigenization was
seen by this plan as an instrument towards the long term objective of economic
independence”. Although the Second National Development Plan also attached importance
on agriculture, industry and the development of high level and intermediate level manpower,
the plan was beset with problems as in the first National Development Plan. Onah (2010)
alludes to this fact that “the high priority given to agriculture and industry was not matched
with action during the implementation of the plan”. One of the basic tenets of Second
National Development Plan is indigenization policy. Indigenization policy was carefully
designed to encourage Nigerians to participate fully in the commercial, industrial and financial
activities of the Nigerian economy. Several indigenization decrees were made to realize
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the objectives of this policy. It is a sad commentary that close to two years after enactment
of the first indigenization Decree (1972), out of about 950 affected enterprises, only 314
or 33 percent were confirmed as having fully complied with the provisions of the decree
(Onah, 2010). It should also be emphasized that despite indigenization policy, there were
over 16 multinational oil companies representating the United States, Dutch, Japanese,
British, Italian, German and French interest that have firm and massive grip on Nigeria’s
Petroleum till date (Koha, 1994). An interesting feature of the Second National Development
Plan was the objective of creating “a free and democratic society” that was being challenged
by the military government. This objective was put in place without considering any
discussion on political development in the plan document and any means of returning to
civilian rule. Despite the inadequacies of the plan, it witnessed achievements in the areas of
industry and agriculture. The industrial sector recorded more improvements. Many industries
in the war affected areas were rehabilitated, coupled with establishment of two salt factories
in Kaduna. Super phosphates project and two vehicle assembly plants were also
established. Other achievements included the establishment of colleges of technology and
trade centres by state governments and reconstruction of about 3000 kilometres of roads
(Egonmwan and Ibodje, 2001).
The Third National Development Plan (1975:1980): The Third National Development
Plan had a projected jumbo investment of N30 billion which was later increased to N43.3
billion. This represented ten times that of the Second Plan and about 15 times that of the
First Plan (Obi, 2006). The objectives of the plan were: increase in per capita income;
more even distribution of income; reduction in the level of unemployment; increase in the
supply of higher level manpower; diversification of the economy; balanced development
and indigenization of economic activities (Obi, 2006). The approach of the plan was to
utilize resources from oil to develop the productive capacity of the economy and thereby
permanently improve the standard of living of the people. Therefore, the plan was premised
on the need for the public factor to provide facilities for the poorer sections of the population
including electrification, water supplies, health services, urban housing and education
(Egonmwan and Ibodje, 2001).
The assessment of the plan showed it focused to give priority to projects and
programmes that would directly impact positively on the rural dwellers, but the meagre
allocations to agriculture and social development schemes did not indicate sincere intention
of the government to achieve the objective. According to Okigbo (1989) agriculture and
social development scheme (education, housing, health, welfare etc) that have direct bearing
on the living conditions of the rural population received only 5 per cent and 11.5 per cent
respectively of the financial allocations contained in the plan. It is appropriate to state here
that the meagre allocation to agriculture and social development schemes, which were
priority areas, indicated the “lack of focus of the planners to careful sifting of the criteria for
allotting principles” (Onah, 2010). In this context, nobody should expect the plan to achieve
the desired objective. Like other plans before it, the third plan did not really achieve its
set targets. Irrespective of the inadequacies of this plan, it witnessed achievements in some
areas. In the opinion of Okowa (1991), “in terms of achievement, the manufacturing sector
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recorded the fastest growth rate with an average of 18.1 per cent per annum. Some other
sectors that witnessed growth were building and construction and government services.
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(ADP) in most states was successfully completed, the commissioning of Egbim Power
Station, Dry Dock Project at snake Island, Lagos and the 87 telephone exchanges located
all over the federation which increased the number subscribers to telephone lines from
188,000 in 1981 to 297,000 in 1985 (Egonmwan and Ibodje, 2001).
The Fifth National Development Plan: Due to poor implementation of the Fourth
National Development Plan, a machinery was put in place for preparation of the Fifth
National Development Plan. In order to facilitate the exercise, a conference was held at
the University of Ibadan in November 1984 to deliberate on the appropriate mechanisms
for the Fifth National Development Plan. The conference suggested some measures which
formed the corner stone of the policies and strategies incorporated in the Fifth National
Development Plan. The objectives of the Fifth National Development Plan were:
(i) diversification of the nation’s economy away from the monocultural one to which it has
been pushed by the fortunes of the oil sector; (ii) revitalization of the agricultural sector
with a view to achieving thorough integrated rural development programmes; (iii) domestic
production of raw materials for local industries in order to reduce the importation of locally
manufactured goods and (iv) promotion of employment opportunities in order to arrest
the deteriorating mass unemployment (Onyenwigwe, 2009). The primary focus of the plan
was to correct the structural defects in the economy and create a more self-reliant economy
that would largely be regulated by market forces. The economy was therefore expected to
be restructured in favour of the production sector especially those of agriculture and
manufacturing (Onyenwigwe, 2009). More than ever; the linkage between the agricultural
and manufacturing sectors of the economy were to be emphasized during the plan (Ayo,
1988). The Fifth National Development Plan did not materialize. It was later incorporated
in the Structural Adjustment Programme (SAP). The two year SAP brought to an end the
five year planning model in Nigeria. The Federal government changed the two year model
to three year rolling plans.
The Perspective Plan and Rolling Plans (1990-1998): The Babangida government
had abandoned the previous fixed five year development plans and replaced it with two
types of national plans viz: perspective plan which will cover a period of 15-20 years that
will provide opportunity for a realistic long-term view of the problem of the country and
the rolling plan which will cover three years subject to review every year to ascertain
whether economy is progressing or not. The perspective plan which was to start from
1990 together with rolling plans did not take off until 1996 when Abacha set-up the Vision
2010 Committee. The main report of Vision 2010 submitted to Abacha government in
September 1997 among other things recommended that the vision should provide the
focus of all plans including long (perspective), medium (rolling) and annual plans (budgets)
(Adubi, 2002). Therefore, the Vision became the first perspective plan for the country
even though it failed to proceed beyond Abacha’s death in 1998. The three year rolling
plan became operational from 1990 with the introduction of the First National Rolling Plan
(1990-1992). The primary objective of the rolling plan was to afford the country the
opportunity of revision in the “midst of increasing socio-political and economic uncertainties”
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(Ikeanyibe (2009). But the preparation of medium term plans turned out to be a yearly
event and became almost indistinguishable from annual budgets. Rolling plans are being
prepared annually at all levels of government. At the end of about ten rolling plans from
1990 to 1999, Nigerians are not better of than they were during the years of fixed medium
term planning (Okojie, 2002).
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Vision 20:2020: Nigerian leaders under President Olusegun Obasanjo have added Vision
20:2020 to one of its endless search for appropriate development strategy. The objective
of the Vision 20:2020 is to make Nigeria one of the first 20 economics in the world by the
year 2020. To actualize this lofty dream, Nigeria’s GDP per capita must grow at an
incalculable rate (different from the present 0.8%) from US$ 752 to $30,000 at least and
the GDP of those countries (over US $29,000) Nigeria wishes to displace and/or join
must stop growing (now they grow at 2%) (Eneh, 2011). The rural areas in Nigeria must
be transformed from age-long poverty and misery centres to urban status of world standard.
Nigeria’s education, health, power, agriculture, manufacturing and other sectors must receive
such miraculous boasts that in 10 years time, the country will compare with high income
OECD nations in all development respect (Eneh, 20111). Nigeria must move from its
158th (2007) position in the UNDP human development ranking to the first 20 position in
the world. (Eneh, 2011). Nigeria’s Vision 20:2020 like other development plans and initiative
is nothing but a mere vision until it is realized. At present, Nigerians are beset with hunger
and starvation, dilapidated road network, poor power supply, underdeveloped rail system
and insecurity of lives and property. Is Vision 20:2020 attainable under the present state of
affairs? Based on the previous experience of the failures in Nigeria’s development plans
and initiatives the Vision 20:2020 is bound to fail.
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Lack of Commitment: Development plans are often prepared without consulting the
people, hence public apathy towards its implementation (Obi, 2006). Since the plan is
meant for the people, but they are not even aware of its existence or objectives, they do
not feel duty bound to contribute to its success (Obi, 2006). This has made many
development plans fail in Nigeria. It was an attempt to address this problem that made the
defunt Vision 2010 Committee to embark on series of publicity programmes, like seminars,
conferences and public enlightenment campaigns (Obi, 2006).
Absence of Relevant Data: Development planning depends basically on availability of
data. This is due to inadequacies of Federal Office of Statistics, the unwillingness of Nigerians
to reveal information and outright manipulation of data for pecuniary or other gains. A
striking example of the problem in Nigeria is that until today, nobody is sure about the
exact population of Nigeria. A country that does not know its population would definitely
not be in position to determine the other vital statistics necessary for planning life, birth
rate, death rate, number of those of school age and demographic changes in the population
which are essential for planning. (Ejumudo, 2013). The absence of reliable background
data has made the use of social indicators difficult and inadequate for plan preparation,
implementation and monitoring of national development (Ejumudo, 2013).
Over Ambitious Development Plans: National Development Plans are over ambitious
trying to achieve many objectives at the same time without considering the conflicting and
competing priorities. Again, they are often grandiose in design but vague on specific policies
needed to achieve stated objectives (Onah, 2010). In most cases, policy objectives are
contradictory.
Lack of Continuity of Government Programmes: Lack of continuity of government
programmes has retarded development plans in Nigeria. Most of the development
programmes are usually abandoned once the government that introduced them are out of
power. Government officials did not feel committed to the national plans of their
predecessors and subsequently sought to change by introducing major projects not
incorporated in the original plan or introducing new ones (Oladapo, 2004). This is the
reason for uncompleted projects in different parts of the country today. The situation is
worsened because of political instability to which the country has been subjected since
independence. Arguably, the frequent and unpredictable changes in the government
especially during the military regimes, created room for uncertainty and for the retardation
of development process articulated in various plans.
Public Service Inefficiency: Public service is an institution that is responsible to execute
development plans. It is worrisome that Nigerian public service is beset with many problems
which militate against its efforts in the implementation of development plans. Some of
these problems are: corruption, inadequate working materials, poor communication system,
red-tapism and political instability. It is imperative to address these problems to enhance
the capacity of Nigerian public service to serve as appropriate instrument for implementing
development plans in Nigeria.
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Public and Private Sector Partnership: There is poor collaboration between the public
and private sectors in development planning process in Nigeria. In fact, development
planning has largely followed bureaucratic process with little private sector participation
so much so that such efforts can be appropriately described as lacking in synergy (Ejumudo,
2013).
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