ECONOMIC REFORM MEASURES IN NIGERIA

JSS 3 Social Studies Second Term 

WEEK 5

DATE ____________________

TOPIC:ECONOMIC REFORM MEASURES IN NIGERIA

CONTENT:

1. Meaning of Economic Measures and Its Varieties in Nigeria:

privatization, commercialization, deregulation.

2. Causes for the financial measures

Sub-Topic 1:

Which means of Financial and its Sorts in Nigeria: Privatization,

Commercialization and Deregulation.

Definition of economic reforms.

Economic reforms might be outlined as authorities insurance policies geared in direction of reaching financial effectivity and improvement by elimination of rules and statutory obstacles or impediments.

The purpose of privatization is to carry personal entrepreneur to be concerned within the operating of public enterprises with the intention to generate extra funds for presidency companies and revive the economic system.

Types of economic reform measures in Nigeria.

Privatisation – that is the switch of possession and sources of enterprise from the general public sector ( authorities) to the personal sector. It will also be outlined as gross sales or contracting out of public utilities to personal considerations.

Privatization is available in three kinds particularly:(i) share concern privatization (SIP) – that is shares promoting on the inventory market. (ii) voucher privatization (VP) – distribution of shares possession to all residents,often free or at low worth. (Iii) asset sale privatization (ASP) –promoting the complete agency or a part of it to a strategic investor by public sale.

Commercialization– This entails working authorities owned enterprises as revenue making enterprise/ enterprise with none subvention or help from the federal government.

The commercialized public enterprise is inspired to function to make revenue and maintain their operations: in each type of commercialization be it partial or full commercialization, the enterprise concerned will get pleasure from freedom of operation as a profit-making enterprise.

Deregulation – merely put, deregulation is the elimination of sure governmental management over a sector of the economic system with the intention to encourage free market. It’s the elimination or discount of presidency management over a sector of the economic system with the intention to enable as many individuals as attainable to take part within the operating of the sector involved.

Evaluation

1. What’s financial reform?
2. Point out three kinds of financial reform measures in Nigeria.
3. Outline the next phrases: privatization, commercialization and deregulation

Sub-Topic 2: Causes for Privatization, Commercialization, Deregulation.

Previous to the latest reforms, Nigerian public sector was underneath performing and imposed a big monetary drain on the treasury,: few concrete profit, excessive value of administration, poor administration , hidden and overt corruption, repeated losses throughout the public sector plagued the sector. Privatization of those state- owned companies and deregulation of presidency activitiesin some sectors, was subsequently required to:

1. enhance the effectivity and productiveness of the government- owned enterprises concerned
2. get personal entrepreneurs concerned within the actions of a government- owned enterprise / enterprise with the intention to get extra fund to run authorities enterprise.
3. stabilize the Nigerian economic system
4. present a platform for sustained financial diversification and non- oil development
5. Curb corruption
6. scale back the monetary value of administration on the federal authorities
7. evolve a extra result- oriented and accountable administration
8. revive the unstable economic system of the nation
9. take away bureaucratic bottlenecks and political interference.

Evaluation:

Point out 5 causes for financial reform measures in Nigeria.

Weekend Task:

1. The switch of possession of a enterprise from the general public sector to the personal sector is called _________
2. relinquishment ( b) personal enterprise (c) privatization (d) commercialization.
3. Causes for financial reform measures in Nigeria embrace all however one in every of these
4. To extend productiveness and availability of products (b) to advertise environment friendly administration of the enterprises. (c) to encourage corruption (d) to take away bureaucratic bottlenecks and political interference.
5. __________ entails working authorities owned enterprises as a profit-making enterprise. (a) commercialization(b) commensalism (c) cooperation (d) deregulation.
6. the 2 types of commercialization are __________and __________a) privatization and deregulation(b) partial and full commercialization(c) capital and present commercialization(d) authorities owned commercialization.
7. deregulation is ____________(a) elimination/ discount of presidency management over a sector of the economic system.(b) elimination of tax and excise duties(c) elimination of the federal government from nationwide energy(d) eradication of legal guidelines towards fraud.