We must not confuse frugality with lack of big ideas, By Seun Onigbinde

In hindsight, the lack of care around macroeconomic fundamentals in the last eight years is why savings or investment in Naira hardly makes sense. If currency is losing immense value and inflation is destroying what’s left, an investment over the years in the comparative terms feels like a lost value.

It’s very important to interrogate this as we bring new public officers on board. If you choose not to fix that road, build that school or invest in a business that can generate employment opportunities, you are losing the time value of money. Just imagine what it would have cost to build 4th Mainland Bridge 8 years ago is not the same amount today. When you are liquid, it’s best to ask, how does this expand revenues over the years? This is why Sovereign Wealth Fund makes sense. You will notice that funds are not fully kept in Naira and investments are made for generating further returns.

I like Peter Obi’s genuine spartan lifestyle. A small clue is how he chose not to write himself bogus pensions and outsized benefits while leaving office. He has also made significant positions to explain that public office is a trust and resources must be efficiently managed. In any decent country, you don’t go into public service and get richer or own unquestionable wealth. That’s just plain corruption that usually comes from peddling influence for private gain or outright stealing.

I recently read Waziri Adio’s book and it made me understand that in the midst of the sheer waste in public service, the right thing can be done. His ilk didn’t even get national honour. What a shame.

However, while I agree with the culture of frugality, it must not be confused with not having big ideas. I still feel Peter could have used those funds to unleash big thinking for his state. It could have been free medical programs at primary health levels, investment in SMEs, a manufacturing hub with IPP or even a tourist attraction. Just look at how gas pipelines around Ogun has expanded industrial outlay impacting its IGR.

Anything that can generate increased long-term revenues for the state is welcome. I am saying this because I have seen this theme resonate from Yar’adua to Peter Obi. I am also not asking for wishful thinking like those that crippled Cross River with Tinapa or Delta under Uduaghan and Osun under Aregbesola’s huge borrowings. We just need balance.

An example is the opening of the Ibeju-Lekki corridor that would unleash jobs, industries and increased revenues for states. We earnestly need frugality in management of public funds but we need big thinkers too. I have not chosen any side in this piece but asking you to know that we can process two ideas at the same time: frugality in public service and big ideas to accelerate value.

May Nigerians choose wisely in 2023.

-Onigbinde is founder of Budgit, a CivicTech promoting transparency and accountability in public sector