Tinubu’s Tax Policies Is A Plan For South-West Development Strategy – Prof. Usman Yusuf (Part 2)

By Wisdom Tide
November 9, 2024

Nigeria's International Reputation at Risk Due to Minors’ Arraignment

The international community has closely observed recent events involving the trial of minors in Nigeria. Prof. Usman Yusuf highlights that the country, a signatory to international treaties safeguarding children’s rights, is under global scrutiny. Journalists from the United States and Australia reached out to him for comment even before he had seen footage of the minors' treatment. This incident, Prof. Yusuf argues, has left a dent on Nigeria’s global image, with former South African President Nelson Mandela’s words echoing loudly: “There can be no keener revelation of a society’s soul than the way in which it treats its children.”

Unbearable Hardships under President Tinubu’s Administration

When asked to assess the administration’s performance 18 months after inauguration, Prof. Yusuf didn’t hesitate to state that Nigerians, especially the vulnerable, are enduring intense hardships. The removal of the fuel subsidy and the naira float, he says, was adopted hastily under the guidance of the World Bank’s recommendations, ignoring Nigeria’s dependency on imports. According to Prof. Yusuf, these economic policies, executed without adequate safety nets, have spurred unprecedented inflation levels, driving food prices and healthcare costs to new highs. The consequences have been severe: more people are forgoing life-saving medications, while public hospitals struggle with a mass exodus of healthcare professionals to nations like the UK and Canada.

Government's Reforms: Fruitful or Out of Touch?

Despite government claims of positive outcomes from economic reforms, Prof. Yusuf remains skeptical, contending that such assertions are out of touch with Nigeria's realities. Hunger, frustration, and concerns of possible unrest pervade society, he warns. This disparity between government optimism and the public's experience, he argues, reflects a critical disconnect, where even basic survival has become challenging for many Nigerians.

Leaders' Extravagance Amid National Hardships

As calls for sacrifice and patience resonate from the government, Nigerians are increasingly critical of their leaders' lavish lifestyles. The acquisition of a new presidential jet, luxurious convoys, and opulent lifestyles among members of the National Assembly stand in stark contrast to the daily struggles of average citizens. Prof. Yusuf criticizes this “do as I say, not as I do” approach, noting that patriotic leadership demands example-setting, especially in times of national challenges. He deems the insensitivity displayed by the leadership as deeply disconnected from the people’s suffering, a factor that could further erode public trust.

Northern Rejection of the Tax Reform Bill

A recent Northern Governors’ meeting in Kaduna revealed strong opposition to the Tax Reform Bill sent by President Tinubu to the House of Representatives. This bill proposes that Value Added Tax (VAT) should be redistributed more favorably to states where it is collected. Prof. Yusuf argues that such a move would disproportionately benefit states like Lagos, where major corporations are headquartered, but whose operations span multiple states.

Using the example of Dangote Cement, which is manufactured in Kogi but remits VAT to Lagos, he highlights the inequity embedded in the proposed reform. He believes VAT, as a consumption tax, should be distributed to the states where consumption and operational impact occur rather than funneled to headquarters locations, thus ensuring fairness. Furthermore, he observes that while the rest of Nigeria has not demanded a share of the commonwealth investments that have built Lagos’ infrastructure, Tinubu’s policies appear skewed toward concentrating federal resources in the South-West, especially Lagos.

The Threat of Regional Favoritism and National Unity

Prof. Yusuf voices deep concerns over the broader implications of Tinubu’s policies and the regional imbalance they represent. He criticizes the president’s appointments, which he views as favoring individuals from the South-West, particularly in high-revenue ministries, departments, and agencies. This perceived regional favoritism, according to him, not only threatens Nigeria’s unity but poses an “existential risk” by marginalizing other parts of the country. Prof. Yusuf suggests that the administration’s approach to governance risks creating rifts that could destabilize national cohesion.

On Calls for Regional Autonomy: A Regressive Step?

Responding to rising calls for regional autonomy, Prof. Yusuf expresses strong reservations. He considers these demands a step backward, made by politicians who ignore the future in favor of past structures. While Nigeria’s regional governance thrived under patriotic leaders of yesteryears, he argues, today’s politicians lack the same commitment to public service and ethical standards. Prof. Yusuf believes that rather than clamoring for autonomy, the focus should be on developing a unified, progressive Nigeria guided by responsible and inclusive leadership.

Prof. Usman Yusuf offers a sobering critique of Tinubu’s economic and governance approach, cautioning that Nigeria’s path forward requires equity, sensitivity to public hardship, and true national unity