Sanwo-Olu: Export Diversification, Value Addition Only Ways to Economic Recovery

*Says Lagos targeting brand new airport, 4th mainland bridgeSegun James and Oluchi Chibuzor

Lagos State Governor, Mr. Babajide Sanwo-Olu, has said the only way to Nigeria’s economic recovery was to urgently and vigorously engage in value addition of its non-oil export of natural resources and its diversification.
This he said was necessary as the nation grappled with the macroeconomic reforms shaping her future, insisting export diversification has never been more critical.
He stated this while delivering the 36th Yaba College of Technology (Yabatech) convocation lecture titled:‘Developing Export Alternative for Nigeria’s Economic Recovery’, yesterday.
He said one of the most important things the country could do as a people and nation was to increase the focus on export capacity and potential.
According to him, it was clear, and has been for decades, that diversifying the country’s export base from oil and gas was an urgent imperative for a country that was serious about growing its economy and lifting tens of millions of its people out of poverty.
“The theme of this lecture, Developing Export Alternatives for Nigeria’s Economic Recovery, is as urgent as it is pertinent. As we grapple with the macroeconomic reforms shaping our nation’s future, the question of export diversification has never been more critical.
“There is no doubt that Nigeria has the potential to be one of the richest and most prosperous countries in the world. We are blessed with the human and natural resources to make this happen.
“But for a long time we have grossly underperformed this potential, and there is national consensus that enough is enough – we need to rise up and convert all of our potential into reality.
“Nigeria has often been spoken and written of as a classic case of the Dutch disease. Our exports have dropped dramatically over the decades.
“From a country that was once known globally for its exports of agricultural products like groundnut, cotton, cocoa and oil palm, we have since become better known for our near-absolute dependence on food imports.”
On the impact of over dependence on oil and gas as the sole foreign exchange earning, Sanwo-Olu said even the nation has not been spared from mismanagement and its resultant negative effects.
 “The volatility of our foreign exchange earnings has had a negative impact on currency stability, while also complicating other problems, like inflation.
“It is clear, and has been for decades, that diversifying our export base from oil and gas is an urgent imperative for a country that is serious about growing its economy and lifting tens of millions of its people out of poverty.

“It has been urgent for decades, in fact. And yet somehow, we have carried on as if all has been well, and as if we might somehow be able to magically achieve economic growth and prosperity without laying the right foundations.”