Roadblock to Progress

Over the past decade, Nigeria allocated ₦27.82 trillion to infrastructure development, with allocations of ₦1.24 trillion in 2023 and ₦1.32 trillion in 2024. Despite these relatively substantial financial investments, which are akin to the GDP of neighbouring Guinea Bissau, Nigeria ranks 114th among 140 countries in the Global Competitive Index 2022, with its infrastructural facilities scoring a meagre 48.33 out of a possible 100 points—a shortfall exceeding 50 per cent. The tale of unfulfilled promises and unrealised projects is familiar, with successive administrations discussing and presenting grand plans for large-scale infrastructure initiatives. Yet, practical implementation remains elusive. The International Trade Office of the US Department of Commerce highlights Nigeria’s infrastructure deficit at 30 per cent of its GDP—significantly below the World Bank’s international benchmark of 70 per cent.

With its natural resources, rapid urbanisation, and a youthful demographic, Nigeria has scarcely transformed these advantages into robust infrastructure development. These inadequacies can be attributed to various factors such as corruption, inflation, economic downturns and mismanagement.

Corruption, deeply rooted and institutionalised, constrains the nation’s capacity to harness its resources effectively, manifesting through the diversion of funds, awarding contracts without merit and overlooking substandard structures. Transparency International’s 2019 Corrupt Practices Index places Nigeria 146^th out of 180 nations, and although the government has tried to combat corruption over the years, more work must be done.

Historically, the infrastructural landscape in Nigeria is marred by limited continuation and abandonment of development initiatives at various levels of government, exacerbated by various political interests. The lack of a maintenance culture further compounds the problem, leaving structures like the once-applauded Tinapa Resort in Cross Rivers State in a state of decline. Despite the never-ending traffic jams on the highways across the country, little progress has been made in the rail and water transport systems. Recently, the government has prioritised investments in the rail sector, with various rail projects in progress across the country. Developing these transportation alternatives will lessen traffic congestion, speed up and simplify the transportation of people and goods—especially those from rural areas—reduce manufacturing costs, and increase government revenue.

Notably, the future trajectory of Nigeria’s infrastructural advancements faces peril from high inflation rates, naira depreciation, and plummeting oil prices. A study by Edun Olufemi et al. establishes a direct correlation between oil market volatility, infrastructure mismanagement, and ensuing economic downturns. This neglect reverberates across power supplies, road networks, aviation, trains, and various housing, health, education, and transportation projects, impacting the nation’s competitiveness and foreign direct investment (FDI). Edun et al. contend that a substantial decline in foreign direct investment (FDI) within the nation is attributed to inadequate infrastructure investment, as most investors favour countries with strong infrastructure. Despite the nation’s economic growth, it has not yet achieved economic development, underscoring the concern that insufficient investment in infrastructure may lead to economic growth without corresponding overall economic advancement.

To arrest this stagnant infrastructural development, Nigerian leaders must demonstrate resolute patriotic leadership. Upholding good governance, safeguarding public infrastructure, and enforcing stringent oversight on projects are imperative. Attention to merit-based project allocation, realistic deadlines, and the revival or trimming of neglected initiatives are essential strategies. The ongoing battle against corruption and eliminating wasteful expenditures are vital components of this comprehensive approach.

Recognising the substantial infrastructural potential in the Nigerian market, collaboration between the public and private sectors is imperative. Coordinated fiscal, monetary, and regulatory policies aligned with overarching developmental goals are essential to attract domestic and foreign investors. The potential role of Public-Private Partnerships (PPPs) is underscored, requiring accessible credit facilities with low-interest rates to stimulate private sector involvement. The government’s adoption of a hybrid model, involving financial commitments and strategic development of residential estates, is proposed to enhance project viability and appeal to private sector investors.

Additionally, organisations such as Tracka currently engage in infrastructure tracking, cultivating a culture of public accountability and contributing significantly to the overall achievement of government initiatives. To further enhance this role, CSOs can focus on refining and expanding existing initiatives. By conducting more effective workshops and seminars and providing improved educational materials, CSOs can elevate citizens’ understanding of project management, budgetary considerations, and the broader infrastructure development process. Furthermore, CSOs can also facilitate the formation of citizen-led monitoring groups, endowing local communities with the capability to oversee government projects. By exploiting technology and social media platforms, citizens can be incentivised to report anomalies, disseminate information, and collaborate on monitoring endeavours, thereby cultivating transparency and holding government officials accountable for project implementation. This multifaceted strategy will arguably contribute towards Nigeria’s infrastructural and eventual economic growth.

The significance of Nigeria’s infrastructure development cannot be overstated, as it plays a crucial role in industrialisation, economic empowerment, and the stabilisation of the naira. Transforming Nigeria’s widely discussed economic potential into tangible outcomes remains achievable. This requires adopting a realistic medium- to long-term perspective on the substantial benefits of infrastructure investments for all major stakeholders. Exploring innovative collaborations with government agencies, private sponsors, companies, and other nations, as well as an investor-ready environment, is imperative to achieve Nigeria’s infrastructural needs.