THE ROLE OF INTERNATIONAL MONETARY FUND IN ECONOMIC RECOVERY PROGRAMMES IN NIGERIA: THE CASE OFPRIVATIZATION, 1999 – 2006

THE ROLE OF INTERNATIONAL MONETARY FUND IN ECONOMIC RECOVERY PROGRAMMES IN NIGERIA: THE CASE OFPRIVATIZATION, 1999 – 2006

Abstract:

This study, “The Role of International Monetary Fund in Economic Recovery Programmes in Nigeria: The Case of Privatization, 1999 – 2006”, examines the problems of economic development in Nigeria, vis-à-vis the economic recovery strategies prescribed by the International MonetaryFund (I.M.F.). The study focuses attention on Nigeria, drawing references and inferences from similar third world countries only for the purposes of expatriation. The study was prompted by the too much emphasis on the I.M.F. economic recovery policies especially privatization commenced in earnest and the tempo had been on the increase and heightened during the Obasanjo administration (1999 – 2006). The study’s aim was to actually investigate the efficiency or relevance of the economic recovery policies. The study also had the aim of making recommendations as alternative approach to the resolution of Nigeria’s economic problems. The problematic is the issue of economic underdevelopment that has persisted in spite of the feverish implementation of the economic recovery policies as prescribed by the I.M.F. The methodology adopted is the interview process with cross sections of the enlightened segments of the society and the dramatic personae in the whole process of implementation of the I.M.F. policies especially privatization. Content analysis was also used. The theoretical framework adopted was the underdevelopment and dependency theory (UDT), a derivative of the structuralist Marxist framework of analysis. The study found out that contrary to the claims that I.M.F. policies and privatization in particular would stimulate performance of the critical sectors of the economy and promote overall economic development, the reverse is the case. Most of the privatized enterprises have collapsed while the general economic situation in Nigeria and living standard of Nigerians has been on the decline. Corruption, infrastructure decay, unemployment, poverty, crime and general decline of the nation’s development index have been the consequences of these exogenous economic policies in Nigeria and in the other similar third world countries. The study therefore dismisses the privatization exercise adopted by the Obasanjo administration and other I.M.F. economic reform policies as a rip off of the Nigerian people and other such countries. The study also found out that the economic crises even worsened with the introduction of the I.M.F. policies instead of solving the crisis. The research concluded with recommendations of a homegrown strategy for the resolution of the economic problems and general socioeconomic backwardness in the country.

THE ROLE OF INTERNATIONAL MONETARY FUND IN ECONOMIC RECOVERY PROGRAMMES IN NIGERIA: THE CASE OFPRIVATIZATION, 1999 – 2006

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