Soludo, Sanwo-Olu seek redirecting revenue to tackle infrastructure deficit

The Anambra Governor, Prof. Charles Soludo, has advised the Federal Government to deploy 90 percent of the savings from subsidies and liberalization for infrastructure and social development.

Soludo gave the advice at the Nigerian Academy of Engineering Annual Lecture with the theme “Financing Engineering Infrastructure,” held at the University of Lagos, Akoka, on Thursday.

Soludo, a former Central Bank Governor of Nigeria, also urged the government to invest eight to 10 percent of Gross Domestic Product in public infrastructure per year for the next 10 years to meet public needs.

The governor explained that this would help in the provision of infrastructure, which was germane to the wellbeing of the citizens and the development of the country.

Soludo disclosed, among other issues, that in spite of alternative financing initiatives, infrastructure needs and provision in Nigeria continued to widen due to the rate of population growth and urbanization.

He also tasked the Federal Government with collaborating with state governments in order to succeed in infrastructure provision.

“For the federal government to succeed in infrastructure provision, it is necessary to collaborate with state governments that understand the highest priority of their needs.

“For example, in the area of road infrastructure provision, the state governments are in the best position to know the alignment of roads from one end to the other.

“Thus, it is imperative that such projects require joint collaboration for successful and functional execution”, he explained.

Similarly, Gov. Babajide Sanwo-Olu of Lagos State also stated that bridging the gap in the engineering infrastructure through proper funding would have a direct and indirect impact on a number of other sectors of the economy, especially in the area of revenue generation.

The governor, who was represented by his deputy, Dr. Obafemi Hamzat, emphasized that collaboration and partnership among all stakeholders remained a key strategy the government must adopt and explore to achieve its goals.

“In the face of dwindling economic fortunes, especially in the area of revenue generation, it becomes absolutely imperative for the government to apply innovative and creative strategies to bridge the financing gap being experienced in the country, as the government alone cannot provide all the solutions.”

Sanwo-Olu, therefore, recommended that knowledge of engineering was key to the attainment of the industrialization goal of any country.

He stated that due to the increasing role technology has played in advancing economic growth, development, and prosperity in the 21st century, it has become imperative that the government place more emphasis on the acquisition of the required knowledge and skills.

“Also, there is a need to provide the necessary support for professionals in the engineering sector and other science and technology-related sectors.

“This will help in channeling their knowledge and expertise towards developing sustainable solutions to our local challenges,” he said.