By Obike Ukoh
Unemployment and poverty have remained among Nigeria’s major problems. For unemployment, the problem is worsened yearly as the country’s tertiary institutions turn out graduates, who join the already saturated labour market.
The reality is that every job seeker can no longer be guaranteed a paid job, but every citizen is entitled to decent living, which in developed countries, is regarded as fundamental human right.
Undoubtedly, the surest way to guarantee jobs, boost the economy, create wealth and escape from poverty is entrepreneurship.
J.A. Schumpeter, in the book, “The Theory of Economic Development,’’ described entrepreneurship as a process of change, where innovation is the most vital function of the entrepreneur.
He opined that it is a basic requirement for economic development in free enterprise or mixed economy, where innovation is the basis of development.
Mr Reuben Abraham, in a special article for CNN, titled: “Entrepreneurship, key to escaping poverty,” said China lifted millions of its citizens out of poverty through entrepreneurship.
“China has pulled approximately 600 million people out of abject poverty since Deng Xiaoping unleashed market reforms in the late 1970s.
“Never in human history have so many people been pulled out of grinding poverty in such a short span of time.
“Similarly, South Korea has gone from a per capital income of 291 dollars in 1970 to 20,000 dollars today. Even reform laggards like India have managed to pull a couple of hundred million people out of grinding poverty since economic reforms were initiated.’’
He said that across the world, countries that created an entrepreneurship and business-friendly environment were successful in reducing poverty drastically.
“One can only redistribute wealth, and to redistribute it, you have to create the wealth first. And the only agent of society that can create wealth is entrepreneurship.
“Clearly then, more needs to be done to promote entrepreneurship as an agent of economic development,’’ he added.
Craig and Marc Kielburger, co-founders of International Charity and Educational Partner, Free the Children, also stressed the importance of entrepreneurship.
“Entrepreneurship is a key player in ending global poverty by reversing the cycle of dependency with a cycle of self-sufficiency and employment.
“Entrepreneurs build economies. Charity can help people grab the first rung of the development ladder, but only their own enterprise will allow them to climb the rest of the way.
“Entrepreneurs are motivated and able to innovate, devising new ways to farm, provide basic goods and services, and solve social problems,’’ they said.
A Professor of Management Science, Prof. Ifeoma Nwoye also underscored the importance of entrepreneurship and urged government at all levels to implement poverty alleviation solutions that can foster and stimulate the entrepreneurial spirit in poverty-stricken areas of Nigeria.
Nwoye spoke in 2018 when she delivered the 10th Inaugural Lecture of Ibrahim Badamosi Babangida University, Lapai, Niger, with the title, ”That Evil Called Poverty: Entrepreneurial Escape to Comfort Zone.’’
She said that if the government wanted to offer resource-assistance to the poor, “ the leaders should do so not through handouts.’’
Nwoye said instead of handouts, the poor should be empowered through boosting of programmes to be “handled by the poor themselves and non-governmental organisations and through programmes with features of sustainability’’.
She said charity and almsgiving played good roles in efforts to help the poor,” but the goal for even charitable organisation should be to help the poor move beyond dependency.
“No person ever became wealthy or self-sufficient through handouts,’’ Nwoye pointed out.
She stressed that “only entrepreneurial intervention with its scalable nature can pull the poor from the war zone unto the voyage to comfort zone and ensure sustainable quality life.’’
The professor said civil servants should not be involved in poverty alleviation programmes but, “ should focus on policies for creating positive climate for business and creativity.’’
Nwoye listed previous poverty alleviation programmes carried out by the government in Nigeria and noted that, “ in all the attempted programmes, no administration ever mentioned the statistics of the poor they were trying to help.’’
She decried the alarming rate of poverty in Nigeria and noted that as the, “ population increases, the poverty level is also multiplying in spite of the country’s natural resources.’’
As suggested by Nwoye, that civil servants should not be directly involved in poverty eradication programme, the Edo State Government recently entered into a strategic partnership with the National Directorate of Employment (NDE) to drive youth empowerment and entrepreneurship through business mentorship and practical skills training.
The partnership, being handled by the Coordinator, Office of the First Lady, Mrs Edesili Okpebholo Anani, aims to support Edo Government’s vision of building productive economy by raising new generation of self-reliant entrepreneurs.
Speaking during an engagement with NDE officials at the Government House,
Benin, Mrs. Anani underscored the centrality of small businesses, and described entrepreneurship as the bedrock of economic transformation.
“Small-scale businesses drive the economy because they begin at the grassroots, where money circulates fastest. With more locals involved in these businesses, Edo’s Internally Generated Revenue (IGR) will rise significantly and contribute to national growth,” she said.
Mrs. Anani also commended NDE’s Graduate Attachment Programme, which she said bridges the gap between education and employment by giving graduates practical experience.
She stressed the importance of empowering women, as they play a crucial role in shaping the economy and families.
Citing the “From Farm to Table” programme, she noted the initiative has helped women embrace backyard farming, supported with tools and seeds, and incentivized with a ₦1 million prize for the best home farm.
NDE State Coordinator, Mr. James Ikanoba, who spoke, said job creation efforts must extend beyond white-collar jobs, emphasizing the role of artisans and informal sector workers in driving national productivity.
He said that countries like China and Singapore succeeded by investing in small businesses and vocational skills, a model Edo State is adopting through its new collaboration
The Edo-like partnership with NDE, is indeed widely embraced, especially in Southern Nigeria.
The Igbo apprenticeship system is in fact, an integral part of the NDE entrepreneurship strategy.
Mrs Stella Chukwu-Ekezie, NDE Coordinator in Ebonyi, who spoke on the imperative of entrepreneurship to escape from poverty and check unemployment, stressed that the apprenticeship system is practiced in most parts of the country.
According to her, the apprenticeship system is a mutually beneficial arrangement between a master (business owner) and an apprentice.
“The apprentice works under the master for a set period, often between three or more years, in exchange for food, shelter, and hands-on training.
“At the end of the apprenticeship, the apprentice is typically given start-up capital to begin their own business, with many going on to become successful entrepreneurs themselves.’’
She, however, said there was need to modernize the system.
“A situation where the apprentices are used and dumped after spending years in training is condemnable.
“This is because there are no formal agreements or legal backing.”
“The Federal Government, through the NDE, has been in the system, but in more advanced ways.
”NDE’s system is one of the government’s policies to reduce unemployment and generate jobs.
“I get annoyed when I hear that an apprentice spent years with a business owner and such a person will not be given a starter pack to begin his or her business.
“NDE has raised so many entrepreneurs in different skills through our incubators and masters’ trainers; we have number of periods for training ranging from one month to one year.”
“This model is not only applicable to Igbos; the Yoruba people and Benin in Edo have their own model; they venture into mechanics, repairs, among others.
“The Igbos are mainly into learning trading, in major markets across the country, she stressed.
Unarguably, and with global record and evidence, entrepreneurship holds the key to economic development and transformation.
Governments at all levels should key into and partner with competent agencies, as Edo State did with NDE, to transport their citizen from the worrisome zone of poverty to the comfort zone of economic prosperity.
Obike Ukoh, former Deputy Editor-In-Chief, News Agency of Nigeria(NAN)
