AKWA IBOM STATE GOOD GOVERNANCE AND UNEMPLOYMENT.

One of the major socio-economic and political problems of the developing countries, like Nigeria is unemployment. It is for this reason that governments at all levels in Nigeria and many other countries are developing well-articulated policies and institutional frameworks for full employment. In the present dispensation, employment generation is considered a key developmental goal in the Akwa Ibom State.

At the international level, employment generation and poverty reduction is one of the eight Millennium Development Goals (MDGs) of the United Nations. In the same vein, the New Partnership for African Development (NEPAD) has stated that generation of employment opportunities is one of its cardinal objectives. In line with the developmental goals of the international organisations, the goals of the National Economic Empowerment Strategy and Development (NEEDS) include generation of employment opportunities. To drive home the point, the Akwa Ibom State Economic Empowerment and Development Strategy (AK-SEEDS) emphasises job creation as one of the major developmental objectives of the government. The importance attached to reduction in the level of unemployment at the local, state and federal levels of government emphasizes the need for a concerted effort towards creation of more jobs to ensure socio-economic development. This paper, therefore, has discussed some of the efforts, and examined the various programmes that the Akwa Ibom State Government has adopted in the pursuit of reducing unemployment in the State. 

The Paper went further to reiterate the policy thrust of the State Government, which is, to promote a vibrant private sector driven economy. This is meant to generate full employment opportunities to all categories of people in the State.

This policy objective of government is achieved through various proactive programmes, and the paper has analysed them in five broad perspectives, namely:

· Economic Empowering Programme,

· Provisions of Enabling Environment for Private Sector Growth,

· Development of Micro-Small and Medium Enterprises,

· Development of the Informal Sector, and

· Promotion of Indigenous Creativity, Innovations and Technological Breakthroughs.

Let us now discuss each of these government interventions for employment generation.

GOVERNMENT PROGRAMMES 

1) Economic Empowerment Programme 

The State Government (during the tenure of Obong Victor Attah) made efforts to encourage indigenes to use their creative energies for productive ventures, and provided the enablement in form of training and finance. This eventually promoted entrepreneurship development in State and reduced unemployment level by 30 percent to 3.03 million in 2006. (This figure is, however, contradictory to that of Table 1-2) the empowerment programmes were achieved through the following activity centres.

Poverty Alleviation Programme Capital

A Life Enhancement Agency was established to work towards poverty reduction by creating employment opportunities, promoting entrepreneurship and sharpening of skills of the unemployed persons. 

The Agency is vigorously pursuing its objectives through the:

- Equipment support programme,

- Agricultural input distribution,

- Assistance to disaster victims,

- Skills development training(specialised) for self

 employment,

- Loans to skill development graduate trainees, and 

- Building and equipping of skill development centres.

Akwa Ibom State Stadium

Micro-Credit Programme

Government instituted the Akwa Ibom State Micro-Credit Programme to enhance the productive capacity of the people through the provision of finance to the following groups of persons:

- Co-operative micro-credit scheme,

- Church fellowship micro-credit scheme,

- Akpan Andem Market micro-credit scheme,

- Agriculture micro-credit scheme,

- Small scale industrialists micro-credit scheme, and 

- Akwa Ibom Traders Association micro-credit scheme.

The programme and groups are coordinated by an International Committee with its Secretariat in the Ministry of Finance, Uyo, Akwa Ibom State.

Integrated Farmers Scheme

This has been a successful youth empowerment programme in the State where young school leavers and graduates are trained in farming technique and basic principles of business management. At the end of the training, participants are given loans based on their feasibility studies to establish various agricultural enterprises. The scheme has succeeded in boosting agricultural production, as well as, creating employment opportunities for the youths and other unemployed persons in the State.

Urban Taxi Scheme

The scheme provided motor vehicles for intra-city transportation in Uyo metropolis. The scheme is administered through loan under the aegis of Awka Ibom Savings and Loans Limited. It is aimed at reducing commuter's problems and providing employment opportunities. The number of beneficiaries as at April 30, 2006 were 62 persons. 

Skills Acquisition Centres

The State Government has put in place an intervention programme where skill acquisition centres have been opened in all the Local Government Headquarters to train young men and women in Fashion Designing in the Akpan Andem Entrepreneurship Village. It is on record that through the centres, 1,250 youths have been trained for gainful employment.

2) Creation Of An Enabling Environment For Private Sector Growth

The State Government, in its commitment to promote a virile private sector capable of absorbing a good number of the unemployed persons, has undertaken to create a conducive environment for private sector businesses to thrive. This is evident in the provision of infrastructure in the urban and rural areas, as well as, embarking on long-term projects and programmes, namely:

- Massive urban and rural road construction and rehabilitation,

- Rural electrification projects,

- Urban and rural water supply projects,

- Investment in the telecommunication industry, i.e. V-Mobile,

- Development of Industrial Estate and Park at Eket Itam,

- The Independent Power Plant (IPP) project, and

- The Oil and Gas Industrial Processing Zone project at Ibaka.

The International Airport project and the Ibaka Oil and Gas Industrial Processing and Trade Zone are two important projects which when completed and put to full use will make Akwa Ibom a hub of commercial and industrial activities at the local, national and international levels. The two projects are capable of providing more job opportunities than the public sector through related businesses, service provision and in the downstream sector of the oil and gas industry. This will be more feasible considering the local content policy of the Nigerian National Petroleum Corporation (NNPC).

3) Development Of Micro, Small And Medium Enterprises (MSMEs) Capital

The UNDP has found that in developed economies, the Micro, Small and Medium Enterprises (MSMEs) Sector has provided most, if not all, of the new jobs created over the last two decades. The small-scale enterprises occupy important place in the following areas:

- Facilitating the development of the rural areas,

- Provision of avenues for the utilisation of local raw materials,

- Promotion of industrial linkages, and 

- Acquisition of simple technologies.

More than any other thing, the development of small enterprise has remained a major programme for the creation of employment opportunities. It is for this reason that Akwa Ibom State Government is committed to promoting the MSME Sector through several programmes domiciled in the Ministry of Commerce and Industry. Some of the specific programmes implemented by the Ministry, include:

SME Cluster Programme

SME Cluster is a sectoral grouping of enterprises engaged in related businesses along their values and supply chains. The cluster programme is aimed at fostering forward, backwards and horizontal linkages for increase productivity, both in quality and quantity. It also enhances the competitiveness of the SME products in the international market. In this regard, the Akwa Ibom State Government, in collaboration with the United Nations' Development Programme (UNDP), has undertaken a number of activities to promote the development of SME cluster in the State. Some of these include:

- Baseline survey of the 31 Local Government Areas of the state for the formation of industrial clusters,

- Conducting chain studies of eight (8) identified clusters, namely: palm produce, cassava, fish and seafood, raffia,  cane, tool and machine fabricators, Fadama and processors of local spices, and timber and woodwork clusters,

- Training of the first batch of 60 graduates in the Clothes and Shirt cluster in the sewing of shirts for export. Funds have been approved for the implementation of the cluster pilot project.

- Training of the first batch of 30 SMEs in the raffia cluster for the production of bags, shoes, lawyers wig and car seat covers using raffia fibres. The next batch of trainees will soon be selected to produce products that meet the target for export.

MSME Financing

In an effort to complement the micro-credit programme of government, the Ministry of Commerce and Industry has been considering alternative sources of funds for investment in the MSME Sector. Some of the efforts, include:

- In collaboration with UNDP, the State Government has appointed a Consultant to package SME projects in the State and to follow-up on the viable ones to ensure draw down of the Small and Medium Enterprises Equity Investment Scheme(SMEEIS),

- The Ministry is also assisting qualified MSMEs to access the SME micro-credit facility offered by the Nigerian Agricultural  Cooperative and Rural Development Bank(NACRDB),

- Negotiations are underway to enable viable MSME projects benefit from the equipment financing project and the one-community-one-project initiative of the Bank of Industry(BOI).

The overall objectives of these programmes are to provide funds for start-up, growth and resuscitation of viable MSME projects in the State with a view to ensuring income generation and job creation. 

Provision Of Business Information Services

The current world order is knowledge-based and technology driven. Thus, the survival of local SMEs depends on their ability to be adequately informed of available raw materials, new technologies, market outlets and trends in consumer preferences. It is in recognition of the importance of business information as a veritable tool for the development of MSMEs that the State Government has invested in the following programmes and projects.

- The Akwa Ibom State Raw Materials Display Centre 

 The Centre is maintained, in collaboration with, the Raw Materials Research and Development

- Council (RMRDC). The Centre exhibits the raw materials potential of the State and the country, as well as, the appropriate technology and products derivable therefrom. The objective of the programme is to encourage investment in the Industrial sub-sector of the economy.

- Establishment of Business Support Centre(BSC)

 Government has signed a Memorandum of Understanding (MoU) with the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) to establish a Business Support Centre (BSC) and Business Information Centres (BICs) in the State. Already, a suitable building has been acquired by the State Government while equipment for the BSC has arrived the State from SMEDAN. The Centre will soon be ready for use by MSME operators and potential investors in the State.

The ultimate goal of the programme is to provide functional and relevant business information required for the development, growth and corporate governance in the MSME Sector. This, in turn, will provide ample opportunities for employment of the unemployed persons.

4) Development of the Informal Sector

The Informal Sector(IS) economy in Akwa Ibom State is known to provide a greater percentage of employment opportunities. This is an area where most people are engaged in one form of wage employment or self-employment outside the formal sector as a means of livelihood. They include tailors, artisans, hawkers, repairers, and maintenance business. Although the informal sector has its root in traditional arts and crafts, it is characterised by low level of technology and wage earnings, and it is prone to exploitation. In view of the importance of the informal sector for employment generation, government has evolved an interventionist programme to develop the sector with the aim of complementing the formal sector and/or possible integration of some informal activities into formal economy. The following programmes and projects are pursued in this regard:

- Conduct of baseline survey of the informal sector in the State in collaboration with UNDP. 

- Training of 15 youths in Watch and Clock making and repairs, and provision of equipment for trainees to practise their skills.

- Training of 120 youths in basic maintenance and repairs of GSM handsets. Kits were provided for the 120 trainees to practise their acquired skills. The second batch of training has equally commenced.

- Training of 60 SMEs on the manufacture of briquettes using sawdust. The trainees formed themselves into Co-operative  Societies in readiness to apply for funds for the production of briquettes.

The informal sector training will in due course be extended to other business areas, including sensitization of the informal sector operators, especially Women, Children and other vulnerable groups on their rights and privileges.

Promotion of Indigenous Creativity, Innovation and Technological Breakthrough

The Akwa Ibom State Government is committed to encouraging creativity, innovation and technological breakthrough among the indigenes. A good example is the ongoing programme involving the commercialization of a major breakthrough achieved by two young graduates – the Eniang Brothers, in developing an Automatic Voltage Regulator (AVR) device. The commercialization process of the device is in its final stage. The industry, when completed will provide employment opportunities for a number of indigenes in the State. By this gesture of government, indigenous scientists, technologists and entrepreneurs, especially students and graduates of higher institutions are encouraged to venture into creative business and technological breakthroughs in their different disciplines. Such innovations could attract government sponsorship, thereby providing employment opportunities for themselves and other unemployed persons.

The Akwa Ibom State Government has done a lot and still intends to do more in the area of job creation. It now behoves on the unemployed indigenes of the State to take advantage of the carefully designed programmes of intervention that will ensure reasonable reduction in the level of unemployment in the State. It is important to emphasise that in an effort to ensure adequate coordination of employment interventionist programmes among the various government institutions, a well thought-out state policy on employment is necessary to provide a sound basis for coordinated actions towards employment promotion and job creation in all sectors of the economy. The conscientious implementation of such policies and programmes shall definitely reverse the employment crisis in Nigeria.