To Use Revenue As Evidence Of Progress Is Not To Understand Economics – Pat Utomi Slams FG

Pat Utomi, a Professor of Political Economy, has condemned the federal government’s economic approach, cautioning that its intense focus on revenue collection is damaging the productive capabilities of Nigeria’s economy.

Speaking on Channels Television’s Politics Today on Friday, Utomi contended that the government’s priorities are “misplaced, with resources being funnelled into non-productive sectors, particularly the political class, rather than into growth-driving areas such as agriculture and manufacturing.”

“Most non-productive sectors, the political class, for example, and we need to get the resources that are available to go directly into ramping up food first of all, and then the value chain from those factor endowments around agriculture,” Utomi said.

He asserted that the ‘aggressive revenue drive is forcing businesses, including pharmaceutical importers and traders, out of the market due to excessive charges at the ports.’

“Ask any trader today how much they can bring through the ports. The desperation for rising revenue means that every container is being sold at about N18 million or some similar amount,” he said.

“Many pharmaceutical importers have very thin margins on their anti-malarials and related drugs. When they come through the ports in this desperation for revenue and get hit with tax on each container, it means they can’t import a new set of containers of anti-malarials.”

“It means that while government revenues are going up — and are being squandered by politicians — the Nigerian people have no possibility of a better life. This revenue issue needs to be put in context and properly understood. To use revenue as evidence of progress is not to understand economics.”

He also rejected government assertions of economic recovery, arguing that slight naira stability is insignificant when inflation continues to erode people’s purchasing power.

“If you are from hell to purgatory, have you been saved from damnation?” he asked rhetorically, emphasizing that progress should be gauged by improvements in living standards, not merely macroeconomic indicators.

“Food is the ultimate. When people can’t eat, anything can happen,” he said, urging immediate investment in agriculture, education, and healthcare as the genuine route to a sustainable economy.

The remarks follow the National Bureau of Statistics’ report of a 3.13 percent GDP growth rate for Q1 2025, compared to 2.27 percent in Q1 2024. Utomi, however, maintained that such statistics do not capture the true struggles of most Nigerians.

A Gentle Reminder: Every obstacle is a stepping stone, every morning; a chance to go again, and those little steps take you closer to your dream.

Nnamdi Okoli