THE EFFECT OF CORRUPTION ON SUSTAINABLE ECONOMIC DEVELOPMENT IN GOODLUCK JONATHAN REGIME

ABSTRACT

The study examines the effect of corruption on sustainable economic development in Goodluck Jonathan Regime. 

The study adopted a mixed method of research and adopted a survey design. Questionnaires were administered to the respondents and survey through responses to question in the questionnaire was serve as the primary source of data. The data gathered from the questionnaire was interpreted with the use of descriptive statistics, the Pearson product moment of colleration was utilized to determine the nature of the relationship between corruption and sustainable development. The analysis of data was carrired out on statistical package for social sciences.

The findings revealed that; Factors amplifying corrupt practices in Nigeria includes cultural practices, lifestyle, greed and poor procurement system;. Corrupt practices greatly affected sustainable economic development during Jonathan’s administration in Nigeria through fund wastage and embezzlement, Victimization of officials and diversion of security funds;. Corruption has had serious effects on unemployment level in Nigeria;. Corruption has had serious effects on poverty level in Nigeria.      

The study concluded that; Factors amplifying corrupt practices in Nigeria includes cultural practices, lifestyle, greed and poor procurement system, and Corrupt practices greatly affected sustainable economic development during Jonathan’s administration in Nigeria through fund wastage and embezzlement, Victimization of officials and diversion of security funds. The study further recommends that; National orientation agency must work hard to educate people on cultural practices and lifestyle that will shun corruption.  There should be transparency in the war against corruption and should go beyond lip service. Accountability should be entrenched through auditing into the public service with a view of reducing poverty and unemployment.

CHAPTER ONE

INTRODUCTION

1.1    BACKGROUND OF STUDY

Corruption is a global phenomenon; it is a social vice found in every society where humans reside. However, the degree at which corruption play out differs from society to society. This could be as a result of institutional mechanism put in place to check such act. For example, in most developed nation corruption is not so pronounced as in the developing nations. A like corruption, corruption is a problem in Greece Transparency International stated in 2012 that corruption had played a major role in causing the Greek financial crisis (although the crisis itself was triggered by the global financial crisis of 2007-2008, and Greece's economy had fared well for most of the period up to the aforementioned crisis). Tax evasion was described by Greek politicians as "a national sport"—with up to €30 billion per year going uncollected, according to a 2012 estimate. A 2016 estimate indicated that between €11 billion and €16 billion per annum were not collectable. In 2016, the OECD, Greece and the European Commission launched a project to increase integrity and reduce corruption in Greece through technical empowerment of the Greek authorities for the implementation of Greece’s National Anti-Corruption Action Plan (Inman Philip 2012). Throughout Zimbabwe's economic, private and business sectors, bribery has become endemic. In the 2016 transparency index on global perceptions of corruption, Zimbabwe ranks 154th out of 156 countries, ranking it alongside Turkmenistan (transparency international, 2007).

 

Corruption can be defined as a form of dishonesty or criminal activity done by a person or organization entrusted with a position of authority, often to acquire unlawful benefit. It can also be defined as a dishonest or illegal behavior especially by powerful people such government officials, political leaders. Corruption can be said to be efforts to secure wealth or power through illegal means for private gain at public expense, or misuse of public power for private benefit. Corruption is one of the greatest threats to economic and political development of any nation.

 

 Corruption affects our countries ' economic development in the sense that the resources for water supply, highways, education, health and other basic and social services needed in the country are seized and stolen by our so-called leaders (government) for their own selfish use and purpose, notwithstanding the day-to-day underdevelopment of our country.The issue of corruption keeps reoccurring in every academic and informal discussion in Nigeria and the issue will hardly go away (Adeyemi, 2016). World bank studies put corruption at over $1 trillion per year accounting for up to 12% of the gross domestic products of nations like Nigeria, Kenya and Venezuela (Nwabuzor 2005).  In the words of Achebe, Nigeria from being corrupt is like keeping a goat from eating yam (Achebe 1988).

The definition of sustainable economic growth can be described as the process whereby a country's true per capita income rises over a long period, subject to the requirements that the number below a poverty threshold does not rise or the income distribution becomes more unequal (Meier, 1976 p.6) cited in (Barbier, 2015). The overall development of a nation requires not just economic changes, but also transitions in government, society and culture.  Therefore, sustainable economic development directly addresses the increase of grassroots material standards in the wellbeing of the people, quantitative in terms of food production, real employment, education services, nutrition, sanitation and water supply, emergency food and cash stocks. (Barbier, 2015). In general terms, the primary objective is reducing the absolute poverty of world’ poor through providing lasting and secure livelihoods that minimize resource depletion, environmental degradation, cultural disruption and social instability. Economic development can also be defined as the process whereby simple low income national economies are transformed into modern industrial economies

In this context, a variety of metrics are ever used to assess national and global economic development, one of the main reasons being that economic development leads to changes across many sectors of a society. There are again several main metrics, with more than 2,000 indicators for the World Bank, which is mainly the international organization which monitors economic development at national and world level. The indicators that will be useful for this study are; health, education, employment level and poverty (Osundina 2014).

The United Nations has also established objectives for sustainable development which are blueprint in order to create a better and more sustainable future for everyone. The objectives address the global challenges that we face including poverty, inequality, climate, degradation of the environment, prosperity, peace and justice. And the objective of sustainability is 17 (sustainable development , 2019).

Corruption in Nigeria did not just start in Goodluck Jonathan’s regime, it dates as far back as the first republic (1960-1966) although corruption in the republic was minimal compared to to what we have today. Flamboyance distinguished the lifestyle of politicians of the first republic (Akinola 2015). The reformist administration of Murtala Mohammed & Olusegun Obasanjo (1975-1966) had realized the scale of corruption in the country and determined to get rid of corruption in the country so many indicted civil servants of the Gowon administration were dismissed (Ogbeidi 2012). The administration Shehu Shagari was characterized by mismanagement and the embezzlement of public funds (Dash 1983). 

Following President Good Luck Jonathan victory in 2011, He directed the Presidential Advisory Council on International Relations (PACIR) before the anxious 100 weeks in office to oversee the overhaul of Nigeria's foreign policy for investment-oriented purposes. In addition, the president called on the country's foreign policy experts, seasoned diplomats, professional experts and intelligentsia to determine a new way to the future without casting aside its past. The administration of President Goodluck Jonathan focused on the following: improved cooperation with other military forces around the globe to achieve peace; improved bilateral and multilateral trading between nations; cooperation and assistance to address health challenges around the world; promotion of Nigerian welfare abroad in order to ensure they are treated with respect for (Federal ministry of information 2012).

Due to how corruption has become a bane to economic development in Nigeria, it led to formation of more corrupt practices in Goodluck Jonathan’s administration such as the Dasuki Gate Saga, the abduction of Chibok girls, the removal of fuel subsidy and more. This has further impacted in the stagnation of the country’s development. Corruption in this study will be measured using health care, employment, educational services.

1.2    STATEMENT OF PROBLEM 

The corruption issue is one of Nigeria's most central challenges today. Not only did corruption deteriorate Nigeria's racial credibility but also devastated Nigeria's economy in various sectors (Okafor, 2012). Despite anti-corruption campaigns in Nigeria, it appears to be high on the front. It has weakened hard work, care and skill. The social and political development of Nigeria has been immensely harmed (Bakare 2011). It also worsens institutions, prevents investments and hinders economic growth. More specifically, funds for development purposes (funding) which should be prohibited from being used by the public for personal or private use. This redistribution of the country's economic wealth for personal gains has greatly enhanced the flight of Nigerian capital through illegal foreign deposits (Bakare, 2011).

The personal interest of our leaders most often comes first and confuses their minds with regard to our country's development. Nigerians suffer because corruption has made it difficult to run our administration efficiently and effectively. "Nigeria's problem with Arthur Schlesinger said in the 60's of America is that our skills are inadequate. (Odugbemi 2011). Some of the effects of corruption include; poverty, unemployment, kidnapping etc. Some of the corruption cases during the time of Goodluck Jonathan include; abduction of chibok girl, removal of fuel subsidy, Dasuki gate saga etc. As a result of the above stated, these are the reasons why I am investigating the effects of corruption on sustainable economic development during Goodluck Jonathan’s regime (2010-2015).

 

1.3    OBJECTIVE OF THE STUDY

It is the intention of this this study to further investigate the effect of corruption on sustainable economic development in Goodluck Jonathan’s regime (2010-2015). Other objectives include;

  1.  identify factors amplifying corrupt practices in Nigeria.
  2.  examine how corrupt practices has affected sustainable economic development during Jonathan’s administration in Nigeria.
  3. examine the effects of corruption on Nigeria’s unemployment level.
  4. ascertain the effects of corruption on Nigeria’s poverty level.

1.4    RESEARCH QUESTION

This research will consider particular questions such as;

  1. what are the factors amplifying corrupt practices in Nigeria?
  2. How has corrupt practices affected sustainable economic development during Jonathan’s administration.
  3. How has the effects of corruption affected Nigeria’s unemployment level?
  4. How has the effects of corruption affected Nigeria’s poverty level?

 

1.5    SIGNIFICANCE AND JUSTIFICATION

The corrupt situation in Nigeria cannot be ignored, since it is present in all levels of the society and thus impedes the country's development. This research explores the impact of corruption on sustainable economic development in Nigeria during the administration of Goodluck Ebele Jonathan and how it influenced our country today. The study also explains ways we as people are able to contribute towards fighting corruption and help our country to move forward, and this work will greatly benefit students who want, lecturers, governments and non-governmental institutions.  It will allow the future government to strengthen its corruption policy in our country.

It will benefit the students, lecturers, government and non-governmental institutions in enlightening them more about corruption and how it has affected development in our country Nigeria. The lecturers will be able to teach the students properly. Like the saying goes the youths are the leaders of tomorrow, if they’re properly educated they’ll know the right approach to use when they’re in power. It will also encourage our future administration to paint a broad picture and have a vision for our country.

1.6   SCOPE OF STUDY

This study, examines the effects of corruption on sustainable economic development in Nigeria during President Goodluck Jonathan’s administration from the year 2010-2015.It also explores the concepts associated with corruption in Nigeria. The reason for using Jonathan’s administration is because Goodluck Jonathan’s administration seems to be the most corrupt administration in the 4th republic and have paid little or no attention to corruption under its watch. Cases of embezzlements, misappropriation of public funds characterized his tenure in office (Akinnaso, Awoyemi & Nnodim, 2012).

1.7    DEFINITION OF TERMS

Corruption: This can be defined as the mismanagement of public funds and the abuse of power for private gain. It is any form of conduct that generates private self-centered gains, which are not sanctioned by law or the predominant norms of society. 

Sustainable economic development: This can be defined as when the real per capita income of a country increases over a long period of time subject to the stipulations that the number below an absolute poverty line does not increase, and the distribution of income does not become more unequal.

Underdevelopment: This is the state of being inadequately developed. It is the condition of not normally or adequately developing.

Development: This is the act or process of growing or becoming more mature or advanced. It is the act of maturing or causing something to mature or become larger or bigger.

Unemployment: This can be defined as a situation where individuals who are employable and seeking for job opportunities are unable to find a job.