For quite a while, the term economic recession has been on the lips of every Nigerian. Theoretically, economic recession is a significant decline in economic activity spread across the economy, lasting more than a few months, normally visible in real GDP, real income, employment, industrial production, and wholesale-retail sales.
In reality, it is a period in the phase of ‘change’ in Nigeria when there is higher cost, yet little to spend. It is a period where measures by government at all levels seem not to be working.
However, some states may not blink an eyelid while the recession last. Such states are viable to the extent of survival while it last. Below is an analysis of 5 states that will swim successfully the recession tide no matter what the wave brings along.
1. Lagos State
Unarguably the most economically viable state in the country. Latest figures released by the National Bureau of Statistics (NBS) on the internally generated revenue capacity of the 36 states confirm that 35 states cannot survive without the monthly statutory allocations, leaving only Lagos out. Oil exploration will soon start in the state and the state will be entitled to the 13 percent derivation for oil producing states. With a population of about 20 million, Lagos state look good no matter what recession bring on.
2. Imo State
Imo State made the list not for a sustainable economy but for proactive measure taken by the state governor. In a bid to increase the state’s internally generated revenue and diversify its economy, the Imo State government introduced a policy where state civil servants are to work for only three days in the week, Monday to Wednesday while they are to go to their farms on Thursday and Fridays to cultivate what they would eat. This would cut government spending for taking care of workers for a whole two days.
3. Kano State
Kano is the commercial nerve center of Northern Nigeria and is the second largest city in Nigeria, after Lagos. It is a major centre for the production and export of agricultural products like hides and skins, peanuts, leather, textile, grains and cotton. The state seem to be viable enough to survive any economic downturn with its overwhelming population, spirited workforce and regional economic dominance which dates back to the colonial period.
4. Oyo State
With an overwhelming population and arable agricultural lands, the 5th most populated state in Nigeria seem capable of staying well while the recession lasted. Though the state government owes salary of workers, the state appears as one that would always have something to fall back upon. No wonder why civil servants in the state still keep a portion of land as farms.
5. Bayelsa State
In what seem like a paradox, the highest receiver of federal allocation, Bayelsa has the lowest population in the country. With little people to spend on, Bayelsa State looks good in the face of recession.
In reality, it is a period in the phase of ‘change’ in Nigeria when there is higher cost, yet little to spend. It is a period where measures by government at all levels seem not to be working.
However, some states may not blink an eyelid while the recession last. Such states are viable to the extent of survival while it last. Below is an analysis of 5 states that will swim successfully the recession tide no matter what the wave brings along.
1. Lagos State
Unarguably the most economically viable state in the country. Latest figures released by the National Bureau of Statistics (NBS) on the internally generated revenue capacity of the 36 states confirm that 35 states cannot survive without the monthly statutory allocations, leaving only Lagos out. Oil exploration will soon start in the state and the state will be entitled to the 13 percent derivation for oil producing states. With a population of about 20 million, Lagos state look good no matter what recession bring on.
2. Imo State
Imo State made the list not for a sustainable economy but for proactive measure taken by the state governor. In a bid to increase the state’s internally generated revenue and diversify its economy, the Imo State government introduced a policy where state civil servants are to work for only three days in the week, Monday to Wednesday while they are to go to their farms on Thursday and Fridays to cultivate what they would eat. This would cut government spending for taking care of workers for a whole two days.
3. Kano State
Kano is the commercial nerve center of Northern Nigeria and is the second largest city in Nigeria, after Lagos. It is a major centre for the production and export of agricultural products like hides and skins, peanuts, leather, textile, grains and cotton. The state seem to be viable enough to survive any economic downturn with its overwhelming population, spirited workforce and regional economic dominance which dates back to the colonial period.
4. Oyo State
With an overwhelming population and arable agricultural lands, the 5th most populated state in Nigeria seem capable of staying well while the recession lasted. Though the state government owes salary of workers, the state appears as one that would always have something to fall back upon. No wonder why civil servants in the state still keep a portion of land as farms.
5. Bayelsa State
In what seem like a paradox, the highest receiver of federal allocation, Bayelsa has the lowest population in the country. With little people to spend on, Bayelsa State looks good in the face of recession.