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Nigeria: Corruption Stalls New Investments – Study

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Original Post Date: 2010-09-21 Time: 11:00:03  Posted By: News Poster

By Ruth Tene Natsa

Abuja – A report obtained by LEADERSHIP has revealed that besides denying the country of growth in socio-economic sectors, corruption equally scares off new investors.

According to the study about 10 percent of all companies paid bribes in the year before the study was conducted and about 20 percent or 450 companies admitted that in their economic sector, the payment of bribes to public officials was either fairly or very frequent. While,almost 200 companies or eight percent of all companies surveyed refrained from making new investments for fear of corruption.

Mrs Dagmar Thomas, Country Representative of United Nations on Drugs and Crime in Nigeria (UNODC), said this in her opening remarks at the Roundtable on Ethical Conduct of Business, with the theme “The role of labour in the fight against corruption” held in Abuja, yesterday.

The Chairperson of Inter agency Task Team (IATT), Proffessor Humphrey Asophu said, ” the high rate of corruption in Nigeria has led to the need to develop an international strategy to combat corruption in all spheres of business and government, stressing that inter agencies partnership with both national and international organisations was needed to fight against the scourge.

Lillian Ekeanyanwu, Head of the Technical Unit on Governance and Anti- Corruption Reforms (TUGAR), who represented Asophu further said, the team was in partnership with the United Nations Office On Drugs and Crime (UNODC), the Nigerian Labour Congress (NLC), the Embassy of the Netherlands,the United Nations Industrial Development Organisation ( UNIDO), the Economic and Financial Crimes Commission (EFCC), Independent and Corrupt Practices Commission (ICPC) among others.

Comrade Abdulwahed Omar, the President of the NLC in his keynote address reminded the gathering that the fight against corruption had been an ongoing battle by the various institutional and anti corruption agencies constituted to eradicate corruption in the country.

Nigeria Socio Economic growth has been circumvented he said by the canker of corruption as stated by a group of Researchers , which estimated that the amount of money stolen from Nigeria’s coffers from independence to 1999 was in excess of US$400 billion of which mathematicians say can form a chain from earth to space , not just once but 75 times

Re-iterating that the NLC has been in the forefront of the fight against corruption, which led to their vigorous protest against Mrs. Patricia Etteh , Former Speaker of the House of Representives over allegations of corruption, and the prosecution of Nigerians fingered in the Siemens and Halliburton scandals and insisting that their major plank with any Government in Nigeria has been their lack of fear to expose without fear or favor any corrupt person or group.

According to him, President Goodluck Jonathan disclosed that contracts awarded in Nigeria cost 30-40%in in excess of similar contracts awarded elsewhere, arguing that corruption was a universal trend, but it is only in Nigeria that contractors collect 100% mobilization fees of hugely inflated contract and yet not a grain of sand would be mobilized to site. And only in Nigeria will the cost of commissioning a project cost the same as executing the project.

Despite the millions of Naira sunk into the National Integrated Power project, Nigeria instead of producing megawatts of electricity is producing megawatts of excuses and even some of those who spearheaded the probe are said to be equally behind some of the scams

He stated that the Nigerian version of corruption has a slant of sheer wickedness, since public officials in other developing countries who supposedly collect on the 10% ensure delivery of service, while Nigeria has no conscience on collecting without delivery. Thereby impoverishing the country and making Nigeria to suffer forgotten disease in the 20th century such as Cholera and tetanus, depriving the average Nigerian of good education, maternal healthcare and deprivations of good roads and portable drinking water.

In the battle against corruption, the NLC advised that the fight cannot be left to the agencies alone, but was the responsibility of every Nigerian, irrespective of socio-economic status and therefore, called on the enthronement of sound democratic principles and elections of credible leaders who can be held accountable.

Original date published: 21 September 2010

Source: http://allafrica.com/stories/201009210453.html?viewall=1