Offum Peter Francis|17 April 2016|6:20am
The term 'Ayadenomics' is a portmanteau of Ayade and economics, and follows previous political neologisms for economic policies linked to specific leaders, such as, Reaganomics, Clintonomics, Rogernomics, Abenomics and the recent Buharinomics. Ayadenomics refers to the economic policies of the digital governor of Cross River State, Prof. Benedict Ayade. It is characterised by expansion of government, conception of ambitious projects, sourcing for investors, signing numerous Memoranda of Understanding and waiting for the actual take off of such projects.
With the ceding of oil rich Bakassi Peninsular to Cameroun and the loss of 76 oil wells to Akwa Ibom State, the economy of Cross River State has suffered immense retrogression. This was aggravated by the sharp fall in global price of crude oil. Oil revenue constitutes a major source of revenue to the federal government. States rely mostly on monthly allocation from the federation account. As a result, Cross River is one of the states with the least monthly allocation.
Traditionally, times of economic turmoil call for implementation of austerity measures. However, Ayadenomics promotes increased spending and expanded government despite the lean resources of the state. In his first budget, christened ''Budget of Deep Vision'' the digital governor proposed a huge estimate of N350 BILLION for 2016 fiscal year. The budget represents about 273.7 percent increase over 2015 budget proposal of about N149.44 Billion. Ayade maintained that the reason for the increment was as a result of expected funds from foreign direct investments and the support for his signature projects by the federal government. The Obudu-born governor has expanded government by appointing numerous aides and creating twelve additional ministries which he defended that such ministries are structured to be commercially viable.
Apart from his highly publicised signature projects; a 260km dual carriage super high way and Bakassi deep sea port, Ayade has other ambitious and eloquently packaged projects like garment factory, Green Police, modular refinery, cement factory, Calas Vegas, Rice City, poultry farm, 5000 housing units, etc. Critics argue that Ayade is biting more than he can chew given that his projects are capital-intensive relative to the meagre resources of the state.
Ayadenomics is also concerned with labour-friendly policies as the governor has prioritized payment of workers' salaries before the end of each month to the envy of some states that are struggling to meet salary obligation. This singular act has endeared him to Cross Riverians on the payroll of the state government.
No doubt, the implementation of Ayade's policies and programme will create more jobs, reduce poverty and boost the economy of Cross River State. But, what is the stand of Ayadenomics in the area of peasant agriculture? How can Ayade's policies translate to alleviation of rural poverty? Only time will tell if Ayadenomics can salvage Cross River State from her current economic woes.
Offum Peter Francis
Is a Social Activist pushing for good governance, inclusive growth and shared prosperity.