American billionaire and philanthropist Bill Gates stated on Wednesday that Nigeria’s economy has stagnated, highlighting that the country’s revenue-to-GDP ratio was more favorable 15 years ago than it is today.
Speaking at the National Executive Council meeting at the State House in Abuja, Gates urged the Federal Government to prioritize healthcare spending as a strategy to rejuvenate the economy.
Gates emphasized the importance of investing in Nigeria’s most valuable asset—its people—while addressing the nation’s economic challenges. He acknowledged the financial constraints faced by the country but insisted that public health must be a priority.
“Nigeria’s economy has stagnated. Earlier this year, your debt exceeded 50% of your GDP for the first time since 2001. While your revenue-to-GDP ratio has grown, it remains lower than it was 15 years ago. This has resulted in Nigeria spending less per capita on its citizens than other African nations with significantly less wealth,” Gates remarked.
He recognized the political sensitivity surrounding tax increases, noting, “Nigerians are struggling. Incomes have fallen, prices have soared, and protests have emerged, just as they have in many other countries.” Gates underscored the necessity of a social compact where citizens are more willing to pay taxes when they see tangible benefits from government spending.
Gates called for a shift in focus towards human capital investment, starting with healthcare. “Priorities without funding are merely words. It’s crucial to concentrate on areas that will make the most significant difference,” he stated.
He pointed out that Nigeria spends only 3,000 naira annually on primary healthcare per person, with 70% of health spending allocated to secondary and tertiary care. “This ratio should be reversed,” he argued. Gates praised Nigeria’s ambitious HPV vaccination campaign, which immunized more girls in one month than 40 other Gavi countries combined did in the previous year.
With over two decades of visits to Nigeria, Gates noted that the Bill & Melinda Gates Foundation has invested more than $2.8 billion in the country, marking the largest investment in Africa. He expressed pride in supporting local innovators and forming connections across various sectors.
While acknowledging the ambitious nature of President Bola Tinubu’s Renewed Hope Agenda, Gates pointed out the resource constraints it faces. He also addressed the pressing issue of food insecurity in Nigeria, which has the second-highest rate globally. “Climate change has exacerbated this crisis, with arable land diminishing and pest infestations devastating harvests,” he said.
To tackle these challenges, Gates recommended increased funding for agricultural extension workers, fertilizers, and infrastructure to help farmers. He also advocated for the adoption of innovative crop varieties that offer shorter growing periods, higher yields, and greater pest resistance.
Gates’ remarks underscore the urgent need for strategic investments in healthcare and agriculture to revitalize Nigeria’s economy and improve the well-being of its citizens.
