Former Chief of Staff to President Muhammadu Buhari and ex-Nigerian Permanent Representative to the United Nations, Prof. Ibrahim Agboola Gambari, has delivered a scathing critique of decades-long economic prescriptions from the International Monetary Fund (IMF) and the World Bank.

Speaking at the Realnews 12th Anniversary Lecture in Lagos, Gambari asserted that the policies championed by these global financial institutions have failed to improve Nigeria’s economic fortunes, urging African nations to embrace homegrown solutions.

Prof. Gambari did not mince words in questioning the efficacy of IMF and World Bank recommendations. Reflecting on Nigeria’s prolonged economic struggles despite adherence to external prescriptions, he said: “Frankly speaking, all the prescriptions of the IMF and the World Bank over the years, where has it gotten us? Now that I’m no longer part of government, I can speak more freely. If the IMF and World Bank’s prescriptions had been correct, we should be living happily today—but we are not.”

Gambari, who served as Nigeria’s Minister of Foreign Affairs between 1983 and 1985 during a military regime, recalled rejecting IMF and World Bank policies at that time. He emphasized the need for Africa to define its own problems and implement solutions tailored to its realities.

“Even then, 40 years ago, we felt it was time for Africans to define their problems and develop their own institutions,” he said.

Africa at a Crossroads in a Changing Global Order

Delivering his lecture, titled “Africa in a Shifting Global Landscape: Demography, Technology, Artificial Intelligence, and Natural Resources,” Gambari painted a stark picture of Africa’s precarious position in an evolving world. He observed that global geopolitical rivalries are intensifying, placing the continent at the center of a new scramble for influence, resources, and strategic alliances.

“The entire seaboard of Africa is already dotted with military bases operated by various powers. The continent is once again at the center of a new scramble, as geopolitical rivalry intensifies. In addition to geo-strategic considerations, there is also a strong interest in securing access to critical minerals, arable land, and forests,” he said.

According to Gambari, Africa’s youthful and rapidly growing population—now exceeding one billion—offers immense potential, especially as other regions grapple with aging populations and declining demographics. However, this demographic advantage must be harnessed strategically to avoid being exploited.

He said: “In this new global order, Africa must ensure it is not just a passive player but an active rule-maker.”

Embracing Technology and Strengthening African Institutions

Gambari stressed the transformative role of artificial intelligence (AI), digital technologies, and innovation in shaping the future. He noted that African nations must develop robust national and regional strategies to harness these changes.

Additionally, he emphasized the importance of strengthening African institutions such as the African Union (AU), the Economic Community of West African States (ECOWAS), and the African Development Bank (AfDB) to address continental challenges.

According to him, “The changes unfolding globally promise profound transformations in the workings of the international system. Nations—big and small, North and South—are preparing themselves to ensure they are not left behind or reduced to victims of the new world order.”

Mounting Criticism of IMF and World Bank Policies

Gambari’s remarks add to the growing chorus of voices opposing IMF and World Bank-led economic reforms in Nigeria. Human rights lawyer Femi Falana and the Nigeria Labour Congress (NLC) have similarly urged the federal government to abandon policies dictated by these institutions. Falana has gone a step further, advocating for Nigeria to align with the BRICS bloc—a group of emerging economies seeking to challenge the dominance of Western financial systems.

Despite decades of IMF-guided structural adjustment programs and fiscal reforms, Nigeria’s economy remains burdened by inflation, unemployment, and slow growth. It has been noted that these policies often prioritize austerity and debt servicing over development and poverty alleviation.

President Bola Tinubu’s administration has embarked on sweeping economic reforms, including subsidy removal, tax increases, and currency unification—measures often aligned with IMF recommendations. However, these reforms have plunged Nigeria into deeper economic hardship, compounding inflation and eroding purchasing power.

The IMF’s latest outlook for sub-Saharan Africa highlights Nigeria’s struggles, noting that the country remains among those failing to achieve desired outcomes despite reforms. While the report praised fiscal improvements in Cote d’Ivoire, Ghana, and Zambia, Nigeria’s performance was conspicuously absent.

“Inflation is still in double digits in almost one-third of countries, including Angola, Ethiopia, and Nigeria,” said Catherine Patillo, IMF Deputy Director.

The report also observed that Nigeria’s monetary policy lacks the anchoring needed to stabilize inflation, further compounding economic challenges.

A Call for Homegrown Solutions

Prof. Gambari’s call for self-reliance and innovation is particularly timely as Nigeria grapples with worsening economic realities. He urged policymakers to invest in the country’s human and natural resources rather than relying on external prescriptions that have consistently failed to deliver.

“It’s time we define our problems and design ways to solve them,” Gambari said, reiterating the need for a shift in approach.

Gambari’s message resonates with the aspirations of many African leaders and thinkers who envision a continent capable of charting its own destiny. Strengthening regional institutions, leveraging technology, and empowering Africa’s youth have been central to the vision for a more prosperous and self-reliant Africa.

However, experts note that the challenge to Africa’s prosperity remains whether its leaders can muster the political will and strategic foresight to reject outdated paradigms and embrace solutions that truly serve their people.

In a significant policy shift, the Federal Government has announced the lifting of the long-standing restriction on the posting of members of the National Youth Service Corps (NYSC) to the private sector.

The directive, effective with the commencement of the 2024 Batch ‘C’ Orientation exercise, was outlined in a memo dated November 18, 2024, by Minister for Youth Development Ayodele Olawande.

The policy change permits corps members to be posted to private sector organizations, including banks and oil and gas companies, marking a departure from the previous framework which confined NYSC postings to the public sector, focusing on education, agriculture, health, and infrastructure.

The previous restriction, implemented during the tenure of former Youth and Sports Development Minister Bolaji Abdullahi, was aimed at preventing private companies from exploiting cheap labor while promoting public sector capacity building. The directive limited corps members’ service opportunities to sectors deemed critical for national development.

The newly introduced policy, according to Olawande, aligns with President Bola Tinubu’s strategy to combat youth unemployment and provide young Nigerians with relevant work experience.

“There is an urgent need to review this policy to expand the opportunity and access for corps members to serve in places that are relevant to their areas of study,” Olawande noted in the memo.

New Opportunities in the Private Sector

Under the new directive, corps members will now be posted to select private-sector organizations, starting with Lagos and Abuja. The postings will prioritize aligning assignments with the corps members’ fields of study to better prepare them for the labor market.

“This directive will allow corps members to gain valuable experience in their chosen fields of study,” the memo stated. “The now revoked policy has greatly hampered experience gathering that would effectively prepare them for the job market.”

A Step Towards Addressing Youth Unemployment

The policy reversal is being touted as part of President Tinubu’s broader plan to address the alarming rates of youth unemployment in Nigeria. According to the Minister, the move will enhance job preparedness by integrating young graduates into sectors where their skills are in demand.

However, the implementation is set to start in a phased manner, with Lagos and Abuja serving as pilot locations before the directive is extended nationwide.

While the government sees the policy as a means of tackling youth unemployment, concerns remain over how private companies will handle the influx of NYSC members. During Bolaji Abdullahi’s tenure, critics argued that private-sector employers often exploited corps members as a source of inexpensive labor.

Observers will also be watching to see if the government ensures compliance with labor laws and provides oversight to prevent the exploitation of corps members in the private sector.

Stakeholders React

The announcement has sparked mixed reactions. While many youth groups and private sector organizations have welcomed the move as a step in the right direction, critics have questioned whether this policy can truly address the systemic challenges facing the NYSC scheme.

Some have described the decision as long overdue, noting that it’s an opportunity for NYSC members to gain real-world experience and improve their employability.

However, some public sector advocates have expressed reservations. They note that the NYSC was designed to build capacity in underserved sectors, particularly rural areas. This move, they added, could dilute that purpose.

As the 2024 Batch ‘C’ corps members prepare for orientation, all eyes will be on how the new policy is implemented. Will this initiative fulfill its promise of creating meaningful opportunities for Nigeria’s youth, or will it spark new challenges?

From Condia newsletter: “Nigeria’s telecom industry continues facing tough times. The average revenue per user (ARPU) for major telcos like MTN and Airtel has plummeted by over 40% in the past year. MTN Nigeria, once the MTN Group’s top-performing market with a $5.03 ARPU in Q1 2023, has seen its user revenue fall with an ARPU of $2.09 by Q3 2024. Similarly, Airtel Nigeria, which was the second-highest-earning market across Airtel Africa’s 14-country operations with a $3 ARPU, has fallen to $1.60 ARPU.”

ARPU is a gold standard metric in telecoms just like cost-to-income ratio is for banking.  When ARPU begins to crash, most times, investments stall. In other words, why waste money on customers who may not even afford the services? That is partly the reason why banks do not expand to most rural areas in Nigeria as making money from the “poor” is tough (using poor with respect there).  The ARPU numbers from Nigeria will affect how MTN and Airtel will operate in Africa.

First, they will increasingly go the  fintech model (like mobile money, insurance, etc) where the margins remain strong. And over time, they will try to use the space, through partnership with satellite providers, as most may not have the resources to expand via a terrestrial model: “MTN, Africa’s largest telecom operator, is exploring partnerships with Low-Earth-Orbit (LEO) satellite providers to expand its internet reach…”

Simply, if ARPU is crashing and they  are losing money, do not expect telcos to deploy more investment dollars.  But through partnerships with satellite providers, they can hang on there even though over time, they will have real challenges from some of  those providers like SpaceX Starlink.

Good People, what are you doing as your customers become poorer in Nigeria? Are you changing your business model? Are you striking partnerships to reduce your fixed costs and improve your marginal cost to keep serving them? Put on your thinking cap and learn how MTN and others are evolving 

For Tekedia Mini-MBA learners, we have posted the written materials from Dr Abel Osuji from Afreximbank on how SMEs can make changes and thrive even though a period of economic perturbation. The course video of yesterday is already posted in the course board. Take time and study his suggestions and plot new strategic paths to thrive. Good luck.

President-elect Donald Trump’s nominee to lead the Federal Communications Commission (FCC), Brendan Carr, is poised to bring significant changes to the regulatory landscape governing Big Tech.

Carr, a long-time critic of large social media platforms, has set his sights on Section 230 of the Communications Decency Act, a legal provision that underpins the modern internet by shielding platforms from liability for third-party content.

Carr’s perspective, outlined in the conservative think tank Heritage Foundation’s Project 2025, aligns with a broader push by both Trump and his predecessor, Joe Biden, to reform or eliminate Section 230. Many see this as a necessary correction to Big Tech’s outsized influence, while others argue it could stifle free expression and disrupt the internet as we know it.

Section 230 grants social media platforms immunity from legal consequences for user-generated content. This allows platforms like Meta, X (formerly Twitter), and YouTube to host millions of posts without the risk of being held liable for harmful or defamatory content. For example, if a user libels someone on X, the individual is accountable, but the platform is protected.

Exceptions to Section 230 exist for copyright violations, facilitating illegal activity, or failing to honor moderation promises. However, these carve-outs are narrow, and critics like Carr argue that courts have expanded the law far beyond its original intent.

In Project 2025, Carr lambasts this expansive interpretation: “Courts have construed Section 230 broadly to confer on some of the world’s largest companies a sweeping immunity that is found nowhere in the text of the statute,” he said.

Carr’s Vision for Reform

Carr proposes a dramatic reinterpretation of Section 230 through FCC directives, aiming to strip Big Tech of legal immunities he deems “non-textual.” His rhetoric reflects a growing consensus in Washington that Big Tech wields too much power without accountability.

“It is hard to imagine another industry in which a greater gap exists between power and accountability,” Carr wrote.

He also emphasizes limiting platforms’ ability to remove content without user notification, a practice Republicans argue disproportionately targets conservative voices.

Both Trump and Biden have called for Section 230’s repeal, albeit for different reasons.

Democrats, led by Biden, criticize Big Tech for enabling the unchecked spread of misinformation, harmful content, and opaque algorithms.

Republicans, including Trump, accuse platforms of censoring conservative voices under the guise of content moderation.

Biden’s position was encapsulated in a 2023 Wall Street Journal op-ed, where he wrote: “We need Big Tech companies to take responsibility for the content they spread and the algorithms they use… We must fundamentally reform Section 230.”

Trump, meanwhile, has been vocal about perceived biases, tweeting in 2020: “Twitter is doing nothing about all of the lies & propaganda being put out by China or the Radical Left Democrat Party… Section 230 should be revoked by Congress.”

The Stakes of Repealing Section 230

Eliminating Section 230 could fundamentally alter the digital industry. Without immunity, platforms would likely impose stricter content moderation, potentially limiting user-generated content. A precedent can be found in Craigslist’s removal of its “personals” section after a 2018 law introduced liability for platforms facilitating sex work.

Big Tech platforms might become more risk-averse, prioritizing vetted content over the open forums that define today’s internet. Critics warn this could stifle free speech, while proponents see it as a necessary step to curb misinformation and abuse.

Legislative Impasse

Despite bipartisan agreement on the need for reform, legislative progress has been slow. In 2023, Senator Josh Hawley (R-Mo.) admitted the blame was bipartisan: “Republicans are just as much to blame, if not more,” he said.

A potential breakthrough looms with a House Energy and Commerce Committee bill proposing to phase out Section 230 over 18 months. However, that is still uncertain, as disagreements over the scope and implementation of reforms persist.

The Trump-Carr Agenda: An FCC with Teeth

Carr’s ascension to FCC leadership signals an intent to use the agency’s regulatory powers to rein in Big Tech. While Trump distanced himself from Project 2025 during his campaign, Carr’s nomination underscores an alignment with its principles.

As Carr assumes his role, the FCC may become a battleground for one of the most contentious issues in tech regulation. Whether this translates into meaningful reform—or exacerbates political divisions—remains to be seen.

Brendan Carr’s Fight Against Section 230, A Clash with Elon Musk’s Free Speech Vision

Elon Musk’s acquisition of X in 2022 was framed as a crusade for free speech. Musk pledged to transform the platform into a digital town square where all voices—regardless of political or social leanings—could freely engage.

“Free speech is the bedrock of a functioning democracy,” he said.

Under Musk’s leadership, X made sweeping changes that included the following:

• Content Moderation Rollbacks: Musk eliminated policies that restricted hate speech and misinformation, citing his belief in minimal intervention.
• Amnesty for Banned Accounts: Musk reinstated accounts previously banned for violating platform rules, including those belonging to controversial figures like former President Trump.
• Algorithmic Transparency: The platform introduced measures to give users more control over content visibility and engagement.

While these changes were meant to bolster free speech, they came at a significant cost. Major advertisers, including Coca-Cola and General Motors, pulled their campaigns, citing concerns over brand safety. Additionally, X faced a mass exodus of users who criticized the platform’s tolerance for hate speech and disinformation.

Musk’s Role in Trump’s Campaign

However, Musk’s X became a vital tool for Trump’s political ambitions. During the 2024 election campaign, Trump leveraged the platform to rally supporters, promote his policies, and counter criticism. Musk himself endorsed Trump’s re-election bid, emphasizing his belief in Trump’s leadership and the need for “bold decisions” to steer America forward.

X’s alignment with Trump’s campaign made it a critical component of his communication strategy, with Musk positioning the platform as a counterweight to mainstream media.

A Potential Rift?

Many believe that Carr’s push to reinterpret Section 230 could undermine Musk’s vision for a free speech-centric X. Without the legal protections of Section 230, X would face heightened liability for user-generated content, potentially forcing Musk to reinstate stricter moderation policies. This would directly conflict with Musk’s libertarian ethos and the changes he has implemented.

Given Musk’s significant contribution to Trump’s re-election efforts, there is growing skepticism about whether Trump will allow Carr to pursue his aggressive stance on Section 230. Many argue that Trump’s own reliance on Musk’s platform highlights the inherent contradiction in Carr’s agenda.