The causes of unemployment in Nigeria should be of interest to you because it's one of the major causes of societal mayhem. These include kidnapping, terrorism, and armed robbery that are rampant and increasing at an alarming rate, spreading like wildfire nooks and corners of the country. Therefore, if we want to halt it, we should think beyond battling with the effect and resolve the root cause of the matter, unemployment.
A report from the National Bureau of Statistics in Nigeria shows that the unemployment rate in Nigeria has risen constantly in the past years. For instance, it increased to 33.30 percent in the fourth quarter of 2020 from about 27 percentage in the second quarter of 2020. It is forecasted to increase further in 2022.
With this content, I will attempt to throw light on the causes of unemployment in Nigeria.
There are several causes of unemployment in Nigeria and include the following:
1. Lack of entrepreneurship skills: The universities and other higher institutions in the country prepare the students for collar jobs that are no longer available. Most of the graduates lack entrepreneurship or skilled labor to secure a job or run a successful business. Narendra Modi suggests that we give importance to skill development because this way, we can end unemployment.
2. Poor infrastructure: A factor contributing to unemployment in Nigeria is the lack of infrastructural facilities to enable businesses to flourish, expand and provide job opportunities to others. For instance, there is no regular electricity to power factories equipment and no good roads for transporting goods and services.
3. Low-quality production: The few entrepreneurs' low-quality productions of goods is one of the several production challenges. The not up to the standard of their products did not make it to fly in the marketplace. For instance, the local rice sold in the market contains particles of tiny stones which discourage patronage by consumers. Entrepreneurs need to enhance their skills and strive for excellence to compete in the global market.
4. Poor management of the economy: After discovering petroleum in the country, past and present governments have neglected or not committed to the growth of other sectors of the economy. As an example, the Agriculture sector which is doing well before the oil boom. The over-reliance on petroleum has the primary revenue made it a curse rather than a blessing to the country.
Barack Obama said poverty is a disease that infects the entire community in unemployment and violence, failing schools, and broken homes. So we can't just treat those symptoms in isolation. We have to heal that entire community.
5. Insecurity frustrates business growth: The country's insecurity, which includes terrorizing herders, armed bandits, and kidnappers, has made many business owners abandon their businesses. A case study is the herdsmen's attack on farmers, which has frustrated the agriculture sector. It has led to losses of lives and many farmers abandoning their farmland to fear being killed or kidnapped.
6. Corruption: Corruption at the helms of affairs by the government official is a significant cause of unemployment in Nigeria. The embezzlement and diverting of money budgeted for infrastructure facilities contributed immensely to the unemployment in the country.
7. Lack of commitment to technological development by the government: It impedes science and technology development and leads to poverty. Kim Campbel said that despite the high unemployment rate, thousands of job opportunities are still not occupied. Much unemployed lack the skills needed today due to technological progress. That's an area we have to keep pressing to fill the gap.
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