By Dayo Johnson

Akure–The competence, credibility and popularity of the incoming administration will be judged by how it grapples with the lingering insecurity, corruption and the economy .

National Coordinator, State Peer Review Mechanism, Nigeria Governors’ Forum Secretariat, Afeikhena Jerome said this during the 2015 Iju Public Affairs Forum organised by World Bank Consultant, Prof Ladipo Adamolekun.

Jerome who delivered the paper entitled “Sub-National Governments and the Development Process in Nigeria”, in Iju, Akure North area of Ondo State pointed out that elected officials both at the federal and state level will be confronted with “ a perfect storm in the area of the economy.

According to him “The mismatch between needs and financial resources, some of which have been promised during political campaigns will present a major conundrum for both the federal and state governments.

“The foreign exchange reserve is on the downward trend, the excess crude account has dwindled from $17 billion in 2009 to $6 billion in 2014 to $2 billion in February 2015.

“Nigeria is witnessing a rising debt profile. Its total debt now stands at N11.4 trillion, approximately $66.2 billion consisting of federal and state government domestic and external debts.

Jerome said that the current round of oil price decline “is a powerful reminder that Nigeria needs to reduce its dependence on oil as the major source of revenue.

He noted that “ Nigeria urgently needs to diversify its productive base and increase tax receipts.

“ For state government, it will no longer be business as usual, relying exclusively on FAAC allocation from Abuja.

“ As many as 22 states are already having challenges in the payment of salaries.

“ Dwindling allocations from the Federal revenue basket and a restive army of unemployed Youths daily confront the 36 state governments.

“ To avoid a conflagration , they will need to move away from their sluggish growth rates and come up with creative initiatives to improve their economies.

“ States urgently need to devise stimulus packages to facilitate job creation and alleviate poverty.

“ They must think inwardly to create feasible development plans and set out clear approaches for mobilizing domestic resources to meet them

Jerome added that “ Nigeria also urgently needs to restructure the Polity so that states and Local government can truly serve as the engine of development.

“ Peer learning remains a veritable tool for bridging capacity gaps and knowledge shortfalls. This requires sincerity, purpose and discipline.