05/03/23 1

Human Capital

Presentation by Group 3 of the Nigerian Economic

Summit Group.

05/03/23 2

Objective To focus attention on a few, clear

and actionable priorities that are geared towards providing better manpower training and consequently, satisfying the needs of industry and the nation at large.

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Recent positive changes Improved pay of educators, especially in

universities Much greater private sector participation at

all levels Better spending of proceeds of Education

Tax Fund Achievement of university enrolment

science/arts ratio of 60:401

University Autonomy bill

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University Graduates – Main Identified Shortcomings1

Poor communication skills Lack of analytical and problem-

solving skills Narrow knowledge base Inadequate professional carriage Poor work and professional ethics

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Public Spending in Education as Share of GDP1

Public Spending in Education as Share of GDP in OECDs and Asian Tigers

0.7%

5.4%

6.0%

4.2%

6.5%

3.7%

3.0%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

Nigeria USA France UK Singapore South Korea Hong Kong

Country

% S

hare

of G

DP

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Public Spending in Education as Share of GDP in Africa

Public Spending in Education as Share of GDPin Africa

0.7%

7.6%

2.6%

7.1%

5.0%

4.2%

3.6%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

Nigeria Soth Africa Uganda Zimbabwe Cote d'Ivoire Ghana Kenya

Country

% S

hare

of G

DP

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Federal Government Budgetary Allocation to Education2

Federal Government Budgetary Allocation to Education

40%

7.2%

12.3%

17.6%

10.3% 11.1%8.4%

7.0%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

1960 1995 1996 1997 1998 1999 2000 2001

Year

% A

lloca

tion

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Share of Public Education Expenditure for Tertiary Education

Share of Public Education Expenditure for Tertiary Education

35.3%

25.2%23.7%

14.3%12.2% 13.2%

18.6%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

Nigeria USA UK SouthAfrica

Ghana Uganda Coted'Ivoire

Country

% S

hare

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A First Conclusion… There is a very basic problem of lack

of adequate public funding of education in Nigeria

Public funding of education is biased towards the tertiary level to the neglect of primary and secondary education

This underlays many other problems in the educational system

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Tertiary Education in Nigeria University enrolment

350,0001

Graduates per year 55,000 Expenditure/student/year $9002

Graduate unemployment 22%3

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Recommendations on expenditure on education

Increase substantially public expenditure on education At least 2% of GDP At least 20% of Federal Budget

Increase coverage and quality of primary and secondary education1

Increase quality of tertiary education

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Input of Government to Tertiary Education

Effective autonomy of universities Streamline NUC functions to be in

harmony with university autonomy Allocation of funds to meet capital

expenditure and part of operational costs

Scholarships for deserving students

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Input of Private Sector to Tertiary Education

Provision of endowments in universities Participation in the Students Industrial

Work Experience Scheme Special donations to projects in

universities and patronage of consultancy services

Grants for contract research of university staff and placement in industry during sabbatical leaves

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Input of the Universities Proper budget planning, implementation

and control Review the curricula to meet industry

needs Deploy ICT’s for teaching, research and

administration. Establish industrial advisory councils to

provide feedback to industry Admissions in line with capacity

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Special problems ICT education Inability to retain qualified staff Graduates do not know modern

programming languages Disconnect between learning and

practical application Lack of familiarity with software

development process

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Suggestions to upgrade knowledge in ICT

Creation of “IT corridors” providing computer equipment, servers, Internet access and training for ICT entrepreneurs

Creation of ICT incubators University/Industry partnerships to train

undergraduates in modern program-ming languages and other ICT skills.

Special incentives/remuneration for ICT instructors

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Special problems technical-vocational education Collapse of existing public schools

Lack of qualified instructors, equipment, and consumables

Low (and declining) private sector participation

Low social appreciation Result: acute shortage of trained

manpower at this level

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Suggestions on technical-vocational education

Concentrate on transforming some existing technical schools with focus on skills needed on selected industrial sectors sucah as manufacturing, construction, agriculture...

Review conditions of service of instructors: comparability with industry

Review curriculum: emphasis on multiskilling Give wide publicity to employment and

remuneration opportunities available to those with required technical skills

05/03/23 19

THANK YOU