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Privatization And Commercialization of Public Enterprises in Nigeria: A Reflection of The Preferences of The Ruling Elites
Subject area: Arts, Social Sciences and Humanities · Area of research: Privatization and Commercialization
DOI: https://doi.org/10.64388/IREV9I12-1718873
Abstract
The study examined the politics of privatization and commercialization of public enterprises in Nigeria. The study used the theories of public choice theory and elite theory to buttress the points that privatization and commercialization policies are not the solution to public enterprises in Nigeria. It is in the views of the writers that privatization and commercialization programmes are not necessarily meant to benefit the public, but rather for the benefit of the ruling class. It is clearly pointed out that the main problem of public enterprises lies with the conflicting objectives of public enterprises meant to operate as business venture but at the same to provide goods and services at a subsidized price. Through empirical reviews in the study, it was revealed that: with political interference from government at the expense of economic rationality, public enterprises are still expected to make profits. Economic and political rationalities are hardly compatible. It was recommended amongst others that: Public enterprises in Nigeria should be managed as business ventures by granting them through the necessary laws the autonomy they deserve to function effectively without unnecessary interference by political office holders; Ministerial and parliamentary control measures should be straightened for proper and close supervision and oversight functions on the public enterprises.
Keywords
Privatization, Commercialization, Politics, Elite Theory, Conflict Of Objectives.
How to cite this paper
@article{1718873,
author = {Akerete Anthony Udotim, Solomon P. Akpabio, Ochulo, Chukwuebuka Remigius},
title = {Privatization And Commercialization of Public Enterprises in Nigeria: A Reflection of The Preferences of The Ruling Elites},
journal = {Iconic Research And Engineering Journals},
year = {2026},
volume = {9},
number = {12},
pages = {1684-1689},
issn = {2456-8880},
url = {https://www.irejournals.com/formatedpaper/1718873.pdf},
abstract = {The study examined the politics of privatization and commercialization of public enterprises in Nigeria. The study used the theories of public choice theory and elite theory to buttress the points that privatization and commercialization policies are not the solution to public enterprises in Nigeria. It is in the views of the writers that privatization and commercialization programmes are not necessarily meant to benefit the public, but rather for the benefit of the ruling class. It is clearly pointed out that the main problem of public enterprises lies with the conflicting objectives of public enterprises meant to operate as business venture but at the same to provide goods and services at a subsidized price. Through empirical reviews in the study, it was revealed that: with political interference from government at the expense of economic rationality, public enterprises are still expected to make profits. Economic and political rationalities are hardly compatible. It was recommended amongst others that: Public enterprises in Nigeria should be managed as business ventures by granting them through the necessary laws the autonomy they deserve to function effectively without unnecessary interference by political office holders; Ministerial and parliamentary control measures should be straightened for proper and close supervision and oversight functions on the public enterprises.},
keywords = {Privatization, Commercialization, Politics, Elite Theory, Conflict Of Objectives.},
month = {June},
doi = {https://doi.org/10.64388/IREV9I12-1718873}
}