Recent reports from the National Bureau of Statistics (NBS) have revealed that Osun State has failed to attract both foreign direct investment (FDI) and local investment. This is in flagrant deviation from Mr Governors mandate to the commissioners and appointee of the governor in the state cabinet. In Mr. Governors words. He task the commissioners, Special Advisers and appointees to Reengineer the economy, generate wealth, engage our youth, deepen our economic base, embrace digital economy, all these are Mr governors expectation for these appointee, which they failed to achieve in these sectors ,contributing significant failure in the state’s economic development, particularly in the areas of commerce, industry, and investment promotion. Despite opportunities designed to stimulate economic growth, The State’s economic and investment drive appears to be at a standstill, raising concerns about the competence and effectiveness of those tasked with driving these initiatives.
At the heart of this issue is the Ministry of Commerce and Industry, led by Commissioner Mr. Bunmi Jenyo. The ministry, which is expected to play a pivotal role in attracting investments and fostering industrial growth, has failed to deliver on its mandate. Under Mr. Jenyo’s leadership, there has been little to no visible effort to attract investors or revive the state’s moribund industries. Rather, millions of naira were wasted on failed economic summit with no tangible result to show for the money spent on the jamboree summit. This lack of progress is particularly concerning, given the state’s vast potential in agriculture, manufacturing, and trade, coupled with the current infrastructure development drive of the current government.
One of the most glaring examples of this failure is the underperformance of the Osun State Investment Promotion Agency (OSIPA) led by Mr Felix Olatunji. OSIPA was established by the previous administration under the leadership of the former governor, Mr Gboyega Oyetola, OSIPA was created with the aim to attract and facilitate investments in the state. However, since Mr Felix Olatunji has been appointed, the agency has failed to deliver any significant results. In the two years since his appointment, Mr. Olatunji has not facilitated any notable investments, leaving the agency’s office as little more than a symbolic entity. This lack of productivity raises serious questions about the agency’s relevance and the competence of Mr Olatunji Felix who is a resident of United states of America with no known track record or relevant experience to deliver on the job.
Osun State is home to two free trade zones, the Omoluabi and Living Spring Trade Zones—both of which have been inactive for years. These free trade zones, which were designed to attract investors and boost economic activity, have become moribund due to neglect and mismanagement. The National Export Processing Zones Authority (NEPZA) website currently lists these osun free trade zones as inactive, and nothing is going on at the state free trade zone, a clear indication of the state’s failure to leverage these critical assets. The revival of these trade zones could have provided a significant boost to the state’s economy, creating jobs and attracting both local and foreign investors. Unfortunately, the current administration has shown no interest in addressing this issue and those tasked to address the issue would rather use the state resources to travel to the US and UK respectively to visit their family rather than help the state to facilitate investment.
Another missed opportunity is the Special Agro-Processing Zone (SAPZ) program, a joint initiative of the Federal Ministry of Agriculture and the African Development Bank (AfDB). The SAPZ program has the potential to generate thousands of jobs and attract significant investment to the state. Which some state like Oyo state in phase 1 of the initiative, had already tapped into it. However, Osun State is the only state in the country that has yet to submit its proposal and Environmental and Social Impact Assessment (ESIA) for the second tranche of SAPZ funding, which is targeted for funding in 2026. This dereliction of duty is a clear indication of incompetence and a lack of urgency on the part of the state Ministry of Commerce and Investment promotion agency. By failing to meet the requirements for SAPZ funding, Osun State is missing out on a golden opportunity to leverage on this opportunity to remove the state from being a civil servant state and boost its economy.
The state government’s current focus on crop production, driving 1,000 hectares of farmland per local government, is a commendable initiative. However, without the necessary infrastructure and processing facilities, the harvest from these farms’ risks is going to waste. The absence of cassava processors, maize processors, cocoa processors, palm oil and vegetable processors, feed millers, and oil processors in the state means that the value chain will remain underdeveloped. The Ministry of Commerce and Industry should be actively working to attract these industries to the state, ensuring that the raw materials produced in various farm clusters are utilized effectively. Without this, the state’s economic potential will remain untapped, we will continue to export jobs to neighnbourng state by selling product cheaply and processing our raw material for pea nuts, and the economic benefits will be minimal.
It is clear that the current leadership in the Ministry of Commerce and Industry, as well as OSIPA, has failed to deliver on its mandate. The governor must take decisive action to address this issue. Setting clear targets for these agencies and holding their leaders accountable. If these individuals are unable to deliver results, they should be redeployed to a less demanding role. While it is understandable that some of these individuals may be close allies of the governor, the economic future of Osun State must take precedence over personal relationships.
Osun State has immense potential, but this potential can only be realized through effective and purposeful leadership and a commitment to attracting investment that will bolster the state economy. The current state of the economy been tagged as ‘civil servant state’ is unacceptable, and urgent action is needed to revive the state’s investment drive. The governor must look inward, reassess the performance of key officials that are underperforming, reshuffle her cabinets and take in more cerebral and productive individual who have track records of excellence, excuse laggards, blockers, spoilers in his caninet and take the necessary steps to ensure that Osun State is positioned to attract the investments it so desperately needs and take Osun away from been a civil service state.
Femi Adesola can be reached via:
adesolafemigab@gmail.com