Privatization Commercialization of Public Service Delivery: Implications for Pro-Poor Growth and Attainment of MDGs in Nigeria
GDN Working Paper No. 35. November 2009
Posted: 19 Apr 2016
Date Written: November 1, 2009
The traditional practice of the public sector initiating and managing provision of public services is fast becoming unattractive due to diminishing capacity of the government to cope with increasing demand arising from dwindling economic fortune and the inefficiency with which public services are provided by the government. This has made public services unavailable, inaccessible, and unaffordable to many and of poor quality. The search for solution has led to the idea of privatisation and commercialisation of public services. This development is greatly favoured by the perceived associated benefits of making services more available, accessible and of good quality. There is also the favourable argument that increased competition will lower unit price of services and make such services more affordable to the poor. Nigeria is not left out in the search for solution for epileptic and inefficient provision of public services. In it is this regard that reforms in the area of privation and commercialisation of such services commenced since 1999. Evidence of reforms has manifested in many sectors including education, health, telecommunications and energy. In each of these sectors, private sector participation has been largely encouraged. Eight years after the commencement of the reform process, it is considered pertinent to examine how the affected sectors have performed with respect to availability, accessibility and affordability of services in each of the sectors. Again since the bottom line is to enhance poverty reduction and meeting the targets of the Millennium Development Goals (MDGs), it is considered imperative to examine how the impact of the reforms in each of the sectors is likely to impact on pro-poor growth and attainment of MDGs.
Keywords: privatization, commercialization, service delivery, pro-poor growth, Nigeria
JEL Classification: I18, I28, L33, L38, L96, L98
Suggested Citation: Suggested Citation