Privatization commercialization are issues of our time and it is to the credit of the Structural Adjustment Programme (SAP) that now have this objective as a current economic policy. Together with rationalization of government parastatals and removal of bottlenecks, privatization is the last of four concrete policy measure of SAP yet to be implemented. Other three are:
-The second-tier foreign exchange market (SFEM) which on July 2, 1981 was changed to Foreign Exchange Market (FEM);
-Debe Management which has been progressing
-New tariff structure which was introduced and designed to last of years.
All these policy measures as embodied in the SAP were all designed to restructure and reform the Nigerian economy. The economy withnessed a recession since 1981 and recorded some marginal improvement in 1985 but was adversely affected by the fall of oil prices in early 1986. The economy was characterized by dectiming industrial output, heavy dependence on crude oil and dwindling foreign exchange earnings. It was also marked by price distortion, non-optional public investment and expenditure, traditional imponts of consumer goods, etc.
This is the background of the SAP and amongst its objective we have restructuring of consuption and production pattern. The SAP is expected to further rationalize and restructure expenditure and it is here that privatization comes in as one of the policy instruments.
It is obvious that with the level of national development that privatization is still a concept yet to be full developed and understand what do privatization / commercialization involve as government policy and as concept. Essentially from federal military government official gazette, “Privatisation” means the relinquishment of part or all of the equity and other interest held by the Federal Military Government or it agency in enterprises weather wholly or party owned by the federal military and “privatize” shall be construed accordingly. The common strand running through all is to increase the participation of the private sector in the activities previously performed by the public commercialization on the other hand, menas the reorganization of enterprised wholly or partly owned by the Federal Military Government in which such commercialized enterprises shall operate as profit making commercial ventures ad without subvention from the Federal Military Government. From the same gazette, enterprises means any corporation, board, company or parastatals established by or under any enactment in which the federal government or any of its department, ministries or agencies has ownership, joint venture or any other form of business arrangement or organization.
TABLE OF CONTENTS
Table of Contents
1.1Background of the Study
1.2Statement of Problems
1.3Objectives of the Study
1.4Significance of Study
1.5Scope and Limitations of the Study
CHAPTER TWO:REVIEW OF RELATED LITERATURES
2.1Security and Exchange Commission (SEC)
2.4Insurance Companies and Permission Funds
Summary of findings
Recommendation and Conclusions