Reading Time: 10 minutes
Last Updated: June 25, 2026.
Table of Contents
• The Original Purpose of Government
• Why Politicians Should Never Be Richer Than Producers
• Why Developed Countries Get This Right
• The Nigerian Reality
• When Politics Becomes the Biggest Industry
• The Cost of Neglecting Entrepreneurs
• Why Africa Cannot Develop Without Strong Businesses
• Brain Drain Connection
• What African Leaders Must Understand
• Final ThoughtsWhy Africa's Leaders Need to Hear This Hard Truth
"Any society where you see people in government doing better than entrepreneurs is a failed country. That's why our country is not working."
This statement may come across as harsh at first. Some may even consider it an exaggeration. But if we are honest with ourselves, there is a lot of truth hidden in those words.
Across many African countries, particularly Nigeria, government positions have become some of the most sought-after opportunities in our society. Young people dream of securing government appointments. Politicians spend enormous amounts of money fighting for public office. Elections often become a matter of life and death. Political positions are treated like golden tickets to wealth and influence.
The question is simple:
Why should public service be more financially rewarding than creating jobs, building businesses, inventing products, producing food, or driving innovation?
"Countries become rich by making productivity, innovation, and entrepreneurship their greatest priorities."
In countries that are truly working, entrepreneurs, inventors, industrialists, farmers, and innovators are the real engines of wealth creation. Government exists to create an environment where businesses can thrive for the betterment of the nation.
Unfortunately, in many African nations, the opposite appears to be the case.
Government has become the easiest route to wealth, while entrepreneurship has become one of the hardest routes to survival.
That is a dangerous sign for African countries.
And until African leaders understand this reality, economic transformation may remain a distant dream to achieve.
The Original Purpose of Government
Government was never designed to be the biggest creator of wealth in a country.
Its primary responsibility is to create an environment where citizens can pursue prosperity.
Government should provide:
Security
Infrastructure
Quality education
Healthcare
Fair laws
Stable economic policies
These are the foundations upon which businesses grow.
The role of government is similar to that of a referee in a football match.
The referee does not score goals.
The players are the people who do so.
Likewise, the government should not dominate wealth creation.
Citizens and businesses existing in the country should.
Before we forget, Nigeria is ranked among the world's most difficult places for businesses to access reliable electricity. Yet small and medium enterprises contribute nearly half of Nigeria's GDP, and over 1.8 million Nigerian businesses are SMEs.
When the government becomes the biggest beneficiary of a nation's resources while businesses struggle to survive, something has gone terribly wrong with that nation.
Read also: The Consequences of Lack of Education
Why Politicians Should Never Be Richer Than Producers
Think about it: a businessman builds a factory, and he employs hundreds of people.
He pays taxes.
He purchases equipment.
He contributes to economic growth.
A farmer grows food for the country.
An engineer develops solutions.
A manufacturer produces goods for consumption.
A technology entrepreneur creates platforms that solve problems.
These individuals are creating value.
They generate wealth that adds value to Nigeria's GDP.
They move society forward.
Now compare all that value with a politician whose primary responsibility is to manage public resources allocated to a constituency in the country.
Who should logically be wealthier?
The person creating wealth or the person managing it?
In healthy economies, wealth flows naturally toward those creating value.
That is why many of the world's richest people are entrepreneurs.
They built products and services people voluntarily pay for.
Their wealth reflects the value they created.
Peter Drucker said, "The best way to predict the future is to create it."
Why Developed Countries Get This Right
Look at countries with strong economies.
The wealthiest individuals are often entrepreneurs.
People like:
Tech founders
Industrialists
Investors
Manufacturers
Innovators
Government officials are respected, but public office is not usually viewed as the fastest route to personal wealth.
Why?
Because the system rewards productivity.
The market rewards innovation.
Businesses have opportunities to grow wealth.
Investors feel protected in a country in which they are investing.
Entrepreneurs have access to infrastructure.
As a result, talent flows into business creation rather than political office.
The economy expands.
Jobs are created.
Living standards improve.
Everyone benefits.
Singapore As a Case Study
During the 1960s, Singapore was poor in resources with a high rate of unemployment. Instead of expanding government control over the economy, its leaders focused on creating a business-friendly environment through stable institutions, efficient infrastructure, investment in education, and openness to foreign investment. Today, Singapore consistently ranks among the world's leading economies and attracts entrepreneurs and multinational companies from around the globe, illustrating how strong institutions and support for private enterprise can transform a nation.
The Nigerian Reality
In Nigeria, things often appear different.
Many young graduates today spend years pursuing government jobs.
And political appointments are celebrated more than entrepreneurial achievements.
Election campaigns attract enormous spending to get more votes.
Political office holders often enjoy lifestyles that seem completely disconnected from the economic realities facing ordinary citizens.
At the same time, business owners battle:
Unstable electricity
Poor roads
Multiple taxation
Insecurity
Currency instability
Limited access to finance
According to the World Bank's overview of Nigeria, Nigeria adds about 3.5 million people to its labour force every year, yet job creation is weak, and limited entrepreneurial opportunities continue to push many young Nigerians to seek opportunities abroad. This highlights why creating an environment where businesses can grow is essential for long-term prosperity.
Imagine running a factory while providing your own electricity twenty-four hours a day.
Imagine paying for diesel every week.
Imagine transporting goods across bad roads.
Imagine dealing with inflation that changes your costs almost daily.
These are the realities many Nigerian entrepreneurs face.
Yet they are the people expected to create jobs.
The World Bank review notes that infrastructure gaps, particularly unreliable electricity, transport, and logistics, continue to reduce productivity and hinder private sector growth in Nigeria, and increase the cost of doing business for entrepreneurs.
When Politics Becomes the Biggest Industry
One of the clearest signs of a struggling nation is when politics becomes its most attractive industry and almost the only means of making money.
People begin to see public office not as a responsibility but as an investment and an opportunity to get wealthy.
Instead of asking:
"How can I create value?"
The question becomes:
"How can I get into government?"
That shift is dangerous.
Because economic growth does not come from politics.
It comes from production.
Countries become wealthy because people build businesses.
They manufacture products.
They export goods.
They develop technology.
They create industries.
Politics cannot replace productivity.
Read also: The Brain Drain Crisis: Why Nigeria's Best Talents Are Leaving
The Cost of Neglecting Entrepreneurs
Every time a business closes, an opportunity for someone to get a job disappears.
Families lose income.
The government loses tax revenue.
Economic growth slows.
Yet many African governments and their officials continue to place obstacles in the path of entrepreneurs.
Some business owners spend more time dealing with government agencies than growing their companies.
Others relocate to countries where doing business is easier to operate.
This is one reason why many African startups register abroad despite being founded by Africans.
Entrepreneurs go where they are appreciated.
Capital goes where it is protected.
Investment goes where policies are stable, and the interests of the company are protected.
The
World Bank, mobilizing the private sector in Africa, reports that it has provided
US$1.4 billion in financing that reached more than 312,000 micro, small, and medium-sized enterprises (MSMEs) in Nigeria, demonstrating the critical role small businesses play in employment and economic development.
Why Africa Cannot Develop Without Strong Businesses
No country has ever become prosperous without a strong private sector.
Not one in the history of any nation.
The government cannot employ everyone.
The public sector cannot sustain endless growth.
Real economic expansion happens when businesses grow.
A thriving private sector means:
More jobs
More innovation
More tax revenue
Higher productivity
Better living standards
Without entrepreneurs, there is no sustainable prosperity in any country.
When the government spends alone they cannot create lasting wealth.
According to the World Bank, Nigeria Overview, creating more and better private sector jobs has become one of Nigeria's top development priorities, reflecting and growing recognition that sustains prosperity, which depends on business growth rather than public sector expansion.
The Brain Drain Connection
Many talented Nigerians are leaving the country.
Doctors.
Engineers.
Software developers.
Researchers.
Skilled professionals.
Why?
Because they want environments where their talent is rewarded.
People rarely leave places where opportunity is abundant.
They are leaving because it seems like hard work is no longer enough to succeed.
When entrepreneurs struggle while politically connected individuals thrive, talented people begin looking elsewhere for survival.
That is one reason behind the ongoing "Japa" movement.
Many citizens are simply searching for systems that reward productivity.
Check out our previous article on: Japa decision guide
The World Bank's Nigeria Country Economic Memorandum concludes that declining private investment and limited job opportunities are pushing an increasing number of young Nigerians to pursue opportunities overseas, reinforcing concerns about the country's growing brain drain.
What African Leaders Must Understand
African leaders must stop measuring success by government expansion.
Success should be measured by private sector growth.
The critical questions should be:
How many new businesses were created?
How many jobs were generated?
How much investment has entered the country?
How easy is it to start a business?
How competitive is the economy?
These indicators reveal whether a nation is moving forward or not.
Not the number of government agencies.
Not the number of political appointments.
Not the size of political convoys.
Building a Country That Works
A functioning country rewards creators more than controllers.
It celebrates innovation more than political connections.
It encourages enterprise more than bureaucracy.
It protects its investors.
It supports small businesses in the country.
It provides infrastructure for its citizens.
It maintains the rule of law.
When these conditions exist, entrepreneurs thrive.
When entrepreneurs thrive, jobs increase.
When jobs increase, poverty will decline drastically.
When poverty declines, stability potentially improves.
And when stability improves, the nations prosper.
Over the past two decades, Rwanda has implemented reforms that simplified business registration, strengthened digital government services, and improved the investment climate. These reforms helped attract investment and encouraged entrepreneurship, demonstrating how policy changes can improve the business environment even in a developing economy.
South Korea as a case study:
The people of South Korea transformed their country from one of the world's poorest countries after the Korean War into a global industrial and technology powerhouse by investing heavily in education, manufacturing, exports, and private enterprise. Companies such as Samsung, Hyundai, and LG became global brands because government policy increasingly focused on supporting productive industries rather than treating politics as the primary engine of economic growth.
Paul Romer said, "A country is poor because it cannot afford the institutions that support growth."
Kofi Annan: "Good governance is perhaps the single most important factor in eradicating poverty and promoting development."
Read also: THE RISE OF AI AGENTS: THE NEXT BIG TECHNOLOGY REVOLUTION.
Final Thoughts
The statement may sound uncomfortable, but it contains a lesson every African leader should reflect upon and stay away from: mismanagement of resources and doing the right thing:
When government officials consistently enjoy greater opportunities for wealth than the entrepreneurs creating value, the economic incentives of society become distorted.
A nation cannot build prosperity by encouraging its brightest minds to chase political office rather than build businesses.
The future of Africa will not be determined by politicians alone.
It will be determined by the farmers feeding the millions of people, the manufacturers building industries, the innovators creating technology, the investors funding growth, and the entrepreneurs taking risks every day.
Government should empower these people, not overshadow them.
The day African countries begin rewarding enterprise more than political power is the day genuine economic transformation will accelerate, and everything will turn in the right direction.
Until then, many nations will continue to struggle with the same problems year after year.
Because no country becomes rich by making politics its biggest industry and the means of creating wealth.
Countries become rich by prioritizing productivity, innovation, and entrepreneurship.
Africa's greatest natural resource has never been oil, gold, or minerals; it is the creativity of its people. When governments create an environment where that creativity can flourish, economic transformation becomes a realistic possibility rather than a distant aspiration.
CTA
Do you agree that African countries reward politics more than entrepreneurship? Share your thoughts in the comments and let us know what changes you believe are necessary.
FAQ
Why do entrepreneurs struggle in many African countries?
Entrepreneurs in many African countries often face challenges such as unreliable electricity, inadequate infrastructure, limited access to affordable financing, multiple taxation, policy uncertainty, and insecurity. These obstacles increase the cost of doing business and make it difficult for startups and small businesses to grow. Despite these challenges, entrepreneurs remain a key driver of innovation, job creation, and economic development across the continent.
Why is private sector growth important?
A strong private sector is essential because it creates jobs, drives innovation, attracts investment, and generates tax revenue that governments can use to improve public services. Unlike the public sector, businesses produce goods and services that stimulate economic growth and improve living standards. Countries with thriving private sectors are generally more competitive, resilient, and better equipped to reduce poverty over the long term.
Why are government jobs so attractive?
Government jobs are often attractive because they typically offer greater job security, stable salaries, pensions, and other benefits. In some African countries, limited private-sector opportunities and high unemployment also make public sector employment highly competitive. When government positions provide significantly better financial rewards than entrepreneurship, many talented individuals may prioritize public office over building businesses, which can slow economic growth and innovation.
Can entrepreneurship reduce unemployment?
Yes. Entrepreneurship is one of the most effective ways to reduce unemployment because successful businesses create job space to employ others while introducing new products and services into the economy. Small and medium-sized enterprises (SMEs) are among the largest employers in Nigeria today. When governments create a business-friendly environment through reliable infrastructure, access to finance, and supportive policies, entrepreneurs can expand their businesses, employ more people, and contribute to sustainable economic development.
Source:
About NaijaHustle Hub Online
NaijaHustle Hub Online is an independent Nigerian publication focused on business, technology, entrepreneurship, education, travel, careers, and public policy. We publish well-researched and evidence-based articles designed to simplify complex issues and help readers make informed decisions.
Good one
ReplyDelete