Deputy National President of the National Association of Government Approved Freight Forwarders, NAGAFF, Dr. Segun Musa, has condemned investment in passenger rail transport system, describing it as a total waste of money.
Speaking at a Roundtable Discussion organized by the Maritime Reporters Association of Nigeria, MARAN, in Lagos, Musa said that the problem came with government’s inability to prioritize cargo investment in the rail sector.
Musa said that the country’s rail transport system should have focused on cargo movement rather than passenger services so as to impact the economy.
His words: “Had we prioritized cargo transport, the income generated would have repaid the investment by now. Instead, the sector remains financially unsustainable, as passenger services cannot generate the required revenue. Poor feasibility studies and a lack of long-term planning continue to plague the rail sector.
“Countries that do not invest heavily on transportation end up with a slow economy. This is the industry that determines how far a nation can go in terms of prosperity.”
He added, ” If we are to move this country to a prosperous pedestal, we must equip the transport sector effectively to drive the economy. If we do not have an effective transport system, the economy will not grow.”
He also said that the proposed investment for the renovation of the rail system to drive the economy during Obasanjo’s government was mismanaged.
“If we had deployed the rail system to move cargo, we would have finished paying the loan by now. Passenger movement does not generate huge income; only cargo can generate income.
However, Musa said there is a need for a holistic approach to transportation so as to participate in global trade agreements which involves embracing digitalization, and investing in capacity building.
SOURCE: VANGUARD
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