RULE OF LAW AND THE ECONOMIC IMPLICATIONS • WHAT PRESIDENT BUHARI SHOULD UNDERSTAND, By Emmanuel Akpunonu

The concept of rule of law as popularized by Prof. A.V Dicey is the supremacy of man- made laws as enacted by legitimate authorities and interpreted by the courts of law. Rule of law demands that all individuals, institutions and authorities within a State should be subject to the laws of the State as administered by the courts of law.

 
The major index considered by foreign investors before pitching their tent with any economy is the level of compliance by State authorities with the concept of rule of law. 

The reasoning behind this is that no matter how viable an economy is in terms of investment, a government that has no respect for rule of law can wake up one morning, level unfounded accusations against a successful foreign investor and seize his/her assets without a fair trial. Hence, foreign investors normally avoid like a contagious disease, any economy where rule of law is relegated to the background.
 
The current state of the Nigerian economy calls for scrutiny. The APC led administration has virtually ascribed to the past administration, every misfortune presently experienced by the Nigerian economy. It is however on clear records that despite the level of corruption ascribed to the past administration, Nigeria was then a choice investment destination in Africa. 

Today, rather than attract new investors, the existing ones are leaving the country on daily basis. Should we also ascribe this to the past administration? To do so will in my humble opinion  simply amount to living in a fool's Paradise. Which foreign investor in his right senses would risk putting his/her money in  an economy where people are detained arbitrarily without trial? Tell me the foreign investor in his right senses that would risk putting his/her money in an economy where the President can sit in the comfort of his office and over rule an order made by a court of competent jurisdiction?
 
No matter how much our dear President hates to hear the TRUTH from lawyers, he should understand that he had through his unguarded statement, actions and inaction, sent a very wrong signal to the international business community.  Mr. President had portrayed his administration as a democratically disguised tyranny.

This is the major reason behind the continued decline of foreign investment in Nigeria. The vice President (if Mr. President ever grants him audience) should do well to guide the President on the relationship between rule of law and foreign investment.

To win back the lost confidence of the international business community, Mr. President should as a matter of urgency, direct an immediate and fair trial of those currently detained arbitrarily. 

He should also try as much as possible to avoid making or issuing perverse public statement on decisions of courts of competent jurisdiction. Unless these advice are heeded, any policy introduced by the present administration to resuscitate the Nigerian economy will not yield much result.