The Secret to the Enduring Success of Akara and Kulikuli Traps

As another election year unfolds, the phenomenon of "free" money being distributed at various gatherings has resurfaced, with the givers, often politically exposed individuals, labeling it as empowerment, while their paid media advocates praise their altruism and anticipate widespread gratitude.

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However, those who have experienced this sort of grand deception before are aware of the truth, which is that the flow of funds will cease after the elections, a pattern that has been observed in the past.

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The recent N50,000 grants given by the First Lady to petty traders and party workers have sparked a controversy, albeit for the wrong reasons, with Senator Oluremi Tinubu's mention of starting a self-sustaining akara and kulikuli enterprise overshadowing the real economic and social implications of the gesture.

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The First Lady stated, "We are trying to give hope, and to start the akara business doesn’t take a lot of money, to start roasting corn, or somebody even said kulikuli, doesn’t take much…", a statement that was half-right and half-wrong regarding the potential for aggregate economic development through occasional acts of politically motivated grants.

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There is evidence that numerous great multi-national enterprises began with minimal investments, such as Colonel Sander's Kentucky Fried Chicken, which started as a neighborhood and door-to-door catering service before expanding globally, and Carlsberg lager, which originated as a small-scale attempt by a individual named Carls and was initially sold to only a few customers in the town.

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History is replete with examples of people and brands that started as mini-enterprises and became giants in their industries, supporting the First Lady's assertion that small investments can lead to significant economic development.

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The First Lady was also correct in extolling the dignity of honest labor, as idleness and criminal activities pose real dangers to society, and every developed nation has risen on the labors of people performing menial tasks and getting paid for it.

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Despite the emergence of labor-saving devices, many people still work as dish washers, lawn mowers, and pickers in farms globally during harvest time, highlighting the importance of these tasks in maintaining the universal food chain.

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However, the First Lady's statement was incorrect in three ways, as "exceptions don't make the rule", and the examples of a few women who have achieved success with small food businesses do not represent the norm.

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Supporters of Mrs. Tinubu have cited these examples as proof that she was right, but this conclusion is problematic, as born entrepreneurs who can turn dust to gold are rare, and most people are not gifted with the same level of business acumen.

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Aptitude, luck, and opportunity all play significant roles in determining the success of small businesses, and most people given N50,000 as start-up capital would not be in business six months later if that is all they depend on.

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This fact is evident in Lagos Island's open markets, where the turnover rate among under-capitalized businesses is extremely high, with many closing within a month of opening, and starting with N50,000 and hoping to make a living is certainly out of the question.

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The third and most important reason interventions like these don't work is that the recipients often regard the money as their share of the national cake, rather than a gift or loan, justifying their position by the timing of the gesture, which is often tied to election campaigns.

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In 2018, Vice President Yemi Osinbajo distributed N10,000 cash gifts to selected traders in Lagos, which was touted as a promotion of small businesses, but the grants stopped shortly before the election, leading to questions about the true intentions behind such interventions.

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The fact that there was no feedback mechanism in place to monitor the progress of the recipients suggests that the money was not intended for investment, but rather as a bribe to buy votes, and the same pattern is likely to repeat itself with the current N50,000 grants.

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The question remains, what is the N50,000 for, and is there any Nigerian over the age of ten who really believes that it is for akara, kulikuli, or any such business, and will it continue after the elections.

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President Tinubu's spokesmen have a lot to defend, including the alleged N8 trillion unbudgeted and fuzzy expenditure, the "fake agency" with an office in the Federal Secretariat and a N1.3 billion budget, and now the "akara and kulikuli" empowerment program, which has raised more questions than answers.