Benue State is located in the North Central region of Nigeria and is known for its rich cultural heritage and natural resources. The state has 23 local government areas, each with its unique characteristics and economic potential. Among these local governments, one stands out as the richest, with a thriving economy and a high standard of living for its residents.
Makurdi, the capital of Benue State, is the richest local government in the state. It is home to the Tiv people, the sixth largest ethnic group in Nigeria, and has a population of over 500,000 people. Makurdi is known for its vibrant economy, which is driven by agriculture, commerce, and government activities. The local government has a well-developed infrastructure, including good road networks, hospitals, schools, and other social amenities.
Makurdi’s economic growth is attributed to its strategic location, fertile land, and abundant natural resources. The local government is blessed with rich soil that supports agriculture, and it is a major producer of crops such as yam, cassava, maize, and rice. Makurdi is also home to several industries, including food processing, textiles, and construction, which provide employment opportunities for its residents.
Overview of Benue State’s Economy
Benue State is located in the North Central region of Nigeria and is known as the “Food Basket of the Nation” due to its abundant agricultural produce. The state is blessed with fertile land, which makes it a hub for agricultural activities. The state’s economy is largely agrarian, with agriculture contributing significantly to the state’s Gross Domestic Product (GDP).
According to BudgIT’s 2022 State of States report, Benue State has an estimated GDP of N4.27 trillion, making it the second state with the largest GDP in the North-Central region, just below Niger State. Out of the 36 states, Benue has the 12th largest GDP. On a per capita basis, the state tops others in the North-Central region.
Benue State is known for its production of yams, rice, beans, cassava, potatoes, maize, soya beans, sorghum, millet, and coco-yam. The state also accounts for over 70 percent of Nigeria’s soya beans production. The state’s agricultural sector employs a significant percentage of the population and contributes to the state’s revenue.
Apart from agriculture, Benue State is also rich in solid minerals such as limestone, clay, and gypsum. The state has the potential to generate revenue from the exploitation of these minerals. The state government has been encouraging private investors to invest in the state’s solid minerals sector.
In conclusion, Benue State’s economy is largely agrarian, with agriculture contributing significantly to the state’s GDP. The state’s rich agricultural land and solid minerals provide opportunities for investment and revenue generation.
Criteria for Wealth in Local Governments
Wealth in local governments is determined by various factors. Some of the factors that contribute to the wealth of local governments in Benue State include:
- Population: Local governments with a larger population tend to have more resources and generate more revenue. This is because a larger population means a larger tax base and more economic activity.
- Natural resources: Local governments with natural resources such as fertile land, mineral resources, and water bodies tend to be wealthier. This is because these resources can be exploited for economic gain.
- Industrial activity: Local governments with a thriving industrial sector tend to be wealthier. This is because industrial activity creates jobs and generates revenue for the local government.
- Infrastructure: Local governments with good infrastructure such as roads, bridges, and airports tend to be wealthier. This is because good infrastructure attracts investment and economic activity.
- Education: Local governments with a well-educated population tend to be wealthier. This is because education creates a skilled workforce that can attract investment and generate economic activity.
Based on these criteria, Makurdi Local Government Area is considered the wealthiest local government in Benue State. Makurdi has a population of 450,000 and is the capital city of Benue State. It hosts some of the biggest industries and colleges in Benue and generates most of its income from taxes.
Other local governments that are considered wealthy in Benue State include Gboko, Otukpo, and Vandeikya. These local governments have a thriving industrial sector, good infrastructure, and a well-educated population.
Top Wealthy Local Governments in Benue State
Benue State is known as the “Food Basket of the Nation” and is made up of 23 local government areas (LGAs). Among these LGAs, some stand out as the wealthiest in the state. This section will highlight the top wealthy local governments in Benue State.
Makurdi Local Government
Makurdi Local Government is the capital city of Benue State and is the richest LGA in the state. It has a population of 450,000 and its primary sources of livelihood are civil service, farming, and entrepreneurship. Makurdi hosts some of the biggest industries and colleges in Benue, which generates most of its income from taxes.
Gboko Local Government
Gboko Local Government is the second wealthiest LGA in Benue State. It is located in the southern part of the state and is known for its large deposits of coal and limestone. Gboko also has a thriving agricultural sector, with crops such as yam, maize, and cassava being major sources of income for the locals.
Otukpo Local Government
Otukpo Local Government is the third wealthiest LGA in Benue State. It is located in the eastern part of the state and is known for its rich cultural heritage. Otukpo is home to the famous Och’Idoma, the traditional ruler of the Idoma people. The LGA also boasts of a thriving trade and commerce sector, with markets such as the Otukpo Main Market and the Ojira Market contributing significantly to the local economy.
Ado Local Government
Ado Local Government is the fourth wealthiest LGA in Benue State. It is located in the western part of the state and is known for its large deposits of tin and columbite. Ado is also home to the famous Ikwe Holiday Resort, which attracts tourists from all over the country.
Other wealthy LGAs in Benue State include Vandeikya, Katsina-Ala, and Ushongo. These LGAs have a thriving agricultural sector, with crops such as rice, soybeans, and groundnuts being major sources of income for the locals.
In conclusion, the above-listed LGAs are the top wealthy local governments in Benue State. They have a thriving economy and contribute significantly to the overall development of the state.
Guma: Economic Profile
Guma Local Government Area is one of the richest local government areas in Benue State. The area is known for its agricultural dominance and commercial activities.
Agricultural Dominance
Guma Local Government Area is one of the leading areas in agriculture in Benue State. The area is known for the production of crops such as yam, cassava, rice, and maize. Guma is also known for its livestock, particularly cattle. The area has a large number of cattle ranches, which has contributed to the growth of the livestock industry in the state.
Commercial Activities
Apart from agriculture, Guma Local Government Area is also known for its commercial activities. The area has a number of markets, which serve as a hub for economic activities in the state. The markets in Guma are known for their diversity, as they offer a wide range of products and services.
Overall, Guma Local Government Area is a hub for economic activities in Benue State. The area’s agricultural dominance and commercial activities have contributed significantly to the growth of the state’s economy.
Makurdi: Financial Hub
Makurdi is the capital of Benue State, and it is also the financial hub of the state. The city is home to several financial institutions, including commercial banks, microfinance banks, and insurance companies.
Business and Trade
Makurdi is a major center for business and trade in Benue State. The city hosts several markets, including the Makurdi Modern Market, Wurukum Market, and the International Cattle Market. These markets serve as a hub for trade in agricultural products, livestock, and other commodities.
In addition to the markets, Makurdi is home to several industries, including the Benue Cement Company, the Nigerian Breweries, and the Taraku Mills. These industries provide employment opportunities for the residents of Makurdi and contribute to the economic growth of the city.
Infrastructure Development
Makurdi has witnessed significant infrastructure development in recent years. The city has a good road network that connects it to other parts of the state and the country. The Makurdi Airport serves as a gateway to the city and the state.
The government has also invested in the development of social infrastructure in Makurdi. The city has several hospitals, schools, and recreational facilities that serve the needs of its residents.
In conclusion, Makurdi is the financial hub of Benue State, and it plays a significant role in the economic development of the state. The city’s strategic location, business-friendly environment, and excellent infrastructure make it an attractive destination for investors and entrepreneurs.
Gboko: Industrial Strength
Gboko is a local government area in Benue state, North-central Nigeria. It is one of the most populated LGAs in the state and an important commercial center in the north-central region of Nigeria. Gboko has a landmass of 2,264 square kilometers and a population of 358,936 according to the 2006 census.
Cement Production
One of the major industries in Gboko is cement production. Dangote Cement Plc, one of the largest cement producers in Africa, has a cement plant located in Gboko. The plant has a production capacity of 4 million metric tons per annum. The company has invested heavily in the plant and employs a significant number of people from the local community.
Commercial Enterprises
Gboko is also known for its thriving commercial enterprises. The primary source of livelihood in the area is trade. The LGA has a diverse range of businesses, including retail stores, supermarkets, and markets. The markets in Gboko are particularly busy, and they sell a variety of goods, including food, clothing, and electronics.
In conclusion, Gboko is a local government area in Benue state known for its industrial strength and commercial enterprises. The area is home to a thriving cement production industry and a diverse range of businesses.
Otukpo: Trade and Culture
Market Centers
Otukpo is a town located in the Middle Belt Region of Nigeria and is the headquarters of the Otukpo Local Government Area. The town is known for its vibrant commercial activities, with the main market attracting a huge number of traders and visitors from neighboring towns and villages on a daily basis. The market is the hub of economic activity in the town and is a major source of revenue for the local government.
Cultural Significance
Apart from being a commercial center, Otukpo is also culturally significant. It is the eponymous name of a subgroup of the Idoma people, who are the indigenous people of the area. The town is mainly inhabited by civil servants and is home to several cultural festivals that showcase the rich cultural heritage of the Idoma people.
One of the most popular festivals in Otukpo is the Otukpo Yam Festival, which is held annually to celebrate the harvest of yams. The festival is a major attraction for tourists and visitors from all over the country and features a variety of cultural activities, including traditional dances, music, and food.
In addition to the Yam Festival, Otukpo also hosts the Igede Carnival, which is a cultural festival that celebrates the Igede people, who are a neighboring ethnic group. The festival features a colorful parade, traditional dances, and a variety of cultural displays.
Overall, Otukpo is a town that is rich in culture and commerce. Its vibrant market centers and cultural festivals make it a unique destination for tourists and visitors who are interested in experiencing the rich cultural heritage of the Idoma people.
Katsina-Ala: Resource-Rich Area
Katsina-Ala is a Local Government Area (LGA) in Benue State, Nigeria. It is a cosmopolitan settlement on the Northern Bank of the river from which the town takes its name. The area is known for its abundance of natural resources and a thriving agricultural sector.
Natural Resources
Katsina-Ala is blessed with various natural resources, including mineral deposits such as limestone, clay, and gypsum. These resources have the potential to contribute significantly to the economic development of the area. The limestone deposits, for instance, can be used in the production of cement, which is a crucial component in the construction industry.
Agricultural Sector
The agricultural sector is the backbone of the economy of Katsina-Ala. The area is home to a vast expanse of arable land, which is suitable for the cultivation of crops such as yam, cassava, rice, and maize. The area is also known for its rich fishing grounds, which provide a source of livelihood for the local population.
The government of Benue State has made efforts to promote agriculture in the area by providing farmers with access to modern farming techniques and equipment. The state government has also established a number of agricultural programs aimed at improving the productivity of farmers in the area.
In conclusion, Katsina-Ala is a resource-rich area with vast potential for economic development. The natural resources and agricultural sector provide ample opportunities for investment and growth. With the right policies and investments, the area can become a major contributor to the economic development of Benue State and Nigeria as a whole.
Revenue Generation and Allocation
When it comes to determining the richest local government in Benue State, revenue generation and allocation play a significant role. The local government with the highest internally generated revenue (IGR) and proper allocation of resources is likely to be the richest.
According to a research paper titled “Revenue Generation in Benue State: Contemporary Issues,” published in 2017 by Anjande and Yahaya, the government of Benue State generates revenue to finance its activities. However, the paper notes that there is room for improvement in tax administration in Benue State.
To determine the richest local government, it is essential to consider the IGR of each local government. For instance, a review of the state’s IGR from 2019 to half-year 2022 shows that a lot of work is cut out for the current administration in the state. In 2018, the state generated a total IGR of N11.22 billion. The following year, it increased by 53% to N17.18 billion, as reported in an article titled “Benue’s socio-economic outlook: Governor Alia’s point of departure.”
Therefore, it is crucial to examine the IGR of each local government in Benue State to determine the richest local government. Additionally, the allocation of resources by each local government is also important. The local government that allocates resources effectively and efficiently is likely to be the richest.
In conclusion, revenue generation and allocation are crucial factors in determining the richest local government in Benue State. The local government with the highest IGR and proper allocation of resources is likely to be the richest.
