An economist, Muda Yusuf, has emphasised the need for increased insurance culture, compliance with urban planning, and effective oversight by regulatory agencies to minimise the economic and social impacts of fire outbreaks in the country.
Mr Yusuf gave the advice on Saturday, in response to the fire outbreak at the Great Niger Insurance House in Lagos.
The incident, which occurred between Wednesday and Thursday, razed the entire building on Martins Street, Lagos Island, and resulted in losses running into millions of naira, affecting many small and medium enterprises (SMEs).
He noted that recurring fire outbreaks in major commercial centres had become a growing threat to businesses, with weak safety compliance, poor urban planning, and low insurance coverage worsening the scale of losses.
Mr Yusuf stated that the absence of an insurance culture among traders and small businesses makes recovery difficult, pushing many operators out of business after such incidents.
He faulted the lack of effective oversight and enforcement by relevant safety agencies, saying compliance with fire and building safety standards was almost nonexistent in many locations.
Mr Yusuf said most safety agencies only became visible after disasters had occurred, calling for a shift from reactive responses to proactive prevention and risk mitigation.
“Poor urban and town planning is a major contributor, particularly in congested areas such as Lagos Island, where buildings are closely packed with little or no regard for approved spacing standards.
“Town planning authorities and building control agencies should strengthen monitoring and enforcement to prevent compromises.
“Congestion often makes it difficult for firefighters to access affected areas, allowing fires to spread rapidly and worsen losses,” he said.
The economist also called for accelerated urban renewal programmes, acknowledging that while demolitions might result in short-term losses, they were preferable to continued destruction from preventable disasters.
He urged the government to leverage private sector expertise to strengthen safety compliance frameworks and enforcement mechanisms.
Mr Yusuf stressed that decisive action, commitment, and intentionality by the government were required to end the cycle of recurring fire outbreaks.
The expert also urged traders and SMEs to embrace insurance as a critical risk management tool, noting that it would help cushion the impact of future incidents.
Meanwhile, a businesswoman in the affected building, Sherifat Azeez, told bystanders that her husband was in the same line of business and had warehoused their recently purchased items, which were completely destroyed by the fire.
Lateef Babamole, a trader whose shop was not affected by the fire, affirmed that the recent market fire had left him worried about future occurrences, noting that survival was more a matter of luck than preparedness.
He noted that many traders lost their entire stock within minutes, adding that poor market layout, lack of safety equipment, and limited insurance coverage continued to expose businesses to similar risks.
Mr Babamole called on the government to take stock of traders who have lost every penny they had to the fire and to help them start over with soft loans while increasing fire safety systems across all markets in the state.
(NAN)