Nigeria

Location

west africa, bordering chad, cameroon, benin and niger

regional importance

• largest economy in africa with the highest GDP

• 3rd largest manufacturing sectors

• 19 million cattle - largest in africa

Global importance

• !2th largest oil producers (2.7% of global supply)

• Nollywood

• 21st largest economy in the world in 2014

Political context

Independence from UK in1960

Boko Haram terrorism in the North - instability

Social and cultural context

• multi ethic and multi faith

• inequality - south and north (50% live on the than 1 dollar a day in North)

Environment

hot tropical climate

oil spills, deforestationa dn waste pollutions

How has Nigeria’s economy change?

1. Before relied on farming, now shifter to manufacturing and services

2. Manufacturing sectror - 27% of GDP (textiles, food)

3. 52% of GDP comes from industry and services as a result of urbanisation

4. Foreign investment boosted growth

How change in the economy helps the development?

• more jobs and higher wages

• Better infrastructure

What is a TNC

transnational corporation - eg Shell, Nestle

Shell facts

• 65 000 jobs indirectly

• 250 000 jobs directly

• Invested in roads, pipelines and ports

• oil accounts for 90% of Nigeria’s foreign earnings

Unilever facts

• manufacturing of food, beauty products

• thousands employees

Positives of TNCs

1. Job creation

2. Investment in development (shell spent 12 billion to improve infrastructure)

3. Tax revenue - Shell paid 20 billion in corporation tax in 2013 (schools, roads, hospitals)

4. Sustainable investment - shell invests in renewable energy

Negatives of TNCs

1. Job insecurity - companies can relocate for cheaper labour

2. Environmental damage - bodo oil spills (2008-2009) spilled 11 million gollons of Crude oil intothe niger delta. Eventually, shell paid 55 million in compensation

3. Human rights issue - shell accused in crimes against Ogoni people. Some TNCs - child labour or exploitation of workers

4. Most profit goes to UK

Nigerias exports

oil (USA, india, Europe), cocoa, cotton

Nigerias imports

machinary, chemicals, transport (China)

why nigeria still needs aid?

1. High death rate from malaria, in 2009-20013 World Bank funded 63 million mosquito nets

2. 6-% of population lives on less than 1 dollar per day

3. Low life expectancy (53.9)

4. Only 42% of children vaccinated form measels

5. High infant mortality rate 100/1000

Nigeria recieves aid from?

World banks, USA , UK and EU

Positive impacts of aid

1. Aduwan Health centre - healthcare and vaccinations

2. Nets for life

3. USA aid programs - education about HIV/AIDS

4. Debt relief - 2005, 18 million of Nigeria’s debt cancelled

Bottom up aid

money/resources given directly to the community

Top-down aid

government decides where resources will be distributed

Negative impacts of aid in Nigeria

1. Corruption and mismanagment 0 doesn’t reach ppl, Nigeria scores 149/180 on Corruption Index

2. Dependancy - relying on ad can impact long term development

3. Political Pressure - donor countries influence policies (Neo-colonialism with china)

4. Giving away resources - 45% of oil given to China

Evidence that quality of life in Nigeria has improved

1. Life expectancy rised from 46 (1990) to 55 (2020)

2. 30% have access to clean water in rural areas

3. More job opportunities and higher wages

4. Infant mortality decreased from 125 to 72

5. HDI improved from 0.47 to 0.53

6. 62% literacy rate, 70% mobile phones

Evidence that quality of life is still lacking

1. Limited access to electricity, water and sanitation

2. 30 years ago same as Malasya and Singapore - since then countries moved ahead

3. Increased gap- south is much wealthier

4. High rural poverty

5. Urban problems (lagos is overcrowded, polluted and poor housing)

Environmental impacts of development

• Bodo oil spills - pollution in Niger delta

• Deforestation - 70% of Nigeria’s forest was lost

• Air pollution from traffic and industry

• Makoko slums