Nigeria
Type of Government: Federal Republic
Independence: 1960 from the UK
Head of State: President Umaru Musa Yar’udua (since May 29, 2007)
2007/2008 UN Development Index ranking (out of 177 countries): 158
2007 TI Corruption Perception Index (out of 179): 147
Political Development: Following nearly 16 years of military rule, a new constitution was adopted in 1999, and a peaceful transition to civilian government was completed. The government faces the daunting task of reforming a petroleum-based economy, whose revenues have been squandered through corruption and mismanagement, and institutionalizing democracy. In addition, the defusing longstanding ethnic and religious tensions are a priority if Nigeria is to build a sound foundation for economic growth and political stability. Although the April 2003 elections were marred by some irregularities, Nigeria is currently experiencing its longest period of civilian rule since independence. General elections in April 2007 were considered significantly flawed by Nigerian and international observers but they marked the first civilian-to-civilian transfer of power in the country’s history.
Adult HIV Rate: 5.4%
Life Expectancy: 47.44
GDP: $83.36 billion
Inflation: 8.2%
Poverty: 60%
Petroleum: 2.451 million bpd
Leading Export Partner: US (48.9%)
Economic Note: Oil-rich Nigeria, long hobbled by political instability, corruption, inadequate infrastructure, and poor macroeconomic management, is undertaking some reforms under a new reform-minded administration. Nigeria’s former military rulers failed to diversify the economy away from its overdependence on the capital-intensive oil sector, which provides 20% of GDP, 95% of foreign exchange earnings, and about 65% of budgetary revenues. The largely subsistence agricultural sector has failed to keep up with rapid population growth - Nigeria is Africa’s most populous country - and the country, once a large net exporter of food, now must import food. In 2003, the government began deregulating fuel prices, announced the privatization of the country’s four oil refineries, and instituted the National Economic Empowerment Development Strategy, a domestically designed and run program modeled on the IMF’s Poverty Reduction and Growth Facility for fiscal and monetary management. GDP rose strongly in 2006, based largely on increased oil exports and high global crude prices.
