17. Nigeria Flashcards

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1
Q

What is Nigeria’s general climate?

A
  • tropical climate with variable rainy and dry seasons
  • hot and wet close to coast/south, more dry inland
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2
Q

How much oil does Nigeria supply for the world?

A

2.5 %

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3
Q

What is Nigeria’s importance in Africa?

A
  • largest economy/highest GDP in Africa
  • has highest agriculutural output
  • largest populated african country
  • 3rd largest manafacturing sector
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4
Q

What are some countries/companies investing in Nigeria?

A
  • South Africa invested in banking and buildings
  • China investing in construction in the capital, Abuja
  • American firms GE (power plants), Oracle, IBM and Microsoft
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5
Q

What are some divides in Nigeria?

A
  • due to economic inequality between more prosperous South and North, there are new religious and ethnic tensions
  • such as Boko Haram rise
  • has negative effect on productivity, investment and unemployment
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6
Q

What are the reasons between the divide in the North and South of Nigeria?

A
  • GDP is higher in the south as it has things like the Niger Delta, oil reserves and more rain
  • North has drought, lack of resources and rise in Boko Haram
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7
Q

What are 5 political links Nigeria has?

A
  • ECOWAS - trading group for west african countries
  • UN - contributes large numbers of troops
  • OPEC - oil exporting countries, stabilises prices
  • CEN-SAD - similar to ECOWAS
  • African Union - economic planning and peacekeeping group
  • it is a leader in Africa
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8
Q

What are Nigeria’s main imports?

A
  • phones from China (for emerging middle class)
  • cars from Brazil and USA
  • rice and wheat
  • mainly from China, EU and USA
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9
Q

What are Nigeria’s main exports?

A
  • crude oil, refined petroleum, natural gas, rubber, cocoa and cotton
  • to EU, USA and India
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10
Q

What is Nigeria’s LARGEST export?

A
  • Nigeria’s largest export is crude oil
  • it is better quality than oil from the middle east
  • used to be mainly to USA, but shale oil was found, now mainly to India
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11
Q

How big are agriculutural exports in Nigeria?

A
  • crude oil reduced importance of agriculutural exports
  • employs 37% of population
  • customers are Austrailia and Indonesia
  • only Ghana and Ivory Coast in Africa
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12
Q

How much does oil account for in %GDP and %exports in Nigera?

A
  • 10% GDP
  • 86% Export earnings
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13
Q

What is the general change in Nigeria’s economy in terms of sectors?

A
  • employment in agriculuture has declined as machinery is being used more commonly and there is more competition (22% of GDP)
  • industrial sector has grown to 18% GDP but has limited effect on umemployment as many jobs are mechanised
  • service sector has rapidly grown to be 57% of GDP and 60% of employment (especially finances and retail)
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14
Q

How much is manafacturing of Nigeria’s GDP?

A

10%

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15
Q

How has manafacturing affected economic development? (Nigeria)

A
  • lead to more demand for home market(cars, houses) due to people have stable income
  • more stable income + more people employed means more tax revenue for the government
  • Manafcturing stimulates industries that produce close products (e.g robots for the factories)
  • industrial sector growing attracts FDI
  • oil processing has lead to many chemical-by products
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16
Q

Why do TNC’s relocate to foreign countries?

A
  • tax incentives
  • cheaoer labour
  • access to a wider market
  • laxer environmental laws
17
Q

What are some advantages of TNC’s for foreign countries?

A
  1. export revenues earned
  2. local companies benefit off orders
  3. invesment by companies into local infrastructure and education
  4. more money spent in economy
  5. provide employment
18
Q

What are some disadvantages of TNC’s for foreign countries?

A
  • local workers are sometimes poorly paid
  • bad working conditions
  • management jobs will usually go to foreign workers not locals
  • profit generated goes abroad
  • opportunity cost of grants and subsidies given to TNC’s
19
Q

What benefits has Shell Oil provided to Nigeria?

A
  • major contributions in taxes and export revenue
  • direct employment to 65,000 workers and 250,000 in supporting industries
  • 91% of Shell contracts to Nigerian companies
  • suports Nigera energy sector growth
20
Q

What problems has Shell Oil given to Nigeria?

A
  • oil spills caused water pollution and soil degradation leading to decreased fishing and crop yield
  • oil flares send toxic fumes into air
  • oil theft and sabotage are big problems reducing production levels and losing the government and shell billions of dollars per year
21
Q

What are the 2 types of aid?

A
  • emergency aid - follows natural disasters or war (essentials )
  • developmental aid - long term support from gvnmts, charities and more to increase quality of life
22
Q

How many people in Nigeria live on under $1 a day?

A
  • 100 million (60% of population)
23
Q

How much aid does Nigeria receive and where from?

A
  • almost 5 billion
  • 0.5% of GNI
  • from UK, USA and World Bank
24
Q

What factors prevent aid from being used effectively in Nigeria?

A
  • corruption in government and individuals
  • government may divert money for other purposes such as army
  • donors have political influence over aid
  • money may be used to promote commercial self interest of donor
25
Q

How has aid benefited Nigeria?

A
  • aid from USA and UK helps to educate about HIV
  • World Bank approved $500 milion development project funding ( to reduce overdependce on oil)
26
Q

Describe the Aduwan Health Centre Case Study Nigeria (Aid)

A
  • community in Aduwan had no health centre
  • area has high HIV/AIDS and high infant mortality
  • educates mothers about importance about vaccination
  • tests for HIV and other infections
  • immunises children
27
Q

How has industrial growth affected Nigeria’s environment?

A
  • fast unregulated growth of industry has meant environmental problems (5000 legal industrial plants , 10,000 illegal small scale industries)
  • many harmful pollutants go straight into rivers and open drains (Lagos), they harm people and the ecosystem
  • industrial chimneys emit poisonous gases that can affect human respiratory systems
  • desertification is a major problem due to large scale dams and irrigation
  • 70-80% of land has been destroyed due to logging, agriculture, urban expansion etc.
28
Q

How has urban growth affected Nigeria’s environment?

A
  • there are large squatter settlements in most Nigerian cities
  • services have not been able to keep pace with economic growth
  • waste disposal is a major issue
  • traffic congestion is a major problem in most Nigerian cities (leading to high levels of exhaust emmissions)
29
Q

How was commercial farming/deforestation affected Nigeria’s environment?

A
  • settlements and roads have destroyed habitats and added to CO2 emmissions
  • many species have been lost, 500 types of plants
  • commercial farming has lead to land degradation
30
Q

How has mining and oil extraction affected Nigeria’s environment?

A
  • tin mining has lead to soil erosion and pollution of water due to chemicals
  • oil spills in the Niger Delta have lead to massive impact on freshwater and marine ecosystems (oil spills cause fires which can lead to acid rain)
31
Q

What is the Bodo Oil spills case study?

A
  • 2008/09 large oil spills devasted many farmers and fisherman income around Bodo (Niger Delta)
  • leaks in pipeline meant 11 million gallons of crude oil spilt over 20km2
  • Shell payed £55 million to compensate those in Bodo and agreed to clean up the fishing grounds and swamps
  • money will be used to improve health clinics and schools
32
Q

What has been the trend in HDI for Nigeria?

A
  • 2000 Nigeria was in the least developed nations for wealth and education
  • 2011 - one of the highest average HDI improvements in the decade
  • OL is increasing as economic development continues
33
Q

why have nigerian people’s QOL not increased as much as it should have?

A
  • oil wealth has not been used effectively
  • gap between rich and poor has increased
  • corruption is a major factor
  • oil wealth has not been used to diversify economy as it should have (bad as now shale is coming)