Nigeria Case Study (NEE) Flashcards
What is the regional importance of Nigeria?
The fastest Growing economy in Africa, the highest GDP in Africa.
What is the global importance of Nigeria?
- Supplies 2.7% of the world’s oil (12th important in the world)
- The 5th largest contributor to UN peacekeepers
What is the wider political context of Nigeria?
- China is a major investor in the construction
- American companies e.g IBM and Walmart operate there
What is the social context of Nigeria?
- Diverse cultures - multiethnic/multifaith country
- Social diversity has created conflicts e.g Boko Haram
What is the cultural context of Nigeria?
- The Nigerian football team won the African world cup
- Newly emerging cinema “Nollywood”
What is the environmental context of Nigeria?
- Northern areas are semi-desert and arid
- South has high rainfall and temps which make it more rainforest based
What are the changing political relationships of Nigeria to the rest of the world?
- Independence from Britain in 1960 (colonisation)
- Now is an important member of the UN
How has Nigerian trade relationships changed?
- In past Nigeria used to sell most of its oil to the US
- Now the US is fracking more, so Nigeria sends oil to India
What was the Nigerian economy balanced like in 1999?
- 3/4 Agriculture
- Rest split between services and Industry (more services)
What was the Nigerian economy balanced like in 2012?
- Split evenly between Agriculture, Services and Industry
Why is there a change in the Nigerian economy?
- A greater concern for Environment
- IT taking off compare to oil
- Telecommunication growth due to English language growth
- Technology advancements
What is the fastest growing sector in Nigeria and why?
- Industry (manufacturing), cheap labour force and improved infrastructure - along with investment and job security
How is Manufacturing changing economic growth in Nigeria?
- Stimulates multiplier effect
- Thriving international centre which leads to investment increase e.g Volkswagen
- Regular paid work - improves job security
What is a TNC?
Transnational Corporation - a large company that operates in several countries. (HQ in one country, with production in others) e.g Nike
Which TNC is developing industry in Nigeria?
Shell Oil
Where in Nigeria is Shell trying to extract oil?
Niger Delta
What are the advantages of Shell extracting oil?
- Provides 65,000 direct employment
- Gives 91% of Shell contracts to Nigerian companies
- Major contributions to taxes and export in Nigeria
What are the disadvantages of Shell extracting oil?
- Oil spills, huge environmental impact and economic trying to clear
- Militant groups try to disrupt oil supply
- Oil theft and sabotage cost billions a year for gouverment and TNCs
What is an example of environmental impacts due to economic growth?
Bodo Oil Spills (2008/2009)
What were the environmental impacts of the spill?
-Leaks caused 11 million gallons of crude oil to spill over 20km squared of land
What were the social impacts of the spill?
- The livelihood of the farmers was ruined as the oil caused crops and fish to die
What were did Shell agree to do?
- Shell agreed to pay £55 million (and agreed to clear the oil), which would be used to pay for schools and improved health clinics.
What are the improvements in the quality of life in Nigeria?
- In the past decade, has had one of the highest HDI improvements across the world
- Better paid jobs and more reliable
- Improved infrastructure
- Better Health care
- Improved education and medical facilities
What are the negatives of economic development, to the quality of life in Nigeria?
- Overdependence in the oil sector will cause economic stability issues in the future
- Increased development gap
