Nigeria - Changing Economic World - Paper 2 Flashcards

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1
Q

What is the population of Nigeria?

A

Around 200 million.

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2
Q

Where is Nigeria ranked for largest economies in the world?

A

27th (2019)

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3
Q

Where is Nigeria ranked for size of population in the world?

A

13th

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4
Q

Where is Nigeria ranked in the world for producing oil?

A

It’s the 12-largest oil producer.

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5
Q

Give 7 reasons why Nigeria is regionally important:

A

-It is one of Africa’s fastest growing economies
-It has the highest GNP on the continent
-It has the third-largest manufacturing sector in Africa
-It has the continent’s highest population
-It has the highest farm output in Africa
-It has the highest number of cattle
-It’s generally seen as an indicator for the entire continent

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6
Q

How many cattle does Nigeria have?

A

20.7 million.

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7
Q

When did Nigeria achieve independence from the UK?

A

in 1960

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8
Q

When was there a civil war in Nigeria and what caused it?

A

There was a civil war from 1967 to 1970 caused by political instability as different factions fought for control.

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9
Q

What has Nigeria been like from 1999?

A

Largely stable.

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10
Q

What elections did Nigeria enjoy in 2015 and 2020?

A

‘Free and fair’ elections.

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11
Q

What did Nigeria’s ‘free and fair’ elections encourage?

A

Investment.

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12
Q

Give 3 examples of investment in Nigeria as a result of political stability:

A

-China (construction projects)
-South Africa (banking)
-The USA (Walmart, IBM and Microsoft)

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13
Q

What has Nigeria’s social diversity created?

A

A rich and varied artistic culture, with thriving music, film and literary sectors.

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14
Q

What film industry does Nigeria have and give a fact about it:

A

It has its own version of ‘Bollywood’ called ‘Nollywood’ - one of the largest film industries in the world.

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15
Q

What is the Nigerian football team like?

A

They have won the African Cup of Nations 3 times, and several players belong to Premier League clubs in the UK.

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16
Q

Describe Nigeria’s social society:

A

It is a multi-cultural, multi-faith society, with several tribes.

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17
Q

Name 2 tribes in Nigeria:

A

The Yoruba and Hausa tribes.

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18
Q

What 2 religions are practised widely in Nigeria?

A

Christianity and Islam.

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19
Q

Give an example of a religious conflict in Nigeria:

A

The rise of the Islamic fundamentalist group Boko Haram has caused conflict and hindered economic development.

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20
Q

What is Nigeria’s environment like to the south and what grows here?

A

High rainfall promotes tropical rainforest. In this region, tree crops include cocoa, rubber and palm oil.

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21
Q

What is Nigeria’s environment like further north and what grows here?

A

Rainfall decreases and grassland (savanna) replaces trees. Here, people grow field crops such as millet, corn and groundnuts (peanuts), and cattle graze here.

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22
Q

What regions is favourable for farming in Nigeria?

A

An upland plateau region - the Jos Plateau - experiences cooler and wetter conditions.

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23
Q

What is Nigeria’s environment like far north and what happens here?

A

The far north has semi-desert conditions, with nomadic grazing of cattle.

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24
Q

How many people in Nigeria live on less than US$1 a day?

A

Almost 100 million people.

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25
Q

In which region is there greater poverty?

A

In the north.

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26
Q

What is industrial structure?

A

The relative proportion of the workforce employed in different sectors of the economy.

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27
Q

What did Nigeria’s economy used to be dominated by?

A

The agricultural sector.

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28
Q

How much of the country’s GDP comes from the manufacturing and service sector?

What has caused this?

A

Over 50%, due to rapid industrialisation.

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29
Q

What has happened to employment in agriculture and why?

A

Employment is agriculture has fallen, partly due to increased mechanisation and rural-urban migration.

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30
Q

What has increased investment and and political stability led to?

A

A rapid rise in manufacturing.

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31
Q

What sector has there been a huge growth in?

A

The service sector (finance, communications and retail).

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32
Q

Which industry in particular is hugely important to Nigeria’s economy?

A

The oil and gas industry.

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33
Q

Where does Nigeria extract oil and gas from?

A

The Niger Delta

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34
Q

What did oil and gas from the Niger Delta fuel and attract?

A

It fuelled Nigeria’s industrial revolution and attracted massive foreign investment.

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35
Q

What is Nigeria’s fastest growing sector?

A

Manufacturing.

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36
Q

Services contribute to how much of Nigeria’s GDP?

A

52%

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37
Q

Manufacturing contribute to how much of Nigeria’s GDP?

A

7%

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38
Q

Oil and gas contribute to how much of Nigeria’s GDP?

A

14%

39
Q

Agriculture contribute to how much of Nigeria’s GDP?

A

22%

40
Q

Give 5 ways how the growth of manufacturing can stimulate economic growth:

A

-A thriving manufacturing sector attracts foreign investment
-They encourage the establishment and growth of linked industries, supplying raw materials or components to each other
-It stimulates growth of service sector
-Increased employment opportunities and higher wages increase consumer demand, which increases the market and leads to further growth and investment in industry
-Increased employment results in higher taxes, so the government can expand economy further and improve social conditions

41
Q

Name 2 TNC’s which the development of Nigeria’s oil and gas industry depended on:

A

-Royal Dutch Shell (UK, Netherlands)
-Chevron (USA)

42
Q

Give 3 economic opportunities created from the TNC’s project in heavily investing in oil and gas?

A

-65,000 jobs created
-Raised incomes
-Huge contribution to Nigerian economy

43
Q

Give 3 reasons why the exploitation of Nigeria’s oil and gas reserves by TNCs have been very controversial:

A

-Tankers transport oil to Europe and the USA where it is refined into petroleum products, the TNCs make most of their profits from refined oil
-Many oil spills have caused water pollution and damaged fisheries
-Oil flares and toxic fumes have increased air pollution

44
Q

How many TNCs currently operate in Nigeria?

A

About 40.

45
Q

Which TNCs are increasingly investing in Nigeria?

A

Asian TNCs.

46
Q

Give 6 advantages of TNCs:

A

-Large companies provide employment and training of skills
-Modern technology introduced
-Companies often invest in local area, improving services and social amenities
-Local companies benefit from supplying the TNCs
-TNCs have many international business links, helping industry to thrive
-Government benefits from export taxes, providing money to be spent on education, health care and services

47
Q

Give 6 disadvantages of TNCs:

A

-They can exploit low-wage economy and avoid paying local taxes
-Working conditions may be poor, with fewer rules and regulations than in richer countries
-Environmental damage
-Higher-paid management jobs often held by foreign nationals
-Most of the profit goes abroad rather than benefitting the host country
-Incentives used to attract TNCs could have been spent supporting Nigerian companies

48
Q

Give 2 ways Nigeria’s development from an LIC to an NEE has changed its global POLITICAL position:

A

-Since becoming independent in 1960, Nigeria has been part of the Commonwealth, maintaining strong links with the UK but also developing links elsewhere
-Nigeria plays a leading political role within Africa in terms of economic planning through the African Union and peacekeeping as part of the United Nations

49
Q

What are Nigeria’s trading relationships with the rest of the world like (imports)?

A

Nigeria’s main imports are refined petroleum products from the European Union and the USA, cars from Brazil, mobile phones from China, as well as staple food crops such as rice and wheat. Most imports come from China, the USA and the EU.

50
Q

What are Nigeria’s trading relationships with the rest of the world like (exports)?

A

Almost 50% of Nigeria’s exports are to the EU, and include crude oil, natural gas, rubber, cotton and cocoa. Most of Nigeria’s crude oil is exported to India, China, Japan and South Korea.

51
Q

How much of Nigeria’s cotton is exported to Austrialia?

A

About 30%

52
Q

Nigeria belongs to several trading groups, give 2 examples:

A

-The Economic Community of West Africa States (ECOWAS), a trading alliance with its headquarters in Abuja

-The Organisation of the Petroleum Exporting Countries (OPEC)

53
Q

What is a ‘cash crop’?

A

Crops that are in high demand are are exported to wealthier countries to use. Basically any crop you make money from.

54
Q

Cash crops like what were established in Nigeria when?

A

Cash crops such as palm oil were established in Nigeria in the 1800s.

55
Q

Since when has crude oil been extracted from the Niger Delta?

A

Since the 1950s.

56
Q

What is a free trade zone?

A

An area where there are no taxes.

57
Q

Give an example of a free trade zone in Nigeria:

A

the Lekki Free Trade Zone (outside the city of Lagos) is a major urban industrial area which has already attracted manufacturers of hair accessories, steel pipes, furniture and trucks.

58
Q

How many jobs are hoped to be created in the Lekki Free Trade Zone?

A

Over 100,000 jobs.

59
Q

What has been created with existing industries benefitting from new markets in the Free Trade Zone?

A

The multiplier effect.

60
Q

Oil and gas account for what % of Nigeria’s GDP and export earnings?

A

14% of its GDP and 95% of its export earnings.

61
Q

What does Nigeria’s dependence on oil mean?

A

It makes it vulnerable to changes in the world oil price, when oil prices fall, it damages the Nigerian economy.

62
Q

Who is Aliko Dangote?

A

Africa’s richest person and the founder of Dangote Cement.

63
Q

How much cement does Dangote Cement produce?

A

48.6 million tonnes per year.

64
Q

How many countries does Dangote Cement export to?

A

10

65
Q

Where does Dangote Cement have plans to open a plant?

A

Nepal.

66
Q

What is Dangote Cement to Nigeria?

A

One of its largest companies.

67
Q

In what is Dangote Cement the largest cement producer?

A

Sub-Saharan Africa.

68
Q

How much of the Nigerian population work in the oil and gas sector?

A

10%

69
Q

Since when has China been buying oil and gas from Nigeria?

A

Since the 1970s

70
Q

How much did China allocate to Nigeria for the development of railways?

A

$1 billion.

71
Q

In the 2000s, Beijing invested how much in the development of the oil industry in Nigeria?

What was this money used for?

A

More than $4 billion.

It was spent on the exploration of oil fields, improving the transport infrastructure, medicine and weapons of the Nigerian army.

72
Q

Give 4 examples of aid projects towards Nigeria:

A

-The Aduwan Health Centre in northern Nigeria, supported by Actionaid and the World Bank, provides vaccinations and general health care, particularly for mothers and babies
-Anti-mosquito nets are provided by the organisation ‘Nets for Life’
-Community Care in Nigeria, funded by USAAID, supports orphans and vulnerable children
-Aid from the USA helps to educate and protect people against AIDS/HIV

73
Q

In 2019, how much did Nigeria receive from official Development Aid (ODA)?

A

$3.4 billion.

74
Q

In 2019, the UK gave how much to Nigeria in aid?

A

£258 million

75
Q

Why does some aid money fail to get to the people who need it?

A

Due to corrupt individuals and corruption within the government

76
Q

What are the environmental impacts of mining and oil extraction?

A

Oil spills and fires in the Niger Delta, causing damage to aquatic ecosystems and toxic fumes being released into the atmosphere. Tin mining has polluted local water supplies and resulted in soil erosion.

77
Q

What are 4 environmental impacts of industrial development?

A

-In the major cities, toxic chemicals are discharged into drains and open sewers , posing dangers to human health and natural ecosystems
-Chimneys emit poisonous gases
-Deforestation
-Waste disposal can poison rivers or land, where it can contaminate ground water supplies

78
Q

How much of Nigeria’s forests have been destroyed?

A

Up to 80%

79
Q

What 3 economic development factors have negative environmental affects?

A

-Mining and oil extraction
-Industrial development
-Urban growth

80
Q

How has Nigeria’s HDI changed?

A

It has increased steadily since 2005, from below 0.47 to 0.539 in 2019. It is one of the fastest growing rates of HDI in the world.

81
Q

How has life expectancy changed since 1980?

A

It has increased from 45.6 to 54.

82
Q

How has access to safe water changed since 1980?

A

It has increased from 46% to 70%.

83
Q

How have expected years in schooling changed since 1980?

A

It has increased from 6.7 to 10.

84
Q

What % of Nigerians now have mobile phone subscriptions?

A

Over 87%

85
Q

What % of Nigeria’s population currently live in poverty?

A

40%

86
Q

What 5 challenges need to be met in Nigeria if the population in poverty are to benefit from economic development?

A

-Government corruption needs to be addressed to ensure wealth reaches all people
-Oil revenues need to stimulate growth across the economy and should be used to diversify Nigeria’s industry
-Environmental issues need to be addresses
-Basic service provision needs to be a priority for all people
-Ethnic and religious conflicts need to be addressed sensitively

87
Q

Give 5 ways how economic development affects people’s quality of life:

A

-Higher disposable incomes means people can spend more money
-Improved health care reduces infant mortality and increases life expectancy
-Improved living conditions enable people to perform better at school/work
-People are beginning to benefit from improvements in infrastructure and services
-Better paid jobs enable people to spend money improving homes or accessing health care/education

88
Q

What has there been claims for about aid in Nigeria?

A

That it’s been used for the Navy.

89
Q

Give an example of UN short term aid:

A

The UN World Food Programme has supplied emergency food to over 400,000 people in northern Nigeria, who are facing starvation, as the farmers were unable to sow their crops due to conflict.

90
Q

How much does the UK give to Nigeria every year?

A

£300 million.

91
Q

Give 2 examples of UK bilateral long-term aid in Nigeria:

A

Health: £100 million spent on training more skilled people to deliver babies in norther Nigeria. 10 million malaria nets issued to reduce disease

Water/sanitation: £7 million spent on 5.5 million more people using safe water and proper toilets

92
Q

Give 2 examples of Chinese bilateral tied aid:

A

Weapons: Supplied arms equipment to Nigerian army, in return, Nigeria has to import cheap Chinese goods. Many are unhappy with this as they provide unfair competition to Nigerian businesses and some poorly made goods have caused fires

Infrastructure: China provided Nigeria with an $11 billion TIED loan to improve its railway networks. In return Nigeria supplied PetroChina with 30,000 barrels of oil a day

93
Q

Give an example of a large scale aid:

A

The World Bank has provided $560 million to build a large scale irrigation and drainage scheme in north-east Nigeria in the Upper Benue river basin. The Dadin Kowa Dam has been built across the Gongola River to form a reservoir which will provide irrigation for farming.

94
Q

Give an example of a small scale aid:

A

Oxfam is working with Nigeria to help small scale farmers improve their productivity so that there is more food available for the growing population. They help prevent volatile changes in food prices, as well as helping female farmers become community leaders so that they are empowered.