rapid economic development = change in Nigeria Flashcards
location nigeria
- west Africa borders niger +chad
- tropical climate
regional importance africa
- fastest growing economies w/ highest GDP
- third largest manufacturing sector
- home of Nollywood
global importance
- NEE = rapid economic development
- supplies 2.7% of worlds oil – 12th largest producer
political context
- independence in 1960s led to power struggles in 60s and 70s (dictators) == corruption affected development
- 2011 and 2015 election s free and fair
social context
- multicultural in nature = asset
- but also leads to tensions such as 60s civil war and north south divide = terrorist groups e.g. book haram limiting FDI
cultural context
-nollywood + music
environmental context
north = desert south = high temp +rainfall
-south GDP is higher north has book haram and lower yields due to less rain
how has nigerias political and trading relationship w/outer world changed
- used to be British colony so mainly Britain
- now oil is main export and main import partner is china
- china 2014 invested $12billion in railway
effects of economic impacts on QOL
- 2011 HDI had one of worlds largest improvements
- higher disposable income due to more reliable better paid jobs in tertiary sector
effects of economic impact on environment
-mining +oil extraction
-tin mining = soil erosion – local water sources polluted
-oil spills = fires => co2 emitted causes acid rain
-
what prevenst effective use of aid
- corrupt governments
- donor controls where money goes depot limited knowledge of needs of country
what is Nigeria’s source of income?
-1950s discovery of oil saw change from cacao and timer to 98% of countries export earnings being oil (only 50yrs supply left)
how balanced is Nigeria’s economy?
- stable government has allowed for economic growth
- increase within oil production + pharmaceutical industry
- growth of retail +finance = tertiary up
- agricultural jobs fallen due to industrialisation of industry
manufacturing sector
- 10% GDP
- raw material to product
- processing re-centred from abroad to Nigeria means its growing fast
how is manufacturing helping economic developement
- regular paid work = more disposable income for buying cars and clothes
- increased taxation as industries grow +ppl employed
- chemical by-products of oil = soaps plastics
- close links between manufacturing industries e.g. car stimulates growth (Volkswagen in Lagos)
whats a TNC
large company that operates in several countries + take advantage of tax incentives cheaper labour laxer environmental laws + access to a wider market
-40 in Nigeria
shell in Nigeria
headquarters in Netherlands largest oil companies
Overall = has provided many economic benefits e..g tax revenue and employment but shell has undoubtedly exploited the ppl of nigeria and their resources and will continue to do sp
benefit of shell to nigeria
-$20 billion tax 2013 \+export revenue -direct employment for 65,000 ppl -91% shell contracts to Nigerian companies -supports growth of energy sector
tensions of shell in nigeria
- oil flares send toxic fumes
- oils spills = soil degradation reducing yield
- sweathsop conditions
- no job security as TNC can leave
- grants + subsidies to attract could have been invested in nigeria
what is aid
assisting ppl
emergency aid
follows natural disaster (short term) water food medical supplies
development aid
long term by charities + governments to improve quality of life (WORLD BANK)
history of Nigeria aid
debt crisis led to cycle of debt repayment unable tp break
-2005 worlds richest countries agreed to relieve debt
impact of aid in nigeria
- 2014 world bank gave $500 million to fund development projects – long term loans to business reducing dependence on oil
- NGO nets for life prevent malaria
