|Nigeria is classified as an emerging market, and is rapidly approaching middle income status, with its abundant supply of resources, well-developed financial, legal, communications, transport sectors and stock exchange (the Nigerian Stock Exchange), which is the second largest in Africa. Nigeria is ranked 37th in the world in terms of GDP (PPP) as of 2007. Nigeria is the United States’ largest trading partner in sub-Saharan Africa and supplies a fifth of its oil (11% of oil imports). It has the seventh-largest trade surplus with the U.S. of any country worldwide. Nigeria is currently the 50th-largest export market for U.S. goods and the 14th-largest exporter of goods to the U.S. The United States is the country’s largest foreign investor. The bulk of economic activity is centred in 4 main cities: Lagos, Kaduna, Port Harcourt, and Abuja. Beyond these three economic centers, development is marginal.Previously, economic development had been hindered by years of military rule, corruption, and mismanagement, the restoration of democracy and subsequent economic reforms have successfully put Nigeria back on track towards achieving its full economic potential as one of the Major Economies in Africa. According to the Economist Intelligence Unit and the World Bank, Nigerian GDP at purchasing power parity has nearly doubled from $170.7 billion in 2005 to 292.6 billion in 2007. The GDP per head has jumped from $692 per person in 2006 to $1,754 per person in 2007.During the oil boom of the 1970s, Nigeria accumulated a significant foreign debt to finance major infrastructural investments. With the fall of oil prices during the 1980s oil glut Nigeria struggled to keep up with its loan payments and eventually defaulted on its principal debt repayments, limiting repayment to the interest portion of the loans. Arrears and penalty interest accumulated on the unpaid principal which increased the size of the debt.However, after negotiations by the Nigeria authorities, in October 2005 Nigeria and its Paris Club creditors reached an agreement in which Nigeria repurchased its debt at a discount of approximately 60%. Nigeria used part of its oil profits to pay the residual 40%, freeing up at least $1.15 billion annually for poverty reduction programmes. Nigeria made history in April 2006 by becoming the first African Country to completely pay off its debt (estimated $30 billion) owed to the Paris Club.Key sectors|
Obafemi Awolowo University Palm farm, Ile-Ife, Nigeria.Nigeria is the 12th largest producer of petroleum in the world and the 8th largest exporter, and has the 10th largest proven reserves. (The country joined OPEC in 1971). Petroleum plays a large role in the Nigerian economy, accounting for 40% of GDP and 80% of Government earnings. However, agitation for better resource control in the Niger Delta, its main oil producing region, has led to disruptions in oil production and currently prevents the country from exporting at 100% capacity.Nigeria has one of the fastest growing telecommunications markets in the world, major emerging market operators (like MTN, Etisalat, Zain and Globacom) basing their largest and most profitable centres in the country. The government has recently begun expanding this infrastructure to space based communications. Nigeria has a space satellite which is monitored at the Nigerian National Space Research and Development Agency Headquarters in Abuja.The country has a highly developed financial services sector, with a mix of local and international banks, asset management companies, brokerage houses, insurance companies and brokers, private equity funds and investment banks.Nigeria also has a wide array of underexploited mineral resources which include natural gas, coal, bauxite, tantalite, gold, tin, iron ore, limestone, niobium, lead and zinc. Despite huge deposits of these natural resources, the mining industry in Nigeria is still in it infancy.Agriculture used to be the principal foreign exchange earner of Nigeria. At one time, Nigeria was the world’s largest exporter of groundnuts, cocoa, and palm oil and a significant producer of coconuts, citrus fruits, maize, pearl millet, cassava, yams and sugar cane. About 60% of Nigerians work in the agricultural sector, and Nigeria has vast areas of underutilized arable land.It also has a manufacturing industry which includes leather and textiles (centred Kano, Abeokuta, Onitsha, and Lagos), car manufacturing (for the French car manufacturer Peugeot as well as for the English truck manufacturer Bedford, now a subsidiary of General Motors), t-shirts, plastics and processed food.The country has recently made considerable amount of revenue from home made Nigerian Movies which are sold locally and Internationally. These movies are popular in other African countries and among African immigrants in Europe.Demographics
Main article: Demographics of Nigeria
See also: Education in Nigeria and List of Nigerian universities
Population density in NigeriaNigeria is the most populous country in Africa but exactly how populous is a subject of speculation. The United Nations estimates that the population in 2009 was at 154,729,000, distributed as 51.7% rural and 48.3% urban, and with a population density of 167.5 people per square kilometer. National census results in the past few decades have been disputed. The results of the most recent census were released in December 2006 and gave a population of 140,003,542. The only breakdown available was by gender: males numbered 71,709,859, females numbered 68,293,08.According to the United Nations, Nigeria has been undergoing explosive population growth and one of the highest growth and fertility rates in the world. By their projections, Nigeria will be one of the countries in the world that will account for most of the world’s total population increase by 2050.According to current data, one out of every four Africans is Nigerian. Presently, Nigeria is the eighth most populous country in the world, and even conservative estimates conclude that more than 20% of the world’s black population lives in Nigeria. 2006 estimates claim 42.3% of the population is between 0–14 years of age, while 54.6% is between 15–65; the birth rate is significantly higher than the death rate, at 40.4 and 16.9 per 1000 people respectively.Health, health care, and general living conditions in Nigeria are poor. Life expectancy is 47 years (average male/female) and just over half the population has access to potable water and appropriate sanitation; the percentage is of children under five has gone up rather than down between 1990 and 2003 and infant mortality is 97.1 deaths per 1000 live births. HIV/AIDS rate in Nigeria is much lower compared to the other African nations such as Kenya or South Africa whose prevalence (percentage) rates are in the double digits. In 2003, the HIV prevalence rate among 20 to 29 year-olds was 5.6%. About Nigeria, like many developing countries, suffers from a polio crisis as well as periodic outbreaks of cholera, malaria, and sleeping sickness. As of 2004, there has been a vaccination drive, spearheaded by the W.H.O., to combat polio and malaria that has been met with controversy in some regions.Education is also in a state of neglect. After the 1970s oil boom, tertiary education was improved so that it would reach every subregion of Nigeria. Education is provided free by the government, but the attendance rate for secondary education is only 29% (32% for males, 27% for females). The education system has been described as “dysfunctional” largely because of decaying institutional infrastructure. 68% of the population is literate, and the rate for men (75.7%) is higher than that for women (60.6%).Nigeria’s largest city is Lagos. Lagos has grown from 300,000 in 1950 to an estimated 15 million today, and the Nigerian government estimates that city will have expanded to 25 million residents by 2015.