Effect of corruption in Nigeria

Effect of corruption in Nigeria

Effect of corruption in Nigeria is horrible. Every citizen in Nigeria can now feel its consequences. Every sector of the economy is dreadfully involved in corruption. The new president - Muhammadu Buhari even launched a new anti-corruption policy. Still, no significant changes have occurred. What is the real effect of corruption in Nigeria?

Corruption in Nigeria

Corruption in Nigeria

The dynamic impact of corruption in Nigeria is felt by every layer of the population. The most fragile social layer is poor households and small firms. Corruption in this sector of economy reduces any chances to increase human investment and capital. Cases of corruption in Nigeria are widely associated with poor public finance management. The increasing number of barriers from public provisions decreases the ability to do business.

GDP and jobs in Nigeria

Foreign direct investment sector has significantly decreased in the last decade. Foreign investments can provide real growth of GDP and jobs in Nigeria. Still, investors do not like the idea of spending even one cent in vain. Government effectiveness is also damaged due to the situation with corruption. The officials on high levels of Nigeria also get bribes. It means that their interests in creating laws can be strictly lobbied by price.

Corruption in Nigeria is associated with low standards of living. Should we be reminded that Nigeria is the richest oil country in West-Africa? Still, for more than half a century of its independence – Nigeria has not become an oil miracle. Most of the resources of the country are located in the hands of several hundred families. They live in luxury. Other Nigerians live in poverty. About 80% of Nigerians are poor by the international standards of living.

corruption in Nigeria today

Effect of corruption in Nigeria hits the low layers of the population. People have to survive in the country where rules can be omitted if you have money. The distribution of financial resources in Nigeria is inadequate. It leads to the increasing growth of low-income families. The middle-class that should form the majority of the population has no significant effect on politics. The gap between the poorest and the wealthiest citizens is extremely wide.

Instead of hiring good managers who could change the country - the government desires to dive into nepotism. It means that Nigerians get highly untrusted government representatives. No progress can be made in Nigeria with corrupted government. Bribery and corruption in Nigeria have a long history. From the very beginning of its independence, the government officials did not miss any opportunity to steal money from the budget of the country.

History of Corruption in Nigeria

History of Corruption in Nigeria

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Nigeria has a long history of corruption. Let`s take a look at the most scandalous!

- In 1975, the officials of Gowon Administration were involved in the cement importation scandal. This scandal included almost all officials of the central bank and defense ministry. Nigerian officials were accused of falsifying ships manifestos. Millions of dollars from the budget were lost.

- Olusegun Obasanjo administration was a deeply corrupt government. Even the head of the state was involved in scandals with telecommunication firm ITT. Olusegun Obasanjo was criticized for his Operation Feed the Nation Program. It was mainly associated with land stealing. His famous project Otta Farm Nigeria was supposedly born out of this scandal.

Olusegun Obasanjo

- The real problem with Nigerian corruption occurred during the administration of Shehu Shagari. Few buildings that contained the financial documents of the government officials were burned down. Few days later, it was shown that the officials transferred money from the country with the help of Asian importers.

- Babangida Administration helped corruption to obtain an official status in Nigeria. Ibrahim Babangida is accused of corruption, bribery, power abuse and even drug trade in Nigeria. His reign provided a new class of citizens in Nigeria. They are called nouveau riche. They were mainly the closest friends and family members of the state head. Ibrahim Babangida now lives in an exquisite mansion in Niger.

Obasanjo administration

- Obasanjo established a new trend of corruption during his years in power. It was the first time in the history of the country that FBI and international detectives investigated the case of corruption in Nigeria. It was the first time a U.S. Congressman was involved in Nigeria corruption.

- Goodluck Jonathan managed to improve positions of Nigeria in the world corruption ratings. Still, his presidency did not miss scandals. They were mostly connected with secret deals between the NNPC and some people in the administration.

How to eradicate corruption in Nigeria?

How to eradicate corruption in Nigeria?

The situation in Nigeria is drastic. According to the American financial researches, if the corruption in Nigeria does not slow down, then by the year of 2030, it will cover about 37% of GDP. It means that every citizen starting from today will lose about $1000 to corruption every year. By the year of 2030, this number will increase up to $2000 per person.

Still, if Nigeria tackles the problem with corruption in the next decade – Nigerians may expect to have about $535 billion of GDP by 2030. This tremendous sum can`t go without a price. The potential benefits of anti-corruption programs are enormous. It includes increasing number of jobs, conditions of life and wages. Alas, today the numbers provide a completely different picture.

Corruption in Nigeria

The future of Nigeria is bright. Corruption in Nigeria can be dealt with. The desire of eradicating corruption should come not only from politics in high cabinets but also from regular people. Low-income families should be the main power of changes as they are the majority of the population.

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Source: Legit Nigeria

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