Is Nigeria still Africa’s oil giant?
Africa's oil giant

Economists define the components of an economy using a simple equation where a country’s income equals the sum of consumption, investment, government expenditure and net exports (exports minus imports).

For Nigeria, all the components seem to be declining. Thanks to high rates of inflation (almost 18%), unemployment (33%), and falling exchange rates (₦600=$1), consumption and investment levels have dropped.
 

Key takeaways:

  • Nigeria’s oil production volumes have been waning for some time now due to theft and vandalism. This has affected our foreign exchange reserves and government revenues which are critical parts of the Nigerian economy.

  • Whereas Nigeria used to be Africa’s top oil producer, our production has fallen so much that we can no longer be called Africa’s oil and gas giant.

  • While Angola and Nigeria contend for the “African oil giant” title, both countries lag in the context of the global oil supply.

The other parts of the economy

This story is only available to Premium subscribers Subscribe or sign in to finish reading

Not ready to subscribe? Register to read a selection of free stories

Noelle Okwedy

Noelle Okwedy

Read Latest

Consumer Goods Transaction Brief: Mediterrania Capital Partners Exits Morocco’s Dislog Group

PREMIUM - 25 APR 2025

Consumer Goods Transaction Brief: South African retail giant SPAR secures $240M syndicated Loan from Investec, others

PREMIUM - 24 APR 2025

Financial Services Transaction Brief: Fintech PayTic closes $4.4M Seed Extension to accelerate Africa expansion

PREMIUM - 23 APR 2025

Limited Partner Profile: Blue Earth Capital

PREMIUM - 23 APR 2025

Download our mobile app for a more immersive reading experience

Scan QR code
mobile download