Nigeria: Current Issues

Nigeria: Current Issues

November 4, 2014
Nigeria: Current Issues
Nigeria is considered a key country in Africa because of
its size and political and economic role in the region. The
U.S. government considers its relationship with the country
to be among the most important on the continent. Nigeria is
Africa’s largest economy, its largest oil producer, and its
most populous country, with almost 180 million people,
roughly divided between Muslims and Christians. Its
Muslim population is among the largest in the world, vying
with, and likely overtaking, Egypt’s as the largest on the
continent. Lagos, its commercial center, is among the
world’s largest cities. Nigeria, which currently holds a non-
permanent seat on the U.N. Security Council, also ranks as
a top troop contributor to U.N. peacekeeping operations.
Despite significant promise, Nigeria faces serious social,
economic, and security challenges that have the potential
response to the Boko Haram threat, and in particular to the
to threaten state and regional stability and affect global oil
group’s April 2014 kidnapping of more than 250
prices. The country has faced periodic political turmoil and
schoolgirls from the northeast town of Chibok. President
economic crises. Political life has been scarred by ethnic,
Goodluck Jonathan, a Christian from southern Nigeria, is
geographic, and religious conflict, and corruption and
seeking reelection and appears set to face a strong challenge
misrule have undermined the state’s authority and
from an opposition alliance that draws support, in part,
legitimacy. Years of social unrest, criminality, and
from popular disaffection with his administration in the
corruption in the oil-rich Niger Delta have hindered oil
north. Protests and violence across the north in the
production, delayed the southern region’s economic
aftermath of Jonathan’s 2011 electoral victory illustrated
development, and contributed to piracy in the Gulf of
northern mistrust and dissatisfaction, which by many
Guinea. Perceived neglect and economic marginalization
accounts has grown as Boko Haram activity has increased.
also fuel resentment in the predominately Muslim north.
The ruling People’s Democratic Party (PDP) has suffered
internal divisions and defections to the opposition, and the
A violent Islamist group, Boko Haram, has grown
party may face its toughest election yet in February. The
increasingly active in northeast Nigeria, and the
opposition appears likely to coalesce behind a northern
government has struggled to respond to the growing threat.
presidential candidate, possibly with a vice presidential
U.S. officials have expressed concern about Boko Haram’s
candidate from the southwest, to challenge Jonathan. By
impact on the north and related threats to national stability;
many accounts, the elections may be close, and, given the
its ties with another extremist group, Al Qaeda in the
stakes, may be a flashpoint for violence.
Islamic Maghreb (AQIM); and the recruitment of Nigerians
by other transnational terrorist groups, including Al Qaeda
Development Prospects and Challenges
in the Arabian Peninsula (AQAP). The State Department
designated Boko Haram and a splinter faction, Ansaru, as
Nigeria’s economy is now internationally recognized as
Foreign Terrorist Organizations (FTOs) in November 2013.
the largest in Africa and the 26th largest globally. Based
on adjusted metrics, Nigeria’s G
Political Context
ross Domestic Product
(GDP) is now almost double what it was previously thought
to have been and substantially larger than South Africa’s
Nigeria is a federal republic with a political structure
economy. It is also less reliant on oil than expected,
similar to that of the United States. Its president, legislators,
although the sector continues to account for the majority of
and governors are elected on four-year terms. The country
government revenues and export earnings. Nigeria lags far
was ruled by the military for much of the four decades after
behind South Africa on the U.N. Human Development
independence before transitioning to civilian rule in 1999.
Index, though. There is massive income inequality, and a
Elections held in the subsequent decade were widely
majority of the population faces extreme poverty.
viewed as flawed, with each poll progressively worse than
the last. The most recent national elections, in April 2011,
Some economists view Nigeria’s long-term growth as
were seen as more credible, but donors and advocacy
threatened by chronic underperformance, notably due to
groups continue to press the government to improve
poor infrastructure and electricity shortages. Decades of
electoral procedures and prosecute cases of electoral fraud.
economic mismanagement, instability, and corruption have
hindered investment in Nigeria’s education and social
The upcoming February 2015 elections may be affected
services systems and stymied industrial growth. Corruption
by domestic criticism of the Nigerian government’s
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Nigeria: Current Issues
is “massive, widespread, and pervasive,” according to the
most piracy in the region can be traced back to the Niger
State Department’s annual human rights reports.
Delta. Involvement in the theft and illegal trade of crude oil
is not limited to Delta militants—politicians, security
Divisions among ethnic groups, between regions, and
officers, and oil industry personnel are widely rumored to
between Christians and Muslims often stem from issues
be implicated. Efforts to addressing oil theft are further
relating to access to land, socioeconomic development, and
hampered by a lack of transparency in the oil industry.
jobs, and are sometimes fueled by politicians. By some
estimates, 16,000 Nigerians have died in localized clashes
U.S.-Nigeria Relations and U.S.
in the last decade, including more than 800 people killed in
Assistance
2011 in post-election clashes. Nigeria now has the largest
displaced population in Africa—an estimated 3.3 million
The Obama Administration considers its relationship
people—and the third largest in the world.
with Nigeria to be among the most important on the
continent. Diplomatic engagement is sometimes tempered,
Security Concerns
however, by Nigerian perceptions of U.S. intrusion in
regional or domestic affairs, and by U.S. concern with
Boko Haram has grown increasingly active and deadly
human rights, governance, and corruption issues.
in its attacks against state and civilian targets in Nigeria
since 2010, drawing on a narrative of vengeance for state
The United States has been supportive of reform
abuses to elicit recruits and sympathizers. More than 11,000
initiatives in Nigeria, including anti-corruption efforts,
people are estimated to have been killed in Boko Haram
economic and electoral reforms, energy sector privatization,
violence, and some 1.5 million have been displaced. Boko
and peace and development efforts in the Niger Delta. In
Haram has publicly called for an uprising against secular
2010, the Obama and Jonathan Administrations established
authority and a war against Christianity. Its attacks have not
the U.S.-Nigeria Binational Commission, a strategic
exclusively, or even primarily, targeted Christians, who are
dialogue to address issues of mutual concern; its working
a minority in the north, where the group has been most
groups meet regularly. The State Department maintains a
active. The group’s periodic attacks on churches and
travel warning for U.S. citizens regarding travel to Nigeria,
Christian communities nevertheless fuel existing religious
noting the risks of armed attacks in the northeast and the
tensions in the country.
threat of kidnapping throughout the country, including in
the Niger Delta, and currently restricts U.S. officials from
Multiple factors have undermined the Nigerian security
all but essential travel to all northern states.
forces’ response to Boko Haram, notably security sector
corruption and mismanagement. By many accounts, troops
Total U.S.-Nigeria trade was valued at over $18 billion
are not adequately resourced or equipped to counter the
in 2013, and the United States is the largest source of FDI
insurgency. Abuses by Nigerian forces have also taken a
in Nigeria. Nigeria has routinely ranked among the United
toll on civilians and complicated U.S. efforts to pursue
States’ largest sources of imported oil. U.S. imports
greater counterterrorism cooperation with Nigeria, despite
comprised over 40% of Nigeria’s total crude oil exports
shared concerns about Boko Haram and its ties to regional
until 2011, but U.S. purchases of Nigerian oil have since
terrorist groups and operatives. Coordination on
plummeted as domestic U.S. crude supply has increased.
counterterrorism efforts has also been hampered at times by
a lack of cooperation from Nigerian officials.
Congress oversees an estimated $700 million in U.S.
foreign aid programs in Nigeria—one of the largest U.S.
Boko Haram currently appears to pose a threat
bilateral assistance packages in Africa. The State
primarily to stability in northern Nigeria, and potentially
Department’s FY2015 foreign aid request includes more
to surrounding areas in neighboring countries. The group
than $720 million for Nigeria, most of which is focused on
also poses a threat to international targets, including
health programs. Nigeria is a focus country under the
Western citizens, in the region. Boko Haram’s leader has
President’s Emergency Plan for AIDS Relief (PEPFAR)
issued direct threats against the United States, but to date no
and the President’s Malaria Initiative (PMI), and a
U.S. citizens are known to have been kidnapped or killed by
beneficiary of the Feed the Future (FTF) initiative. The
the group. Boko Haram has made rhetorical pledges of
Administration has identified Nigeria as one of six initial
solidarity and support for Al Qaeda and its affiliates, but the
partner countries for its Power Africa initiative, which aims
Obama Administration does not currently consider the
to double access to power in sub-Saharan Africa. U.S.
group to be affiliated with Al Qaeda’s central leadership.
security assistance to Nigeria has totaled over $20 million
annually in recent years, most of which has focused on
In the southern Niger Delta region, local grievances
enhancing law enforcement, counternarcotics, peacekeeping
related to oil production have fueled conflict and
capacity. U.S. counterterrorism assistance to Nigeria has
criminality for over a decade. Government efforts to
been constrained by various factors, but is growing.
negotiate with local militants and an amnesty program have
Nigerian forces are expected to participate in a new 3-year,
quieted the restive region, but the peace is fragile. Some
$40 million regional program to counter Boko Haram.
militants remain involved in various local and transnational
criminal activities, including piracy and drug and arms
CRS Reports RL33964, Nigeria: Current Issues and U.S.
trafficking networks. These networks overlap with oil theft
Policy, R43558, Boko Haram: Frequently Asked Questions.
networks and contribute to the rising trend of piracy off the
Nigerian coast and in the wider Gulf of Guinea, now
Lauren Ploch Blanchard, lploch@crs.loc.gov, 7-7640
considered one of the world’s most dangerous bodies of

IF00030
water. The U.N. Office on Drugs and Crime suggests that
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