Africa's most populous state, Nigeria gained its independence from Britain in 1960. Bordered by Benin, Niger, Chad, and Cameroon, its terrain varies from tropical rainforest and swamps in the south to savanna in the north. Nigeria has been dominated by military governments since 1966. After many delays, a promised return to civilian rule came about in 1999, with the election as president of Olusegun Obasanjo, a former general who had been head of state from 1976 to 1979. Nigeria is OPEC's fourth-largest oil producer, but it has experienced a fall in living standards since the 1970s oil boom.

Until fighting erupted between Hausas and Yorubas in the southwest in mid-1999, Nigeria had enjoyed some success in containing tensions caused by ethnic, religious, and linguistic diversity. There is intense rivalry among the Hausa, Yoruba, and Ibo, the three main ethnic groups, as well as among the 245 smaller ones. Religion is a particular source of unrest. Outbreaks of violence, in the north particularly, are frequently attributable to clashes between Islamist militants and Christian proselytizers. When the northern state of Zamfara introduced sharia – Islamic law – in 1999, President Obasanjo, a Christian, refused to attend the ceremony. Proposals to introduce sharia in other northern states have sparked violence, leaving over 400 dead in Kaduna in 2000. Religious tensions were exacerbated by the September 2001 attacks on the USA, and 500 died in riots in Jos.

Traditionally, except in the Islamic north, women have possessed independent economic status. In recent years they have, however, been subjected to some prejudice in professional circles.

Strengths

One of world's top oil producers at 2.1 million b/d. Vast reserves of natural gas, still only partly exploited. Soaring world oil prices in 2000 signified recovery from 1986 collapse. Almost self-sufficient in food. Strong entrepreneurial class. Large domestic market.

Weaknesses

Overdependence since the 1970s on oil, which encourages massive state inefficiency. Advantages of a large domestic market mitigated by low per capita purchasing power and high unit transportation costs. Entrepreneurs focus on trade rather than production. Of Nigeria's traditional agricultural exports only cocoa remains. Notorious corruption and maladministration undermine investors' confidence.

Profile

The economy has been characterized by massive government spending and the running up of debts which could not be serviced after the 1981 oil price fall. Led by the IMF, creditors want major cuts in spending – especially on loss-making public-sector companies – and subsidies. Gasoline subsidies alone are estimated to have cost $2.4 billion a year. Such changes are politically fraught. In May 1999 the government began an anticorruption drive.

Since May 1999 Nigeria has had a civilian constitution, after 16 years of military dictatorships. President Olusegun Obasanjo and his PDP promise national reconciliation.

Profile

The sudden death of military ruler Sani Abacha in 1998, followed by that of the imprisoned Chief Moshood Abiola, the presumed winner of the annulled 1993 presidential elections, left General Abdulsalam Aboubakar to usher in civilian rule. Olusegun Obasanjo, a popular general who was head of state in 1976–1979, won elections held in 1999.

Main Political Issues

Corruption

Corruption has been identified as a major cause of Nigeria's debt levels. Bureaucrats demand lucrative kickbacks when granting contracts. Accusations at all levels of government peaked with the impeachment in mid-2000 of the Senate president. President Obasanjo has promised to stamp out corruption.

Ethnic tensions

The Obasanjo regime faces difficulties in reversing the rivalries among the Hausa, Yoruba, and Ibo. The situation deteriorated from early 2000, with ethnic violence involving Yoruba separatists. The adoption of sharia law, with strict punishments meted out for crimes such as theft and adultery, by many northern states has provoked rioting between Christians and the majority Muslims. Clashes in Jos in May 2002 left 500 dead.

Liking to be regarded as Africa's leading voice, Nigeria is a keen sponsor of ECOWAS and of the AU, and has been the main contributor to ECOWAS intervention forces. However, the military regime's violations of human rights (most notoriously the execution of Ken Saro-Wiwa and eight other Ogoni activists in 1995) prompted UN condemnation and suspension from the Commonwealth. Membership was restored only after Obasanjo came to power in 1999.

Nigeria was an implacable opponent of apartheid, and relations with South Africa were restored only after democratic elections there in 1994. A maritime border dispute with Equatorial Guinea was settled in 2001, opening up the further exploitation of undersea oil reserves.

The military in Nigeria suffers the consequences of corruption. During Babangida's rule (1985–1993), most of the air force's prestige jets were grounded, as money for spare parts was diverted into senior officers' bank accounts. Soldiers' pay has been steadily declining in real terms in recent years, barrack conditions have deteriorated, and morale is low. However, the military government which took power in 1993 encouraged expectations of improved conditions among the army rank and file, and these expectations will no doubt be a problem for the civilian administration which took over in 1999. Nigerian forces intervened as the leading contingent in ECOMOG forces from 1990 to 1999 in Liberia, and from 1993 to 2000 in Sierra Leone.

Oil has been Nigeria's main resource since the 1970s. Government policy is to increase output to 3 million b/d by 2003. Domestic demand is 300,000 b/d, much of it smuggled to neighboring countries. Nigeria's vast gas deposits are still underexploited. The state retains 60% control of the oil and gas industry. Shell is the main foreign shareholder, but most oil multinationals are represented.

Nigeria has sizable iron ore deposits. These are not yet utilized in the state-run steel industry; imported ore is used instead. Bauxite deposits are also currently underexploited. There are, however, plans for establishing an aluminum industry. Nigeria also has deposits of coal and tin.

Oil industry pollution in the Niger delta, a major local concern, came to international attention in 1995. Shell has been particularly condemned. Before the discovery of a highly toxic cargo in 1988, Nigeria was a dumping ground for European chemical waste.

Nigeria relies almost entirely on road transportation. During the oil-boom years of the 1970s, new long-distance roads and stretches of freeway were built. The road network is now badly maintained and in urgent need of repair. The road accident rate is among the world's highest and there is severe and chronic traffic congestion in Lagos. In mid-2000 plans for a new trans-Sahara highway from Lagos to Tangiers, Morocco, were announced. Work started in 2001 on a $40 million ports project that will link the five southeastern states.

The health service functions mainly in urban areas and has suffered from the crisis in government revenues; a 1999 government report stated that only 49% of the population had access to water and health services. More than 2.7 million Nigerians were HIV/AIDS carriers by 2000. Free generic versions of AIDS treatments became available in 2001 and the government supports a successful AIDS awareness strategy.

Responsibility for education is shared between the federal and the state governments. Education has suffered from the government's massive debt repayment burden. During the oil-boom years, Nigeria concentrated on creating 31 universities with prestigious medical and scientific schools. However, standards in primary education, which has not received the same level of investment, have fallen since the 1970s. About 90% of children attend primary school, but only about 30% receive secondary education.

Nigeria has one of the highest crime rates in the world. Murder often accompanies even minor burglaries. Rich Nigerians live in high-security compounds. A special armed police unit was formed to restore order in Lagos in 2002. Brutal sharia punishments are claimed to have reduced crime in northern states. Vigilante gangs are used to fight crime in the southeastern states.

Nigerians with access to the rich pickings of political office spent on a massive scale during the country's oil boom – on expensive cars and on overseas education for their children. Much was financed by government loans. Habits have not changed with the fall in oil revenues: borrowing has simply grown.

Nigeria has attempted to build a tourist industry, but numbers remain low. Year-round tropical temperatures and poor infrastructure have limited its growth. The major deterrent to visitors, however, is crime. Travel can be hazardous, and Lagos has one of the world's highest crime rates.

Before formal colonization by the British, begun only in 1861, Nigeria was a collection of African states owing their considerable wealth to trans-Saharan and transatlantic trade. During the 18th century the principal commodity was slaves: over 15,000 people a year were exported from the Bight of Benin and another 15,000 from the Bight of Biafra.

• 1885 Royal Niger Company given official responsibility for British sphere of influence along Niger and Benue rivers. British armed forces coerce local rulers into accepting British rule.
• 1897 West Africa Frontier Force (WAFF) established; subjugation of the north begins.
• 1898 The Royal Niger Company's charter revoked.
• 1900 British Protectorate of Northern Nigeria established.
• 1906 Lagos incorporated into the Protectorate of Southern Nigeria.
• 1914 Protectorates of Northern and Southern Nigeria joined to form colony of Nigeria.
• 1960 Independence. Nigeria established as a federation.
• 1961 Northern part of UK-administered UN Trust Territory of the Cameroons incorporated as part of Nigeria's Northern Region.
• 1966 January, first military coup, led by Maj. Gen. Ironsi. July, countercoup mounted by group of northern army officers. Ironsi murdered. Thousands of Ibo in Northern Region massacred. Gen. Gowon in control of north and west.
• 1967–1970 Civil war. Lt. Col. Ojukwu calls for secession of oil-rich east under the new name Biafra. Over one million Nigerians die before secessionists defeated by federal forces.
• 1970 Gen. Gowon in power.
• 1975 Gowon toppled in bloodless coup. Brig. Mohammed takes power.
• 1976 Mohammed murdered in abortive coup. Succeeded by Gen. Olusegun Obasanjo.
• 1978 Political parties legalized, on condition they represent national, not tribal, interests.
• 1979 Elections won by Alhaji Shehu Shagari and the National Party of Nigeria (NPN), marking return to civilian government.
• 1983 Military coup. Maj. Gen. Mohammed Buhari heads Supreme Military Council.
• 1985 Maj. Gen. Ibrahim Babangida takes over in bloodless coup, promising a return to democracy.
• 1993 August, elections annulled; Babangida resigns; military sets up Interim National Government (ING). November, ING dissolved. Military, headed by Gen. Sani Abacha, takes over.
• 1994 Moshood Abiola arrested, opposition harassed.
• 1995 Ban on parties lifted. Former head of state Gen. Olusegun Obasanjo and 39 others convicted of plotting coup. Execution of Ken Saro-Wiwa and eight other Ogoni activists; EU imposes sanctions, Commonwealth membership suspended.
• 1998 Abacha dies; Abiola dies; return to civilian rule timetabled.
• 1999 Elections: presidency won by Obasanjo. Commonwealth membership restored, sanctions lifted. Zamfara becomes first state to introduce sharia.
• 2000 Ethnic violence escalates, threatens national unity.
• 2001 200 villagers massacred by army in apparent revenge killing.
• 2002 Hundreds killed after explosion at munitions dump in Lagos. 500 killed in clashes between Muslims and Christians in Jos.