Nigeria’s GDP Paradox
Nigeria is called the Giant of Africa and yes you can argue this because our GDP happens to be the largest in Africa (405.1 Billion) and Egypt (336.3 Billion) then South Africa (294.8 Billion) USD.
Technically we should be the Giants of Africa, with this GDP that be littles its counterparts in Africa. So why are we still one of the poorest countries of the world why aren’t we the richest and the highly developing country in Africa. Where did we go wrong? What seems to be the problem? Is there an unseen chain holding us back from moving forward and truly being developed? Are we just destined to be a Third World Country forever.?
So, let’s go back to the drawing chalkboard and analyse these figures. I will start by using this phrase, “If a House of 2 Carpenters have one child and another House of Two Bank Managers have 1000 kids. Who is the richer family?
This taxes the mind to different thoughts, thoughts that are relevant to learning more about where we are missing it as Nigerians.
Nigeria is one of the most populated countries in the world (No 7 with 180 million peeps!) with about 180 Million people living in it (2016 Estimate). We are too populated for our current GDP of 405.1 Billion to sustain the economy. Therefore, we have a lower GDP per Capita compared to some other African Countries like Gabon, South Africa that have more sustainable economies.
The Bitter Truth is that the large looking GDP of Nigeria is not enough to go around the many millions of black heads roaming around and leave them with a tangible source of income.
GDP per capita of Nigeria compared with other African Countries (Data for PPP: Purchasing Power Parity)
– Equatorial Guinea: $33,768 (No 1)
– Seychelles: $24,587 (No 2)
– Libya: $21,046 (No 3)
– Gabon: $19,264 (No 4)
– Mauritius: $17,200 (N o 5)
– Botswana: $15,752 (No 6)
– South Africa: $12,507 (No 7)
– Tunisia: $11,124 (No 8)
– Egypt: $11,089 (No 9)
– Namibia: $9,583 (No 10)
– Nigeria: $5,942 (No 16)
We can’t even make the top 10 in Africa, and yet we parade ourselves as the Giant of Africa, loooooool!
GDP per capita of Nigeria compared with the rest of the world: (Data for PPP: Purchasing Power Parity)
– Qatar: $127,660 (No 1)
– Luxembourg: $104,003 (No 2)
– Macau: $90,151 (No 3)
– Singapore: $87,885 (No 4)
– Brunei: $76,884 (No 5)
– Kuwait: $71,887 (No 6)
– Norway: $69,249 (No 7)
– Ireland: $69,231 (No 8)
– United Arab Emirates: $67,871 (No 9)
– Switzerland: $59,561 (No 10)
– Nigeria: $5,942 (No 127)
Can you imagine? So if a Man from Switzerland is earning N500,000 per month a Nigerian Man of the same socio-economic class would be earning N50,000.
Many Nigerians blame the poverty of the Nation on Politicians/Government, that is very true but mind you, if a Country is truly rich, then there should still be infrastructure and financials available to a certain level, irrespective of the corruption going on. These other countries like USA etc still face corruption on an even more massive scale, (when $20Billion goes missing in Nigeria, $200Billion can go missing in USA) but still you can vividly see the clear difference in the standard of living of the two countries.
One of the very big problems we are currently facing in Nigeria, is that we think growth is development. We constantly keep believing that the more newer gadgets, automobiles and huge equipment we pump into the country, the more we are developing. We fail to realize that true development comes from the human capital and what they can bring to the economic dining table. We fail to realize that so long as these technologies are not in sync with our home based innovative and technical know how capabilities, even tho surrounded by massive technology (supposedly, cuz most times we even receive their scraps) we might still be in the stone age.