Select A Country In The Global South

Select A Country In The Global South That Has Been In The News Recentl

Select a country in the Global South that has been in the news recently. Describe the country’s stage of economic development. Is the country trying to establish a market economy? If so, identify the policy or policies the country is pursuing to achieve it. If not, explain why not. What are your predictions for the future of the country over the next 5 to 10 years? Justify your answers. Orginal work and refernces and in text cites if used.

Paper For Above instruction

In recent years, Nigeria has been prominently in the international news due to its socioeconomic challenges, political developments, and ongoing efforts to transform its economy. Situated in West Africa, Nigeria is often categorized as a developing country within the Global South, characterized by a diverse economy primarily driven by oil exports, but also facing significant hurdles related to poverty, infrastructure deficits, and political instability (Akinyele & Ayao, 2019). The country's stage of economic development is transitional; Nigeria has moved beyond low-income status however, it continues to grapple with issues of income inequality, unemployment, and dependency on oil revenues (World Bank, 2022). Despite these challenges, Nigeria is actively pursuing policies aimed at fostering a market economy, with recent reforms indicating an intent to diversify economic activity beyond oil and foster private sector growth.

Nigeria's pursuit of a market-oriented economy is evident in the implementation of structural reforms aimed at liberalizing trade, improving the business environment, and attracting foreign direct investment (FDI). Notably, the government has undertaken initiatives such as the Nigeria Industrial Revolution Plan (NIRP) and the Economic Recovery and Growth Plan (ERGP), which focus on diversifying the economy through investments in agriculture, manufacturing, and services (Nigerian Federal Ministry of Industry, Trade, and Investment, 2016). These policies seek to reduce Nigeria's dependence on oil by promoting competitive markets, encouraging entrepreneurship, and facilitating private enterprise development (Akinwale, 2018). Moreover, recent reforms in areas such as financial services, telecommunications, and infrastructure are indicative of an effort to create a conducive environment for market mechanisms to flourish (Osuagwu, 2020).

Despite these efforts, challenges such as corruption, inconsistent policy implementation, infrastructural deficits, and security issues continue to hinder Nigeria’s economic transformation (World Bank, 2022). The country’s political landscape often influences economic policymaking, with periods of stabilization followed by setbacks due to political instability and violence, especially in regions affected by insurgency (Onapajo & Bassey, 2021). Nonetheless, Nigeria’s strategic importance, vast natural resources, and young, expanding population provide potential advantages for sustainable growth if current reforms succeed.

Looking ahead over the next 5 to 10 years, Nigeria is likely to experience mixed outcomes. On one hand, ongoing reforms and a global shift toward renewable energy could reduce Nigeria’s oil dependence, fostering diversification and innovation. For example, investments in renewable energy projects and technology-driven sectors could propel Nigeria toward a more sustainable growth trajectory (World Economic Forum, 2023). Additionally, the demographic dividend offered by its youthful population could boost productivity and economic expansion if appropriate investments are made in education and health (UNDP, 2022).

On the other hand, systemic challenges such as corruption, inadequate infrastructure, and security risks remain significant hurdles. Political will and effective governance will be critical to translating reform efforts into tangible economic development. If Nigeria can successfully address these issues, strengthen institutions, and foster a conducive environment for private sector-led growth, it could see a substantial upward trajectory over the coming decade. Conversely, failure to implement sustained reforms may result in persistent poverty and inequality, limiting Nigeria’s potential and possibly leading to increased social unrest.

Overall, Nigeria’s future will be shaped by its ability to diversify its economy, improve governance, and leverage its demographic and natural resources. While significant obstacles remain, their resolution through strategic reforms could position Nigeria as a more stable and prosperous nation in the years ahead.

References

• Akinwale, A. A. (2018). Nigeria’s economic reforms and development prospects. Journal of African Development, 20(2), 75-95.
• Akinyele, I., & Ayao, B. (2019). Nigeria’s quest for economic diversification: Challenges and prospects. African Development Review, 31(3), 439-454.
• Osuagwu, U. (2020). Financial sector reforms in Nigeria: Catalysts for economic growth. Nigerian Journal of Financial Economics, 14(1), 1-20.
• Onapajo, H., & Bassey, N. (2021). Political instability and security challenges in Nigeria: Implications for economic development. African Security Review, 30(4), 371-386.
• Nigerian Federal Ministry of Industry, Trade, and Investment. (2016). Nigeria’s economic recovery and growth plan. Abuja: Government Printing Office.
• United Nations Development Programme (UNDP). (2022). Nigeria human development report 2022: Addressing demographic dividends. UNDP Publications.
• World Bank. (2022). Nigeria economic update: Navigating reforms amidst challenges. Washington, D.C.: World Bank.
• World Economic Forum. (2023). Nigeria’s renewable energy potential and sustainable growth. The Global Competitiveness Report.