Nigeria, Oil

1
Nigeria, Oil Economic Unrest

• Reid Carroll, and Lizzy Galvin

2
Nigerias Geography

• Western Africa, bordering the Gulf of Guinea,
  between Benin and Cameroon.
• Slightly more than twice the size of California.
• It has 853 km of coast line.
• Two major natural hazards are the periodic
  droughts, and the flooding.

3
Map of Nigeria
Nigeria
4
Nigerian People

• Nigerias population is 137,253,133.
• 0-14 years male 29,985,427 female 29,637,684
• 15-64 years male 37,502,756 female 36,205,442
• 65 years and over male 1,944,260 female
  1,977,564

5
Nigerian Culture

• Over 250 languages spoken, and over 250 ethnic
  groups.
• The official language in Nigeria is English, but
  less than half of the people actually speak
  English.
• The Most commonly used languages are Hausa,
  Yoruba, Igbo (Ibo), and Fulani.

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Nigerian Culture (cont.)

• The common religions are Muslim 50, Christian
  40, and indigenous (native) beliefs 10.
• Out of the 250 ethnic groups, the most populous
  and politically influential Hausa and Fulani ,
  Yoruba , Igbo (Ibo) , Ijaw , Kanuri , Ibibio, and
  Tiv.

7
Nigerias Economy 2001

• Nigerias economy revolves around oil.
• Economic growth 3
• Inflation 15
• External Debt 27 billion
• Population Below Poverty Line 66
• GDP (Gross Domestic Product) Of Oil Exports 45

8
Nigerian Poverty

• Nigeria is one of the top twenty poorest
  countries in the world today.
• Poverty is still growing.
• In 2001 66 of people in Nigeria fall below the
  poverty line to one dollar a day.
• Poverty has risen greatly since 1985 when the
  poverty fell below the line 43.

9
Problems in Nigeria

• The Nigerian people are too poor to afford
  expensive oil.
• Oil Prices are rising.
• Nationwide strikes were formed in hope that the
  government would lower the price of oil.

10
Nigeria Oil Production

• Nigeria exports about 2.5 million barrels of oil
  everyday.
• 15 of the produced oil is exported to the U.S.
• Nigeria is the largest oil producing country in
  Africa, and the sixth biggest producer in the
  world today.
• 1.8 billion dollars is made by the government in
  exporting oil.

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Strikes in Nigeria

• The Nigeria Labor Congress organized the
  nationwide strike.
• The nationwide strike effected most major
  businesses.
• Clashes between police, and protestors have
  resulted in people dying.
• Protestors cut through a major oil pipeline,
  disrupting supplies.

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Effects of Higher Oil Prices on the Economy

• The companies that joined the strike lost money
  because the businesses were closed.
• Higher oil prices means that more money is spent
  on heat and gasoline, that less money can be
  saved or spent on other things.

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Chart of rising oil prices
The worldwide price of oil has risen from about
20 per barrel in 1996 to 55 in 2004.
14
U.S. Import of Oil Increases
Importing oil into the U.S., plays a very
important role on the economy. We produce oil,
but not as much as the U.S.needs. Importing oil,
enables us to use all of the oil we need.
15
Increased Oil Prices Effect the Economies of
Other Countries

• The higher price of oil this year, has hurt the
  U.S. economy by 100 billion.
• The higher oil price stops the economy from
  growing.
• If the price of oil keeps on rising, the more the
  country has to pay for the same amount.

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What is The Government Going to Do?

• The strike (organized by the NLC) was meant to
  only last for four days, but the government
  didnt respond (lower prices), so the strike
  lasted up to, two weeks until the government
  lowered prices.
• The unions have tried to persuade the government
  into supplying the county with fuel, but the
  government has been relying on importing oil that
  costs about 2 billion a year., but only 1.8
  billion dollars is made by exporting oil to other
  countries. This means that the country is losing
  money, by buying oil for more money, than they
  are making.