From 1994 to 2024, the Bank's officials consistently advance two core ideas - economic "reforms" must proceed even when they're unpopular, and such "reforms" cannot fail, but can only be failed.
One of the consequences of the earlier SAP was a massive expansion in the scale and scope of Nigeria's informal economy. The supposed successes of that period not only failed to reverse that growth, the country has seen it continue since. A study from about 10 years ago estimated that 90% of incomes earned in Lagos were earned in the informal economy...or, to be more precise, the economy, because that is what Lagos, and other parts of the country, now rely on. And Nigeria now has the largest number of individuals living in absolute poverty of any country in the world. But hey, market forces have now been unleashed and that is A Good Thing, right?
One of the consequences of the earlier SAP was a massive expansion in the scale and scope of Nigeria's informal economy. The supposed successes of that period not only failed to reverse that growth, the country has seen it continue since. A study from about 10 years ago estimated that 90% of incomes earned in Lagos were earned in the informal economy...or, to be more precise, the economy, because that is what Lagos, and other parts of the country, now rely on. And Nigeria now has the largest number of individuals living in absolute poverty of any country in the world. But hey, market forces have now been unleashed and that is A Good Thing, right?
Great points and very well said.
Brilliant analysis, Alex. Thank you.
Thanks a lot for reading!