Nigerian Economy During Colonial Era: An Overview

Abstract

This chapter considers British incursion into what is presently referred to as Nigeria. This chapter shows that the colonial government was mainly motivated by the search for cheap human and material resources necessary for the sustenance of British Empire. The colonial rule in Nigeria altered not only the traditional political institution in the name of civilization but also transformed the entire economy of the country. The present Nigeria economy was affected via expanded commercial institution, promotion of inland trade with the sole objective of enriching existing British commercial interest than to develop Nigeria industry. British colonial economy in Nigeria aimed at achieving three primary goals. The first goal is expansion of Nigeria’s commerce via exporting of raw materials and importation of finished goods. Therefore, building of roads and railways, provision of telegraph and expansion of waterways and ports are to facilitate this first objective. The second goal is closely linked with the first which is to bring the country into a cash economy based on Britain currency (Pounds sterling), while the last is to force Nigerians both directly and indirectly to work for the cash. Finally, this chapter draws useful lessons from the colonial experience and provides useful suggestions for the future growth of the country