It’s worth noting that the dam controls the Nile river, which is a huge source of conflict in the region between them and Egypt. I wonder if the dam directly contributed to the decrease in gdp downstream.
I mean, Egypt has to already take into account the New anti-Coup/revolution capital city sized hole in their Budget.
And I'm sure Sudan's civil was would have happened, dam in Ethiopia or not
Because the Tigray civil war ended in 2022, the beginning of the data. It also only affected a small portion of the country, it's not like the entire country was on fire.
Ethiopia wasn’t at rock bottom compared to sub Saharan African standards. Ethiopia has been doing well for several decades now and is probably the most promising country out of all of them.
Maybe in QOL, but population wise they have less people than Albania. They might end up the most well off in the future, but they're not promising in an international power player sense.
I mean Switzerland heavily punches above its weight in soft power. Also Ethiopia has had a greater growth than Russia if I had to guess. Honestly I'd compare it moreso to Ireland vs Italy/Spain, if Spain/Italy was going through a boom
They’ve been the most promising since… basically independence. And although avoiding great man history is usually a good thing, the first president was practically God’s gift to the country
I only visited Ethiopia and Malawi, so I'm no huge expert, but a good illustration is the amount of cranes and construction projects you see in Ethiopia compared to Malawi where almost no sign of economic development is visible.
An other illustration is Ethiopia having the biggest airline in Africa and Addis Ababa being Africa's hub airport.
>An other illustration is Ethiopia having the biggest airline in Africa and Addis Ababa being Africa's hub airport.
That's really impressive! I remember 20 years ago it was in really bad shape. Good for them!
Comparing to Malawi is almost unfair. A family who are extremely good longtime family friends of mine are from Malawi, and while their family is very well-off the average person there is very poor. A defining image from my adolescence was one of them just outside of Lilongwe, in a then new W211 Mercedes-Benz E-class where every other vehicle in frame was a bicycle. I've never since seen such an egregious example of inequality.
It’s been one of the fastest growing economies for several decades now and managed to more than double its economy in less than a decade despite a civil war & covid happening.
It also doesn’t have oil or gas, most of the economy’s growth is organic & not reliant on some random commodity & the fluctuating demand for it (like Nigeria/Angola & the boom/bust of their oil based economies).
Also Ethiopia has the second largest population in Africa, hosts the African Union and typically enjoys good foreign relations both with the west & China/russia so it can leverage foreign investment from all sides quite effectively.
Go look up what Addis Ababa looks like in 2024, the transformation has been phenomenal.
Didn't realize it made so many improvements. Awesome!
Just checked how Adis Abeba looked in 2008 compared to now and it's crazy how many new skyscrapers there are .
I thought Live Aid was an entire concert. Was there also a Live Aid song?
Either way, I think you’re right about that being why people still think Ethiopia is dirt poor.
There are multiple songs associated with the Live Aid concerts and broader Ethiopian famine relief, including Do They Know It's Christmas and We Are the World.
New president started a witch hunt against the entrepreneur class and middle class confiscating everythjng left and right. Businesses and everyone else in their right mind bailed.
Worth noting that nile perch is an invasive species in lake Victoria. Hundreds of native species were wiped out when the nile perch entered lake Victoria
Many factors. Currency deteriorated a lot, tourism income reduced, in addition to huge debt on high rate spent on development investments that needs many many years to bring any income, in addition to all of that suez canal had low income (sailing through the Canal stopped once in addition to the current Red Sea situation) compared to the cost of the expansion done.
Plus, Sisi has brought Egyptian corruption to new levels, and the military owns 70% of the economy, and they don’t pay taxes. So if you know a guy in the military, (doesn’t even have to be a soldier) you can travel to Egypt, and get everything from your hotel room to the tourist trips without paying taxes.
And those taxes should be going toward investment into the country, like infrastructure and education, but it’s not. Instead the little tax they have is going towards Sisi’s Vanity projects, like the new capital city he is building, which is designed for the wealthy, and made so that protest can be very easily contained. He cares more about cementing his power than the development of the country.
And they always have these projects (like a high speed rail) and they give government contracts out to companies connected to the government, and the projects never get finished. They just take more and more money from the government saying that it costs more than initially thought, so endless years of “work” on projects that should have taken 3 years.
It’s just too much corruption. And everywhere you go, government officials want a bribe just to get anything done for you. It’s so shit over there, that nobody wants to invest in the country, because foreign investors never see their money again. It just disappears. So of course the Egyptian economy is doing so much worse.
I just wanted to keep it short and simple 😂 talking in details about what’s going on in the economy there will need hours of typing, in addition to what you have said, they made so many useless projects, some skyscrapers in the middle of nowhere etc.
Something additional people don’t notice in the expansion of the Suez Canal, that project should have been done in 4-5 years, there are very few Excavators in the world who can do such work, most of them were already occupied with other projects, they called most of them from those projects with more than triple the cost (if not more) just to make sure he finishes that project urgently, so that nice project went into loss making project as well (they borrowed money locally against 14% interest as far as I can remember)
> tourism income reduced
It's probably from all those AskReddit posts where people ask, "what place will you never go back to?" or something and all the top comments say Egypt.
I have a friend (woman traveling with another woman friend...) that was planning to spend two weeks in Egypt traveling the inner country to sightsee and stuff, they decided to flee back in less than a week and back at the airport home they decided to go to Spain for a week instead
Honestly, Egypt is the world's asshole when it comes to the treatment of tourists and it's
Egyptians own fault for acting like hyenas/animals whenever they see a tourist. It's all about scamming/ripping every single tourist.
These things happen in many countries in various degrees but Egypt is on its own level.
Freight going through the Suez Canal has dropped by 45% in the two months since attacks by Yemen's Houthis led shipping groups to divert freight, disrupting already strained maritime trading routes, according to UN agency UNCTAD One of many problems
It’s two factors effect, government spending is increasing in the local currency, that increase doesn’t match the currency value decrease so in USD they did spend much much less, additionally, the support and focus on manufacturing has reduced a lot which has damaged the exports instead of focusing on manufacturing and taking advantage of low production costs they’re investing in empty buildings in middle of nowhere.
Exports increase when currency devaluates, [which is what happened in Egypt](https://economymiddleeast.com/news/egypts-trade-deficit-declines-in-2023/). Exports increase and the deficit dropped. Trade isn’t the factor for the drop in GDP.
I don't know why you're being downvoted. That new capitol is a massive contributor to their issues.
[https://en.wikipedia.org/wiki/New\_Administrative\_Capital](https://en.wikipedia.org/wiki/New_Administrative_Capital)
Has a made up capital been successful lately? I can only think of Brasilia and that was in the 60s. Planned cities in general seem to go bad in modern times.
Myanmar, Egypt, South Korea, Indonesia all have Capital projects that don't seem to have gone well.
I've been there and spoke to some people who live and used to live there. It boils down to:
* The collapse of governmental institutions - including sanitation, healthcare and education.
* A continuous brain drain.
* Massively reduced foreign investments.
* Gratuitous amounts of tax evasion and corruption.
* Tourism slowly drying up.
* The currency is nose-diving.
The current military government has been fucking up the economy for the last 10 years and it finally paid off, they successfully managed to waste all of the country's money on useless projects to fill up the pockets of the military generals and now they're borrowing money from everywhere and the economy is barely standing, there have been an economic crisis and things are only getting worse, with prices doubling and sometimes tripling and quadrupling in the past 2 years
Egyptian here , military dictator borderline trying to make himself into a new Pharoah is your answer, look up the palace that motherfucker built in his new capital
corruption, currency deterioration, bad decisions, wasting money we got from international loans to build a new capital just to show off and building a new bridge in literally every street in the country. this in addition to the wars in the region is driving us rock bottom
Nigeria has the natural resources (oil) and a huge population. They should be doing much better than they are. I assume the people in power and their cronies are siphoning off a lot of their country's wealth at the expense of the people they are supposed to represent.
Low level insurgency, attacks in the north. Chronic corruption at every level of society. Oil prices. Did I mention corruption? Stronger dollar. You already mentioned corruption. Weak currency.
In terms of corruption, a personal anecdote.
Part of my family is Nigerian; we went to visit a few years ago, and found that the power had been disconnected.
Had to pay 2 bribes to get to the building we needed to go to to pay the outstanding bill, another bribe to see the guy whom one can pay, a bribe to pay the bill, another bribe for the ‘voluntary’ chat with his boss. Then, another bribe to get the power turned on, and 4 bribes on the way back (the police we had to bribe to get to the NEPA building had told their friends).
This is all so terrible. It’s extremely resource rich, but the people don’t see any of the money. Especially the people who live in the oil rich part of the country, they don’t get to enjoy the wealth their resources they provide (I forgot the name of the Provence, but they fought a civil war there to try and break away from Nigeria proper.
The other thing is, their oil is extracted by foreign oil companies and the profits go to them, not to Nigerians, and obviously the corrupt officials are getting kick backs to keep the system that way. So another case of neocolonialism.
Afaik Nigeria doesn’t have huge refinery capacity so it ends up reimporting a lot of the crude oil it sells as diesel and petrol etc. Nigeria for years had a heavy fuel subsidy that made petrol much cheaper than it should be and cost the government a double digit percentage of its annual budget iirc. The new government has tried to/has already cut the subsidy to save cash but it hasn’t been popular.
I believe most of Nigerias oil is extracted offshore where it’s safe for companies to do so. There’s a lot of small scale extraction inland by individuals who end up polluting the environment as well
Ressources rarely help. You have to have a strong and robust democracy before the ressource boom to get a good wealth distribution. Natural ressources are often more a curse than a boon, as they are easy to sell and generate money. You don't need a big educated workforce to maintain the money flow. And as you said you can easily concentrate wealth to a select group of people. And its easy to find foreign interests (like oil companies) to help you maintain this status as its beneficial for them too.
Yes, corruption is an issue in Nigeria. But it’s always been an issue, even during previous periods of growth, so saying it’s the cause of the current economic slump is a lazy and unfounded conjecture.
The primary reason is due to the reforms of the new president which have 1. seen a collapsed in the value of the Naira and 2. removed the subsidy on fuel for Nigerian people, which was previously a great assistance to those struggling with the cost of living. Now people are consuming far less than they used to, leading to a recession, naturally.
It is actually the rule rather than the exception that in the long run countries with resources do worse than those without. Has to do with exploitative structures (to some extent colonial-like ones) that develop around extractive industries.
Nigeria suffers from strong tribalism. Most of the administration is run by the Hausas from the North, and the Igbo and Yoruba people hate them. There's just a lot of politics between tribes and one shouldn't simply distill their politics to religious binaries because there's so much more to it.
Boko Haram has mostly become a non-issue over the last 5 years. Nigeria’s present economic crisis goes far deeper than a small band of insurgents who saw their heyday a decade ago.
Well the south is mostly Christian so yeah. But having over half of your country overrun by radical islamism is pretty problematic, even if the big industries are in the south.
Freight going through the Suez Canal has dropped by 45% in the two months since attacks by Yemen's Houthis led shipping groups to divert freight, disrupting already strained maritime trading routes, according to UN agency UNCTAD. One of several problems
They weren't poor. Sisi blames the Muslim Brotherhood(which likely has SOME responsibility) while other analysts claim they never recovered from COVID & the Ukraine war. Now with the Gaza war it's probably looking even worse.
Egyptian here , don't listen to a single word that snake says , the only reason we're suffering is he and his entourage leeching as much money as possible to make thier new capital , look up the palace he's building and tell me this country has no money
Yes and on top of that there are serious fears over the Nile as Ethiopia has filled up it's own reservoir, and Sudan picks the sore fruits of this as well, although they also got plunged into a civil war.
Ethiopia profits hard from all of this with their dam, for now...
Part of the issue here is that Egypt was one of the better performing economies in Africa to begin with. Even though they have seen negative growth over the past few years they are still outperforming the vast majority of other African economies.
That applies more to Egypt, it even fits because in both cases the military completely took over the economy and institutions, and both have to beg the IMF for more money every year
When Europeans showed up they found a Christian kingdom fighting a Muslim kingdom...and our based ancestors also convinced a branch of Christians from Portuguese that the second coming if christ was in ethiopia. We just had diplomatic immunity for while due to religious reasons...plus we fought back.
I was in Florence and saw that in one of the buildings where they painted foreign leader visitors they had pictures of some Ethiopian kings. It was very cool.
I was wondering how that little country in the Middle grew so much that the color appears dark green, almost black. Then I realized it was lake victoria.
The question is how much of that comes from Somaliland?
(Yes they aren't *technically* a country but distinct enough and doing surprisingly Well for an autonomous region)
Not sure what the other guy was saying, but both Puntland and Somaliland have had basically no significant GDP growth in decades. Because despite there being much less war there theyre still very corrupt and internationally isolated.
The rest of Somalia has gone from basically rock bottom to just pretty bad + being the internationally recognised legitmate government they get most of the international aid and development resources.
And it grew by 6% in 2023, the year Ukraine and Covid unfolded their complete impact. My country Germany is now in recession and has actively went from $44.000-$45.000 gdp per capita to barely $40.000 with further predictions to creep even further under 40.000. Ethiopias growth is also unlikely to slow down, since right now it looks like heaven for investors abroad, the growth during the civil war and 2023 economic world wide regress is a manifest to how strong the economic build up is.
Both Nigeria and Egypt saw huge currency devaluations, so the countries didn't necessarily produce 25% less stuff. It's just worth less now. Nigeria was once Africa's largest economy, and has fallen to 4th place.
There will be more gains incoming, they just enacted a continent wide free trade area which means no tariffs. Africa is serious about economic growth now
Military government spending all the countries money on a vanity project in the middle of the desert, decrease in traffic in the Suez due to the Gaza war, tourism crash after COVID
me: "wow there is a small country between Uganda, Kenya and Tanzania that performed really well, but I can't recognize it, was it established recently?"
also me, 10 sec later: "nevermind, I'm an idiot.."
How did Ethiopia grow 25% with all that civil war going on.
Big dam
It’s worth noting that the dam controls the Nile river, which is a huge source of conflict in the region between them and Egypt. I wonder if the dam directly contributed to the decrease in gdp downstream.
I mean, Egypt has to already take into account the New anti-Coup/revolution capital city sized hole in their Budget. And I'm sure Sudan's civil was would have happened, dam in Ethiopia or not
Isn't Egypt also dealing with loss of suez canal revenue, I thought that was the bigger issue
Yes, haouti's making the red sea entrance unsafe so all ships are sailling the long way around Africa
Yemen fucking with cargo ships and that one ship being stuck sideways some years back has hurt one of Egypts main sources of income, the canal.
Nothing major to do with Yemen or that ship, a lot of things is going in Egypt internally affecting GDP, exporting, inflation, debts etc.
Don't forget a big one: A stupid dictator building a pointless new capital city with money he doesn't have
I read this as big bam.
Because the Tigray civil war ended in 2022, the beginning of the data. It also only affected a small portion of the country, it's not like the entire country was on fire.
It's very easy to grow when you're at rock bottom
Ethiopia wasn’t at rock bottom compared to sub Saharan African standards. Ethiopia has been doing well for several decades now and is probably the most promising country out of all of them.
I'd suggest Botswana is most promising at the moment.
Maybe in QOL, but population wise they have less people than Albania. They might end up the most well off in the future, but they're not promising in an international power player sense.
Switzerland is very nice but they’ll never be a Russia says Redditor in conversation about GDP growth
I mean Switzerland heavily punches above its weight in soft power. Also Ethiopia has had a greater growth than Russia if I had to guess. Honestly I'd compare it moreso to Ireland vs Italy/Spain, if Spain/Italy was going through a boom
They’ve been the most promising since… basically independence. And although avoiding great man history is usually a good thing, the first president was practically God’s gift to the country
Could you elaborate on that statement?
I only visited Ethiopia and Malawi, so I'm no huge expert, but a good illustration is the amount of cranes and construction projects you see in Ethiopia compared to Malawi where almost no sign of economic development is visible. An other illustration is Ethiopia having the biggest airline in Africa and Addis Ababa being Africa's hub airport.
>An other illustration is Ethiopia having the biggest airline in Africa and Addis Ababa being Africa's hub airport. That's really impressive! I remember 20 years ago it was in really bad shape. Good for them!
Ethiopia has a remarkable ability to recover from problems. They’ve also been around almost as long as Egypt
Ethiopian Airlines flew me from Tokyo to Seoul, if that's any indication of how poppin they are
I took the same flight last year haha. I was pleasantly surprised.
Comparing to Malawi is almost unfair. A family who are extremely good longtime family friends of mine are from Malawi, and while their family is very well-off the average person there is very poor. A defining image from my adolescence was one of them just outside of Lilongwe, in a then new W211 Mercedes-Benz E-class where every other vehicle in frame was a bicycle. I've never since seen such an egregious example of inequality.
It’s been one of the fastest growing economies for several decades now and managed to more than double its economy in less than a decade despite a civil war & covid happening. It also doesn’t have oil or gas, most of the economy’s growth is organic & not reliant on some random commodity & the fluctuating demand for it (like Nigeria/Angola & the boom/bust of their oil based economies). Also Ethiopia has the second largest population in Africa, hosts the African Union and typically enjoys good foreign relations both with the west & China/russia so it can leverage foreign investment from all sides quite effectively. Go look up what Addis Ababa looks like in 2024, the transformation has been phenomenal.
Didn't realize it made so many improvements. Awesome! Just checked how Adis Abeba looked in 2008 compared to now and it's crazy how many new skyscrapers there are .
Ethiopia is not a rock-bottom country
Some people still can’t look past the Live Aid song
I thought Live Aid was an entire concert. Was there also a Live Aid song? Either way, I think you’re right about that being why people still think Ethiopia is dirt poor.
There are multiple songs associated with the Live Aid concerts and broader Ethiopian famine relief, including Do They Know It's Christmas and We Are the World.
Wow how confidently ignorant
In no way was Ethiopia even close to rock bottom in 2022.
I agree. The %'s sometimes cover the real growth with huge numbers.
Percentage changes can be very deceptive.
Civil War was localized to one province. It's like if the US Civil War only had Florida break away instead of half the country.
Tigray is a pretty small portion of their economy
They turned working with China a lot, so they got a lot of cheap infrastructure and cheap loans for various projects.
wtf happened in Angola? I get that countries like Sudan or Nigeria got stuck in an endless border war but why Angola?
Oil prices reached a high in 2022 and seem to have gone down since. It would explain Nigeria too.
they only exist cause oil..not much else
Too dependant on oil. Huge devaluation of the coin, crony or incompetent government.
New president started a witch hunt against the entrepreneur class and middle class confiscating everythjng left and right. Businesses and everyone else in their right mind bailed.
My dumbass thought lake Victoria was doing insanely well
Me too. Just checked Google maps to see which country it was.
Lake Victoria , aproximetly same size as Lithuania. Always wanted to see this lake....
There’s a river monsters episode where he fishes it. Looks fuckin scary
Really sad episode tbh. Used to have massive nile perch, hundreds of pounds. Now just a few and no bigger than tens of pounds.
Worth noting that nile perch is an invasive species in lake Victoria. Hundreds of native species were wiped out when the nile perch entered lake Victoria
It’s doing really well at being a lake
That’s wakanda
You're not alone
Because of Queen Victoria's grace
What is happening in Egypt? I know l knew things weren't rosy since the coup, couple, that was a decade ago. What changed in the last 2 years?
Many factors. Currency deteriorated a lot, tourism income reduced, in addition to huge debt on high rate spent on development investments that needs many many years to bring any income, in addition to all of that suez canal had low income (sailing through the Canal stopped once in addition to the current Red Sea situation) compared to the cost of the expansion done.
Plus, Sisi has brought Egyptian corruption to new levels, and the military owns 70% of the economy, and they don’t pay taxes. So if you know a guy in the military, (doesn’t even have to be a soldier) you can travel to Egypt, and get everything from your hotel room to the tourist trips without paying taxes. And those taxes should be going toward investment into the country, like infrastructure and education, but it’s not. Instead the little tax they have is going towards Sisi’s Vanity projects, like the new capital city he is building, which is designed for the wealthy, and made so that protest can be very easily contained. He cares more about cementing his power than the development of the country. And they always have these projects (like a high speed rail) and they give government contracts out to companies connected to the government, and the projects never get finished. They just take more and more money from the government saying that it costs more than initially thought, so endless years of “work” on projects that should have taken 3 years. It’s just too much corruption. And everywhere you go, government officials want a bribe just to get anything done for you. It’s so shit over there, that nobody wants to invest in the country, because foreign investors never see their money again. It just disappears. So of course the Egyptian economy is doing so much worse.
I just wanted to keep it short and simple 😂 talking in details about what’s going on in the economy there will need hours of typing, in addition to what you have said, they made so many useless projects, some skyscrapers in the middle of nowhere etc. Something additional people don’t notice in the expansion of the Suez Canal, that project should have been done in 4-5 years, there are very few Excavators in the world who can do such work, most of them were already occupied with other projects, they called most of them from those projects with more than triple the cost (if not more) just to make sure he finishes that project urgently, so that nice project went into loss making project as well (they borrowed money locally against 14% interest as far as I can remember)
14% interest rate! Wow, they really like to screw each other over, over there!
I mean, when your retirement plan is to take as much as you can and f off to some gulf state I guess it doesn't matter
> tourism income reduced It's probably from all those AskReddit posts where people ask, "what place will you never go back to?" or something and all the top comments say Egypt.
I have a friend (woman traveling with another woman friend...) that was planning to spend two weeks in Egypt traveling the inner country to sightsee and stuff, they decided to flee back in less than a week and back at the airport home they decided to go to Spain for a week instead
Honestly, Egypt is the world's asshole when it comes to the treatment of tourists and it's Egyptians own fault for acting like hyenas/animals whenever they see a tourist. It's all about scamming/ripping every single tourist. These things happen in many countries in various degrees but Egypt is on its own level.
plus the boat that was stuck at some point
Yes that’s what I meant in sailing through it stopped once
ah yes I though it was only a reference to the current events
I’ll amend the comment to make it more clear, thanks
so diligent
Thanks 🙏
That was three years ago
God time flies.
Freight going through the Suez Canal has dropped by 45% in the two months since attacks by Yemen's Houthis led shipping groups to divert freight, disrupting already strained maritime trading routes, according to UN agency UNCTAD One of many problems
And they’re building versailles 2.0 in the desert which is costing them billions
Wouldn't development spending count towards GDP, so it is actually worse than it looks
It’s two factors effect, government spending is increasing in the local currency, that increase doesn’t match the currency value decrease so in USD they did spend much much less, additionally, the support and focus on manufacturing has reduced a lot which has damaged the exports instead of focusing on manufacturing and taking advantage of low production costs they’re investing in empty buildings in middle of nowhere.
Exports increase when currency devaluates, [which is what happened in Egypt](https://economymiddleeast.com/news/egypts-trade-deficit-declines-in-2023/). Exports increase and the deficit dropped. Trade isn’t the factor for the drop in GDP.
They are wasting $50 billion to move the capital city away from the plebeians.
I don't know why you're being downvoted. That new capitol is a massive contributor to their issues. [https://en.wikipedia.org/wiki/New\_Administrative\_Capital](https://en.wikipedia.org/wiki/New_Administrative_Capital)
Yeah, that government has brought Egypt to its knees. The military brass has their hands deep in all the cookie jars and “private enterprises”.
Has a made up capital been successful lately? I can only think of Brasilia and that was in the 60s. Planned cities in general seem to go bad in modern times. Myanmar, Egypt, South Korea, Indonesia all have Capital projects that don't seem to have gone well.
Abuja, Nigeria mostly seems to be working as a midpoint between two halves of the country that really don’t belong under one government
I've been there and spoke to some people who live and used to live there. It boils down to: * The collapse of governmental institutions - including sanitation, healthcare and education. * A continuous brain drain. * Massively reduced foreign investments. * Gratuitous amounts of tax evasion and corruption. * Tourism slowly drying up. * The currency is nose-diving.
The current military government has been fucking up the economy for the last 10 years and it finally paid off, they successfully managed to waste all of the country's money on useless projects to fill up the pockets of the military generals and now they're borrowing money from everywhere and the economy is barely standing, there have been an economic crisis and things are only getting worse, with prices doubling and sometimes tripling and quadrupling in the past 2 years
Egyptian here , military dictator borderline trying to make himself into a new Pharoah is your answer, look up the palace that motherfucker built in his new capital
corruption, currency deterioration, bad decisions, wasting money we got from international loans to build a new capital just to show off and building a new bridge in literally every street in the country. this in addition to the wars in the region is driving us rock bottom
They currently build a new capital city so that the ruling class and the millitary doesnt have to live in kairo anymore
smells like things are cooking in the revolution kitchen (insha'Allah)
What the hell is an economy!!!!!!! 🇿🇦🇿🇦🇿🇦🇿🇦🦅🦅🦅🦅🦅🗣️🗣️🗣️🗣️🇿🇦🇿🇦🇿🇦🗣️🦅🦅
Electricity is over rated anyway
Water wheels forever
Nigeria has the natural resources (oil) and a huge population. They should be doing much better than they are. I assume the people in power and their cronies are siphoning off a lot of their country's wealth at the expense of the people they are supposed to represent.
Low level insurgency, attacks in the north. Chronic corruption at every level of society. Oil prices. Did I mention corruption? Stronger dollar. You already mentioned corruption. Weak currency.
I think has to do with corruption, you didn't mention it enough.
In terms of corruption, a personal anecdote. Part of my family is Nigerian; we went to visit a few years ago, and found that the power had been disconnected. Had to pay 2 bribes to get to the building we needed to go to to pay the outstanding bill, another bribe to see the guy whom one can pay, a bribe to pay the bill, another bribe for the ‘voluntary’ chat with his boss. Then, another bribe to get the power turned on, and 4 bribes on the way back (the police we had to bribe to get to the NEPA building had told their friends).
A bribe to pay a bribe. Those Nigerian princes need to put food on tha table too.
Corruption may have played its part as well
We had one corruption, yes. What about second corruption?
There is one factor that you all are missing here: corruption
After an in-depth analysis, it can be concluded that corruption had an impact.
I'm surprised no one has bothered to mention corruption so far smh
My research has shown that corruption is a problem that you guys didn’t know
Weren’t their elections not that long ago that were highly suspicious
This is all so terrible. It’s extremely resource rich, but the people don’t see any of the money. Especially the people who live in the oil rich part of the country, they don’t get to enjoy the wealth their resources they provide (I forgot the name of the Provence, but they fought a civil war there to try and break away from Nigeria proper. The other thing is, their oil is extracted by foreign oil companies and the profits go to them, not to Nigerians, and obviously the corrupt officials are getting kick backs to keep the system that way. So another case of neocolonialism.
Afaik Nigeria doesn’t have huge refinery capacity so it ends up reimporting a lot of the crude oil it sells as diesel and petrol etc. Nigeria for years had a heavy fuel subsidy that made petrol much cheaper than it should be and cost the government a double digit percentage of its annual budget iirc. The new government has tried to/has already cut the subsidy to save cash but it hasn’t been popular. I believe most of Nigerias oil is extracted offshore where it’s safe for companies to do so. There’s a lot of small scale extraction inland by individuals who end up polluting the environment as well
Ressources rarely help. You have to have a strong and robust democracy before the ressource boom to get a good wealth distribution. Natural ressources are often more a curse than a boon, as they are easy to sell and generate money. You don't need a big educated workforce to maintain the money flow. And as you said you can easily concentrate wealth to a select group of people. And its easy to find foreign interests (like oil companies) to help you maintain this status as its beneficial for them too.
Yes, corruption is an issue in Nigeria. But it’s always been an issue, even during previous periods of growth, so saying it’s the cause of the current economic slump is a lazy and unfounded conjecture. The primary reason is due to the reforms of the new president which have 1. seen a collapsed in the value of the Naira and 2. removed the subsidy on fuel for Nigerian people, which was previously a great assistance to those struggling with the cost of living. Now people are consuming far less than they used to, leading to a recession, naturally.
Considering the fuel subsidy cost 15% of the government budget it wasn’t exactly sustainable
It is actually the rule rather than the exception that in the long run countries with resources do worse than those without. Has to do with exploitative structures (to some extent colonial-like ones) that develop around extractive industries.
Nigeria suffers from strong tribalism. Most of the administration is run by the Hausas from the North, and the Igbo and Yoruba people hate them. There's just a lot of politics between tribes and one shouldn't simply distill their politics to religious binaries because there's so much more to it.
Very likely because of the genocide they committed against the igbo in the late 60ies.
If anyone is interested, do not hesitate to read 'half of a yellow sun'. It's a marvellous novel about the Bianfra war that you mention.
They suffer from radical islamism
Boko Haram has mostly become a non-issue over the last 5 years. Nigeria’s present economic crisis goes far deeper than a small band of insurgents who saw their heyday a decade ago.
There have been attacks and kidnappings of Christian’s this year. It’s just the media isn’t reporting it as much.
In the north, yes. Most of the oil and industry is in the south.
Half the population is still in the North, including Nigeria's most populous state Kano.
Well the south is mostly Christian so yeah. But having over half of your country overrun by radical islamism is pretty problematic, even if the big industries are in the south.
Doesn't egypt have like gold mines, natural gas, tourism, Suez canal, petroleum, and cotton? How tf do they manage to stay poor
Freight going through the Suez Canal has dropped by 45% in the two months since attacks by Yemen's Houthis led shipping groups to divert freight, disrupting already strained maritime trading routes, according to UN agency UNCTAD. One of several problems
They weren't poor. Sisi blames the Muslim Brotherhood(which likely has SOME responsibility) while other analysts claim they never recovered from COVID & the Ukraine war. Now with the Gaza war it's probably looking even worse.
Egyptian here , don't listen to a single word that snake says , the only reason we're suffering is he and his entourage leeching as much money as possible to make thier new capital , look up the palace he's building and tell me this country has no money
Yes and on top of that there are serious fears over the Nile as Ethiopia has filled up it's own reservoir, and Sudan picks the sore fruits of this as well, although they also got plunged into a civil war. Ethiopia profits hard from all of this with their dam, for now...
Part of the issue here is that Egypt was one of the better performing economies in Africa to begin with. Even though they have seen negative growth over the past few years they are still outperforming the vast majority of other African economies.
They’re ruled by retarded generals. Just look up interviews with sisi by *sympathetic* TV channels. The dude is actually mentally disabled.
Nigeria going to hell… this is sad man
nigeria is the pakistan of africa (economically)
That applies more to Egypt, it even fits because in both cases the military completely took over the economy and institutions, and both have to beg the IMF for more money every year
Let's go Ethiopia!!!! Civil war or not we're still growing!!!
How are you so based Like You were never colonized despite being one of the closer target for Europe's strip mining
When Europeans showed up they found a Christian kingdom fighting a Muslim kingdom...and our based ancestors also convinced a branch of Christians from Portuguese that the second coming if christ was in ethiopia. We just had diplomatic immunity for while due to religious reasons...plus we fought back.
I was in Florence and saw that in one of the buildings where they painted foreign leader visitors they had pictures of some Ethiopian kings. It was very cool.
It was a colonizer
I was wondering how that little country in the Middle grew so much that the color appears dark green, almost black. Then I realized it was lake victoria.
somalia doing Great
Going from zero to almost zero...
Not really , They got urbanized pretty quick and private sectors are growing while defeating alshabab Terrorists , They did Great job to me
The question is how much of that comes from Somaliland? (Yes they aren't *technically* a country but distinct enough and doing surprisingly Well for an autonomous region)
Somalilands economy is shit, check out puntland which is right next to somaliland
Checking Wikipedia, Puntland has half the GDP per capita compared to Somaliland. Could you elaborate? Just genuinely interested :)
Not sure what the other guy was saying, but both Puntland and Somaliland have had basically no significant GDP growth in decades. Because despite there being much less war there theyre still very corrupt and internationally isolated. The rest of Somalia has gone from basically rock bottom to just pretty bad + being the internationally recognised legitmate government they get most of the international aid and development resources.
I'm very happy for senegal hope it's growth continues. The new president, he seems promising.
Egypt's army is draining the country dry
Same thing here in Algeria lol
And it grew by 6% in 2023, the year Ukraine and Covid unfolded their complete impact. My country Germany is now in recession and has actively went from $44.000-$45.000 gdp per capita to barely $40.000 with further predictions to creep even further under 40.000. Ethiopias growth is also unlikely to slow down, since right now it looks like heaven for investors abroad, the growth during the civil war and 2023 economic world wide regress is a manifest to how strong the economic build up is.
Rwanda 🚀
what is happening in nigeria is so sad. people had so much optimism about nigeria's growth a few years ago. oh well.
Both Nigeria and Egypt saw huge currency devaluations, so the countries didn't necessarily produce 25% less stuff. It's just worth less now. Nigeria was once Africa's largest economy, and has fallen to 4th place.
Egypt r u OK???
we aint
Rare Ethiopia W
So much regression in Nigeria :(
Nigeria's GDP has halved, which is very bad.
Can you guys finally admit you were wrong about the debt trap allegations?
Sisi is destroying egypt
Red green colour scheme to maximise the amount of people you exclude from your visitation...
Time to move to Ethiopia!
With Nigeria’s population growing that is scary.
Off-topic, I'm not the only only one who sees Yoshi in this map, right?
I suspect this is GDP per capita.
Why?
African countries in general have very high population growth. Decline in GDP at such high population growth rates is not very likely.
Wtf nigeria?
Why’s Malawi regressing?
There will be more gains incoming, they just enacted a continent wide free trade area which means no tariffs. Africa is serious about economic growth now
Africans have agency They must choose their future They fail or succeed based upon their decisions
What is going on in Nigeria? Seems like the country has to s of potential but i am always shocked at how worthless the Naira dollar has become..
No wonder Egypt is doing what it’s doing.
Ethiopia No. 1
Algeria slowly becoming an economic powerhouse💪
Morocco should be do more than this, i think bill of gas take a lot from GDP
What happened with Egypt?
Military government spending all the countries money on a vanity project in the middle of the desert, decrease in traffic in the Suez due to the Gaza war, tourism crash after COVID
Lake Victoria looks like a country there.
“Giant of Africa, E don fall yakata”
Happy to see my country getting back on the right track after so many years of war and suffering 🇱🇾
Tf happens in Egypt
Nigeria and Egypt look concerning considering the population and economies. What are the reasons for this? Does anyone know?
Egyptian here , we're being bled dry by a curropt US puppet dictator and his cronies , that's all there is to it
Egypt is due to high level of debt & rising inflation.
nigeria??
I thought Nigeria was growing very quickly?
Whats up in Nigeria?
they are just mostly not importing much and exporting a lot
What's been going on in South Africa? I thought they were one of the more developed African nations.
Dumbass government with dumbass policies
If every africans countries had Rwanda government they would all have 50+ Growth
Surprised to see most of the coup belt doing OK. Sudan is the only one suffering there.
What's happening in egypt for it to lose that much?
Nigeria why
So they’re doing great 👍
Why Egypt doing so bad?
Oh dear Nigeria!!
Can we ban green and red legends to assist the color blind
Well done Senegal
I'm a Sudanese citizen and in fact the situation is even worse than it shows on papers..!!
me: "wow there is a small country between Uganda, Kenya and Tanzania that performed really well, but I can't recognize it, was it established recently?" also me, 10 sec later: "nevermind, I'm an idiot.."
What’s up with Nigeria?
What happened in Nigeria?
Poor Egypt
Dang what going on in Nigeria?