Nigeria

The government in Nigeria is the dominant player in the economy, with government spending comprising 50 percent of GDP. The oil sector, which provides 90 percent of the foreign exchange, is controlled by the government and generates 70 percent of its revenues. Economic activity is thus highly correlated with oil price volatility and government behavior, and the issue of fiscal decentralization is of central importance to the country. Within this policy context, the Initiative for Policy Dialogue (IPD) hosted two Dialogues with the Nigerian policymakers, civil society representatives and other stakeholders in January 2002 and in May 2004.