Iyoha, Milton A.2017-08-282017-08-282008https://hdl.handle.net/10986/28049Nigeria's long-run growth performance has been extremely poor. Between 1960 and 2000, real income per capita grew at only 0.43 percent per year. The situation improved between 2001 and 2006 when real per capita Gross Domestic Product (GDP) grew at an average annual rate of 4.2 percent. This paper demonstrates that the superior growth performance during 2001-06 is largely attributable to the impact of better leadership and economic policy making. The improved performance of the economy after 2003 arose from implementing a comprehensive economic reform program focusing on four main areas: macroeconomic reform; structural reform; governance and institutional reform; and public sector reform. The reforms, backstopped by improved oil revenue management, monetary policy implementation, and debt management, improved overall macroeconomic policy making. This resulted in real GDP growth averaging 7.1 percent per year between 2003 and 2006, an inflation rate of 10 percent in 2006, foreign exchange reserves of US$45 billion in 2006, and total external debt of only US$5 billion in 2006. Clearly, between 1960 and 2000, Nigeria's policy choices were poor, and the reforms that sought to correct them were plagued by inconsistencies, policy reversals, and lack of coherence. In contrast, due to good leadership, the reforms adopted in 2003 were consistent and have been implemented in a coherent manner.en-USCC BY 3.0 IGOACCOUNTABILITYAGGREGATE DEMANDAGRICULTURAL BANKAGRICULTURAL COMMODITIESAGRICULTUREAVERAGE INCOMEBALANCE OF PAYMENTSBANK ACCOUNTSBANK CREDITBANK CREDIT CEILINGSBANK CUSTOMERSBANKING INDUSTRYBANKING SYSTEMBRAIN DRAINBRIBERYBUREAUCRATIC EFFICIENCYBUSINESS CYCLESCAPITAL FLIGHTCAPITAL MARKETCDCENTRAL BANKCIVIL SOCIETYCIVIL WARCOMMERCIAL BANKSCOMMODITIESCOMMODITYCOMMODITY EXPORTCOMPARATIVE ADVANTAGECOMPETITIVENESSCONSUMER GOODSCORRUPT PRACTICESCORRUPTIONDEBTDEBT MANAGEMENTDEBT SERVICEDEMOCRACYDEPOSITDEPOSIT INSURANCEDEREGULATIONDERIVATIVESDEVALUATIONDEVELOPING COUNTRIESDEVELOPING ECONOMYDEVELOPMENT STRATEGYDIRECT GOVERNMENT INTERVENTIONDISEQUILIBRIUMDIVIDENDSDOMESTIC ECONOMYDOMESTIC PRICESDONOR AGENCIESECONOMIC CRISISECONOMIC DEVELOPMENTECONOMIC EFFICIENCYECONOMIC EMPOWERMENTECONOMIC GEOGRAPHYECONOMIC GROWTHECONOMIC LIBERALIZATIONECONOMIC OUTCOMESECONOMIC OUTLOOKECONOMIC PERFORMANCEECONOMIC POLICYECONOMIC REFORMSECONOMIC THEORYEMERGING MARKETEMERGING MARKET ECONOMIESENVIRONMENTAL BENEFITSEQUIPMENTEXCHANGE COMMISSIONEXCHANGE RATEEXCHANGE RATESEXCHANGE TRANSACTIONSEXPORT BASEEXPORTERSEXPORTSEXTERNAL DEBTFINANCE COMPANIESFINANCIAL INSTITUTIONSFINANCIAL SECTORFINANCIAL SECTOR POLICIESFINANCIAL SECTOR REFORMSFINANCIAL SECTORSFINANCIAL SERVICESFINANCIAL SYSTEMFISCAL DEFICITSFISCAL POLICIESFOOD PRICESFORECASTSFOREIGN BANKFOREIGN DIRECT INVESTMENTFOREIGN EXCHANGEFOREIGN EXCHANGE MARKETFOREIGN EXCHANGE RESERVESFOREIGN INVESTMENTGDPGDP PER CAPITAGLOBAL ECONOMYGOOD GOVERNANCEGOVERNANCE REFORMSGOVERNMENT BUDGETGOVERNMENT EXPENDITURESGOVERNMENT REVENUESGROSS NATIONAL SAVINGSGROWTH PERFORMANCEGROWTH RATEGROWTH RATESINCOME GROWTHINCOMESINDUSTRIAL COUNTRIESINDUSTRIALIZATIONINEFFICIENCYINEQUALITYINFLATIONINFLATION RATEINFORMAL ECONOMYINSTITUTION BUILDINGINSTITUTIONAL FRAMEWORKINSTITUTIONAL REFORMINSTITUTIONAL REFORMSINTEREST RATESINTERNATIONAL BANKINTERNATIONAL COMMUNITYINTERNATIONAL DEVELOPMENTINTERNATIONAL RESERVESINVESTMENT PROJECTSINVESTMENT RATEINVESTMENT RATESINVESTMENT STRATEGYLACK OF TRANSPARENCYLEVEL PLAYING FIELDLIFE EXPECTANCYLOCAL CURRENCYLOCAL GOVERNMENTMACROECONOMIC ADJUSTMENTMACROECONOMIC MANAGEMENTMACROECONOMIC POLICIESMACROECONOMIC POLICYMACROECONOMIC REFORMMACROECONOMIC STABILITYMARKET FAILURESMONETARY POLICIESMONETARY POLICYMONEY LAUNDERINGMORTGAGEMULTILATERAL INSTITUTIONSNATIONAL DEVELOPMENTNATIONAL LEVELNATURAL RESOURCENATURAL RESOURCESNONGOVERNMENTAL ORGANIZATIONSOIL BOOMOIL PRICESOIL RESOURCESOPEN ECONOMYOPEN MARKETOPEN MARKET OPERATIONSOUTPUTPER CAPITA INCOMEPERFORMANCE INDICATORSPOLITICAL COMPETITIONPOLITICAL ECONOMYPOLITICAL INSTABILITYPOLITICAL INSTITUTIONSPOLITICAL LEADERSPOLITICAL RIGHTSPOLITICAL STABILITYPORTFOLIOPORTFOLIO FLOWSPORTFOLIO INVESTMENTPOWER OUTAGESPRICE DISTORTIONSPRIMARY EDUCATIONPRIVATE INVESTMENTPRIVATIZATIONPROPERTY RIGHTSPROPORTIONAL REPRESENTATIONPUBLIC EXPENDITURESPUBLIC INVESTMENTPUBLIC PROCUREMENTRAPID ECONOMIC GROWTHRAPID GROWTHRATE OF GROWTHRATE OF RETURNREAL ESTATEREAL GDPREAL INCOMEREFORM PROGRAMREFORM PROGRAMSREGULATORY AGENCIESRENT SEEKINGREPUDIATIONRULE OF LAWRURAL INFRASTRUCTURESECURITIESSERVICE DELIVERYSUSTAINABLE ECONOMIC GROWTHSUSTAINABLE GROWTHTAXTAX CONCESSIONSTELECOMMUNICATIONSTRADE LIBERALIZATIONTRADINGTRANSPARENCYTRANSPARENCY INITIATIVETREASURYUNEMPLOYMENTURBANIZATIONVESTED INTERESTSVOLATILITYWEALTHWORLD DEVELOPMENT INDICATORSWORLD MARKETSYOUTHYOUTH DEVELOPMENTWorking PaperWorld Bank10.1596/28049