Economic History of Nigeria, 1860-1960

470 Pages·1973·8.22 MB·English

by  R.Olufemi Ekundare

An Economic History
of Nigeria r86o-r96o
~NIGERIA 'i---_"'-r-....__,....._:_;10.00 Miles
1600 Km
l Geographical location
An Economic History
of Nigeria I860-1960
R. Olujemi Ekundare
Methuen & Co Ltd
I I New Fetter Lane London EC4
I~
Fir$~ published_l973
by Methuen & Co Ltd,
11 New Fetter Lane, Londo11 EC4P 4EE
© 1973 R. 0. Ekt111dare
Printed in Great Britain by
Richard Clay (The Chaucer Press) Ltd
Bungay, Suffolk
SBN hardbound 416 75150 4
SBN paperback 416 75160 1
This title is available in both hardbound and paperback
editio11s. The paperback edition is sold subject to the
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imposed 011 the subsequent purchaser.
To my wife, Stella Adeola
Contents
List of tables page xi
List off igures XV
Foreword by Professor Peter i\1athias xvii
Preface XXI
PART I: INTRODUCTION
I An introduction to Nigeria
Population, 5; Historical background, 8; Political changes, 12;
The national economy, 15
2 An outline of pre-I86o foreign contacts and their effects 2I
The trans-Saharan trade, 21; Regular Europea11 maritime
contacts, 24; The slave trade, 28
Social and economic conditions by I86o 37
The indigenous social and political stmctHre, 3 7; The fiscal
system, 38; Agriwltural production, 39; Local i11dustries and
crafts, 41; The problems of excha11ge, 46; Transport and corn
rrmnicatioll, 46; Commodity-currencies, 48; Local trade, 49;
Foreign trade, 50
PART 2: THE FIRST BRITISH FOOTHOLD I 860-I900
4 General survey 57
Political der,elopments, 6o; Tire church missions and educatiorr,
64; The fiscal system, 65
The foundation of modern commerce 70
Transport and cornrrumicatiorr, 70; Agriculture arrd minirrg,
79; Money, currency arrd barrking, 84; Foreigrr trade, 88
viii Contents
PART 3: THE COLONIAL PERIOD TO 1945
6 General survey
Political developments, 104; Fiscal policy, 106; Economic
conditions and policy, 1 1 7
7 Transport and communications
Inla11d waterways, 128; Government marine services, 130;
Railways, 134; Roads a11d road transport, 142; Rail-road
competition, 147; Air transport, 149; Ocean shipping, 151;
Communicatiotls, 154
Agricultural developments
Palm products, 1 62; Cocoa, 167; Cotton, 169; Other products,
171; Livestock, 173
9 Modem industrial production
The extractive industries, 176; The non-extractive industries,
185
IO Money, currency and banking
Money and wrreucy, 187; Banking, 192
I I Foreign trade
The export trade, 197; The import trade, 209; Competition in
foreign trade, 217
PART 4: THE MODERN ECONOMIC REVOLUTION
I946-6o
I2 General survey
Political changes, 226; Economic planning, 229; The fiscal
system, 233; Development institutions, 244
13 Transport and communications
Inla11d waterways, 253; Railways, 257; Roads, 264; Air
tra11sport, 269; Ocea11 shipping, 272; Post and telegraphs, 274
14 Agricultural production and the marketing boards
Oil palm products, 281; Cocoa, 282; Cotto11, 283; Ground
mlts, 284; Rubber, 284; Agricultural research, 285; The
marketing boards, 286
15 Industrial development
Business incentives, 295; Industrial establishments, 299;
Industrial production and the Nigerian economy, 31 o
Contents ix
16 Money, currency and banking 3 I3
Money and wrrency, 313; Commercial banking, 316; The
central bank, 324; The Stock Exchange and the Nigerian
money market, 326
17 Foreign trade 328
The export trade, 330; The import trade, 335; Trade balance
and the terms of trade, 341; Trade competition, 343
PART 5: LIFE, LABOUR AND SOCIETY
IB The impact of development on the society 349
Health and population, 349; Education, 356; Labour, 360;
The co-operative movement, 376
19 Epilogue: the post-independence years to 1972 383
Philosophy on economic growth, 383; The political economy of
sectoral participation, 385 ; The national development plans,
388; Economic indicators, 397
Statistical appendix 403
Bibliography 417
Index 441
Tables
I. I Nigeria: area, population and density 7
!.2 Population of Nigeria by ethnic group, 1963 8
!.3 Gross domestic product at 1962 factor cost, 1958-67 IS
!.4 Second National Development Plan: major items of
expenditure 20
3·I Export of palm oil to Britain from West Africa, I 83 I-
so 5I
3·2 Imports from Britain to West Africa, r83I-50 52
4·I Revenue and expenditure ofLagos: selected years, 1862-
99 66
5·I Vessels entering the port of Lagos, I 863-1900 76
5·2 Post Office Savings Bank deposits, Lagos I889-99 77
5·3 Palm oil production estimates, and palm oil and palm
kernel exports, Lagos I865-89 8o
5-4 Exports of cocoa, Lagos I886-99 8I
5·5 Values of total imports and exports, Lagos 1865--99 93
5.6 Total volume of exports and average prices for palm oil
and palm kernels, Lagos I88I-90 94
5·7 Values of cotton goods imported into Lagos: selected
years, I 862-99 95
5.8 Percentage of total imports and exports of Lagos with
principal countries: selected years, I865--99 96
6.1 Nigerian government revenue and e":penditure, 1929-
45 112
6.2 Index numbers of import, export and domestic prices,
1926-40 119
6.3 Colonial Development Fund for Nigeria, 1932 I2I
7·1 Marine services, Nigeria 1925-35 IJ2
7·2 Nigerian railway: total cost of construction, 1914-38 137
xii Tables
7·3 Nigerian railway: goods traffic, 1916-38 138
Nigerian raihvay: mileage, passenger and goods traffic,
7·4
139
1924-39
Nigerian railway: detailed statement of receipts, 1903-
7·5
140
38 .
7·6 Roads maintained by the Nigerian government outstde
townships, 1924-38 144
7-7 Commercial vehicles registered in Nigeria, 1929-39 146
7·8 Aircraft arriving from cmmtries outside Nigeria, 1941-5 ISO
7-9 Cargo vessels entering Nigerian ports, 1914-38 152
7.10 Letters, parcels and telegrams handled by the Nigerian
Post Office, 1914-38 155
8.1 Number of oil presses in use, 1932-7 165
8.2 Oil palm plantations, 1928-36 165
8.3 Palm oil production estimates, and palm oil and palm
kernel exports, Nigeria, 190o-44 166
8.4 Exports of cocoa, 190o-44 168
8.5 Exports of cotton, 190o-44 170
8.6 Exports of groundnuts, 190o-44 172
9·1 Exports of tin: selected years, 1907-45 179
9.2 Number of tin-mining concerns, capital of companies
and their relative size 180
9-3 Total output of gold, 1914-45 181
9-4 Production and employment in the coal mines, 1924-36 183
10.1 Money in circulation: selected years, 1922-45 194
10.2a Liabilities of principal banks, 1943-5 195
10.2b Assets of principal banks, 1943-5 195
11.1 Mean minimum distance of farms from metalled roads,
navigable waterways and railways 198
11.2 Exports of principal products, 1928-34 205
11.3 Imports of cotton piece goods: selected years, 190o-38 210
1!.4 Imports of certain goods: selected years, 190o-45 213
11.5 Percentage of total imports and exports with principal
countries: selected years, 1900-38 215
12.1 Nigerian government revenue, 1946-60 233
12.2 Nigerian government expenditure, 1946-60 234
12.3 Company tax by taxable profit, 1955--60 239
12.4 Allocation of funds under the Colonial Development
and Welfare Acts, 1945-55 240