After the oil price collapse of 1981–86, the Babangida regime adopted the IMF-prescribed Structural Adjustment Programme in July 1986. The naira was devalued from a fixed peg of about ₦1.00 = US$1.50 (1980) toward a market-determined rate, eventually trading above ₦20/US$ by 1993. Subsidies on petrol, fertiliser and the social wage were systematically removed. The middle class as measured by real public-sector salaries has never recovered to its 1980 peak. SAP also produced the urban informal economy, the great Pentecostal wave, and the 1989 anti-SAP riots.
Bust1986 — 1993· Chapter 8
Structural Adjustment
1986 SAP under Babangida. Devaluation, deregulation, austerity. Wage erosion that has, in real terms, never recovered.
Source: CBN Annual Reports 1986–93; Adebayo Olukoshi, The Politics of Structural Adjustment (1993)
Era context
The political and economic reality
The government(s), economy and national reality across the period 1986–1993.
Military President
Gen. Ibrahim Babangida
1985–1993
National reality
Structural Adjustment Programme from 1986 — devaluation of the naira, deregulation, austerity that has, in real terms, never been recovered. Dele Giwa murdered by parcel bomb (1986). Annulled the 12 June 1993 election.
Crises of the period
- SAP 1986
- Dele Giwa assassination (1986)
- Orkar coup attempt (1990)
- Annulment of June 12, 1993
GDP (World Bank)
$30 bn (1985) → $15 bn (1993, post-SAP devaluation)
Cabinet (selected portfolios)
- Education
Prof. A. Babs Fafunwa (1990–92)
- Finance
Chu Okongwu; Olu Falae; Kalu Idika Kalu
Source: Federal Military Government Gazette 1985–93; CBN
Head of State · Military
Gen. Sani Abacha
1993–1998
National reality
Most repressive military regime in Nigerian history. Ogoni Nine hanged 10 November 1995 — Nigeria suspended from the Commonwealth. Abiola died in detention 7 July 1998. Abacha died 8 June 1998. Estimated $3–5 billion looted.
Crises of the period
- Ogoni Nine execution (1995)
- Commonwealth suspension 1995–99
- Kudirat Abiola assassination (1996)
- Abiola death in detention (1998)
GDP (World Bank)
$18 bn (1994) → $33 bn (1998)
Cabinet (selected portfolios)
Full ministerial roster being compiled.
Provisional Ruling Council. Full ministerial roster being compiled.
Source: HRW Nigeria reports 1994–98; Oputa Panel Report
Methodology
Tier 1 · primary
Courts. Gazettes. National archives.
Tier 2 · corroborating
OCCRP. HRW. BudgIT. TheCable.
Redline
Wikipedia is never a source.