• Thursday, June 20, 2024
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Gabon’s GDP per capita is nine times that of Nigeria

Gabon’s GDP per capita is nine times that of Nigeria

As of May 29, 2024, Gabon’s GDP per capita stands at $9,310, dwarfing Nigeria’s $1,110 by more than nine times. In contrast, this highlights significant economic disparities between the two African nations, both rich in natural resources yet divergent in their economic trajectories.

Gross Domestic Product (GDP) per capita is an essential economic metric that provides insight into a country’s prosperity by breaking down its economic output on a per-person basis

Gabon’s economic advantage is further underscored by its minimum wage, which is $248 per month, eleven times higher than Nigeria’s paltry $22. This gap in wages reflects deeper structural differences in their economies and governance.

Gabon, with a relatively small population of around 2.3 million, benefits immensely from its abundant natural resources, particularly oil and manganese. The country’s oil wealth has historically been a major driver of its GDP.

Read also: Top 10 poorest countries in Africa in 2024 – IMF

Additionally, Gabon’s government has implemented policies aimed at diversifying the economy, promoting sectors like mining, forestry, and tourism. This diversification has bolstered economic stability and growth.

The high GDP per capita is partly a result of Gabon’s effective management of its natural resources and relatively higher political stability. The country has also invested in improving infrastructure and social services, which has contributed to a higher standard of living for its citizens.

While Nigeria, Africa’s most populous country with over 200 million people, faces numerous challenges despite its vast oil reserves and natural resources. Nigeria’s economic woes stem from a combination of factors including corruption, political instability, inadequate infrastructure, and a lack of economic diversification. These issues have stymied economic growth and resulted in a low GDP per capita.

Nigeria’s dependence on oil has made its economy vulnerable to fluctuations in global oil prices. Despite efforts to diversify, sectors like agriculture and manufacturing remain underdeveloped.

Read also: Top 10 richest states in Nigeria ranked by GDP

Additionally, widespread corruption and inefficiencies have hindered economic progress and exacerbated poverty.

Libya and Seychelles: Other notable comparisons

Libya, despite ongoing political turmoil, boasts a GDP per capita seven times higher than Nigeria. This is largely due to its substantial oil reserves which, even amidst conflict, generate significant revenue relative to its population size.

Seychelles, Africa’s smallest country by population, offers another interesting contrast. With a GDP per capita more than 7.5 times the African continental average, Seychelles exemplifies how political stability, effective governance, and a thriving tourism industry can drive economic prosperity. The country’s strategic investment in tourism, fisheries, and financial services has paid off, leading to a high standard of living for its citizens.

Read also: Africa’s GDP giants: Top 10 largest economies of 2024 – IMF

Nigerians reactions

MikaelCBernard made a post on X formerly Twitter about Gabon,s GDP per capita is nine times that of Nigeria and faulting APC for the diffference,

@_Mzakha commented “Don;t blame it on one political party, it has been this way since day one. Blame it on the entire system. The only thing our government has ever put in any real, consistent effort into perfecting is the art of corruption”

@dRealSolution commented that “It,s a pity many people dont know what is meant by GDP per capita. Consider families A & B with 10 members and 3 members respectively and #30,ooo monthly income each. GDP in the second family is higher. GDP per capita is the ration of a country,s GDP to the population

@Peterbelieves “The IMF will Advice The Nigeria Govt on everything, But when it comes to pressuring the Govt. to increase Minimum wage they go mute. Nothing concern Dem with the prosperity of Nigeria.”