Breaking The Chains Of Extraction In Nigeria: From Postcolonial Privilege To Inclusive Prosperity
Oyewole O. Sarumi
Volume 5, Issue 3, September 2025
This article explores the challenges of transitioning from extractive institutions to inclusive ones in Nigeria, drawing on insights from Daron Acemoglu and James Robinson's seminal book "Why Nations Fail". It argues that Nigeria's development challenge is not rooted in the morality of wealth, but rather in the need to restructure its institutions to serve the many rather than the privileged few. The article proposes a range of reforms to promote inclusive leadership, discipline elites, and channel national resources into public goods that benefit the broader population. By examining the colonial legacy of extractive institutions, the role of creative destruction, and the centrality of politics in shaping economic outcomes, this article provides a nuanced analysis of the complex factors hindering Nigeria's development. It also draws on global lessons from countries like Botswana, South Korea, and Chile, which have successfully transitioned to inclusive institutions, to chart a path forward for Nigeria. Ultimately, this article argues that Nigeria's future prosperity depends on its ability to break the chains of extraction and build inclusive institutions that promote broad-based economic growth and development.