Interrogating Nigeria’s foreign policy and foreign direct investment under Obasanjo’s administration, 1999-2007

Abstract

Since the enthronement of civil democratic rule in Nigeria in 1999 after so many years of military rule, President Olusegun Obasanjo has undertaken so many diplomatic efforts to restore the country to mainstream of comity of nations. He indeed utilized Nigeria’s foreign policy to laundered the battered image of the country so as to attract foreign investors and other international business/development partners to do business in the country. Obasanjo’s eight-years tenure actually witnessed the influx of more FDI into the country; but with the tip tilting more in favour of Oil and Gas (O&G). There was however underperformance of the country’s foreign policy where it failed to support its economic relations instrument for directing the attracted FDI towards boosting the industrial and manufacturing sector and subsector of the economy. These critical sectors and sub-sectors have the highest likelihood of expanding the country’s foreign revenue sources through the manufacture of unique products and goods in which Nigeria has comparative advantage in the international market. It is this failure that motivate the study. The study is a qualitative one where data was analyzed through discourse and explanatory method. At the end, recommendations were made for effectively utilizing the country’s foreign policy for attracting more FDI that should be directed at the manufacture of unique products and goods that will expand Nigeria’s foreign revenue sources towards the general development of the domestic economy.