The CSP lays out USAID/Nigeria’s vision for its support to Nigeria’s political, social and economic development for the years 2004 to 2009. The Country Strategic Plan (CSP) took a year to develop and engaged the participation of USAID/Nigeria staff, partners and stakeholders in Nigeria, in the West African region, and in USAID/Washington. Nigeria’s development needs are enormous and the CSP is grounded in USAID’s comparative advantage and areas of engagement that provide the best opportunities for maximum results.

Overall Assistance Environment
Nigeria successfully concluded a second round of democratic elections in 2003, ushering in the first civilian to civilian electoral transition in its 43 years of independence. The country is now in a position to address the damage and neglect inflicted by three decades of military rule that at best was indifferent to the needs of the people and at worst flagrantly violated their human rights. Nigeria’s size, with approximately 135 million people; complexity, with over 300 indigenous ethnic groups; and large revenue generations from petroleum exports make it significantly different from other developing nations on the continent, more like a region than a single country. Nigeria is dominant in West African affairs and a leader on the continent not only because of its size, but also because of its role in emerging organizations such as ECOWAS and NEPAD that frame a new vision for Africa. In keeping with key tenets of NEPAD, the new administration has renewed its commitments to fighting corruption, supporting service delivery, and revitalizing the economy. Civil society is beginning to emerge from the shadow of military suppression and engage with government to frame the policy agenda. At no time in independent Nigeria’s history has the environment for leveraging significant change been more positive.

Development Trends
The years of military rule have had a largely negative impact on development indicators in Nigeria. Nigeria ranks 152 out of 175 countries on the 2002 UNDP Human Development Index and has not improved its standing over the past 15 years. The economy is stagnant, growing in 2002 at a rate of just 3.3 percent, less than half what is required to reduce poverty and only slightly higher than the annual population growth rate of 2.8 percent. Per capita income is just $300 per year, and 70 percent of Nigerians live in poverty on less than $1 per day. At least 15 percent of Nigerian children die before reaching their fifth birthday, victims of largely preventable illness such as malaria or diarrhea. Only slightly over half of school-age children attend school regularly and many drop out before completing primary school, contributing to low adult literacy rates of 58 percent for men and 41 percent for women. Nigerian women marry young and have an average of six children, contributing both to a population growth rate that will double the population to 270 million in less than 25 years, and also to high maternal morbidity and mortality that makes Nigerian women up to 100 times more like to die of pregnancy-related causes than women in Western countries. Institutions of governance such as the National Assembly remain weak and uncertain of their roles. The recent national elections were flawed by poor administration and questionable practices. Patronage remains the customary way of conducting political business and civil society remains largely excluded from broad participation in policy dialogue and setting the national agenda. Women and minorities are particularly vulnerable to exclusion and women constitute only six percent of elected representatives at the national level. Social conflict triggered by resource competition, religious and ethnic differences, and/or the economic situation, has claimed thousands of lives over the past four years. These are all serious challenges to sustainable development and to the well-being of Nigeria’s people. The new government appears prepared to take these challenges seriously and to institute reforms that will make a difference in the lives of its citizens.

Program Rationale
The democratic government came into office in 1999 on a platform that promised macroeconomic policy reform, poverty alleviation, improved service delivery, universal basic education, accountable government and reduced corruption. But the legacy of military rule was not so readily overcome, and most of these promises have not yet been realized. Nonetheless, important first steps have been taken on a number of fronts. Institutions to attack corruption been established and have survived the efforts of the legislature to disempower them; the government is gradually developing a coherent poverty reduction strategy, with civil society engagement; sound policies on reproductive health and nutrition have been put into place; the President has recognized the massive threat of HIV/AIDS and thrown his political weight behind the national program; high-profile public sector institutions are soundly managed and have zero tolerance for corruption; civil society is dynamic, enjoys an increasingly open political and social environment, and supports democracy. U. S. engagement with Nigeria is also crucial because of the pre-eminence of the country in the region, as well as its economic importance to the United States as a supplier of 8-10 percent of American crude petroleum imports, a proportion that is growing. The reelection of President Obasanjo gives him the opportunity to build on both his past accomplishments and the positive spirit in the country, and move his reform agenda more aggressively. It also gives the international community a renewed opportunity to support the government and the people of Nigeria, to increase the intensity and focus of dialogue with Nigeria, and to develop strategic interventions that will move Nigeria to realize its potential and allow its people to prosper.

Stakeholders
USAID/Nigeria’s planning process for the 2004-2009 Country Strategic Plan is distinguished by the comprehensive stakeholder consultation process that informed strategy development. Stakeholder dialogue was initiated at the concept paper stage. The consultations took place at several levels, and at different points along the continuum of strategy development, and invited the input of a rich diversity of implementing partners, donors, GON, civil society, private sector interests, and USG colleagues. As the strategy evolved, it was repeatedly discussed with and vetted by these groups. Well over one thousand individuals, representing more than 400 organizations, participated, and endorsed USAID/Nigeria’s program goal: USAID supports Nigeria in achieving a more transparent and participatory democracy with a healthier and better-educated population in a growing and diversified economy. The final CSP reflects this extensive dialogue and ground-truthing.