By Abba Hamisu Sani
Africa-Press – Nigeria. Nigeria is the African Country with highest Population .Major percentage of Nigerian revenue earning is through oil.
As the country is trying to diversify its economy from single Source of income,the country seek and sign different bilateral on different issues.
The economy of Nigeria is a middle-income, mixed economy and emerging market, with expanding manufacturing, financial, service, communications, technology, and entertainment sectors It is ranked as the 27th-largest economy in the world in terms of nominal GDP, and the 24th-largest in terms of purchasing power parity.
Nigeria has the largest economy in Africa. The country’s re-emergent manufacturing sector became the largest on the continent in 2013, and it produces a large proportion of goods and services for the region of West Africa.n addition, the debt-to-GDP ratio was 16.075% as of
Nigeria is the Country with largest economy in African Continent , with expanding manufacturing, financial, service, communications, technology, and entertainment sectors.
It is ranked as the 27th-largest economy in the world in terms of nominal GDP, and the 24th-largest in terms of purchasing power parity. Nigeria also has the largest Population in Africa
The country’s re-emergence manufacturing sector became the largest on the continent in 2013, and it produces a large proportion of goods and services for the region of West Africa.
According to World Economic Forum the economy of Morocco which is considered relatively liberal is governed by the law of supply and demand. Since 1993,
Morocco has followed a policy of privatization of certain economic sectors which used to be in the hands of the government.
The country become a major player in African economic affairs, and is the 5th largest African economy by GDP (PPP).
The World Economic Forum also placed Morocco as the 1st most competitive economy in North Africa which make’s it an Investors heaven.
Nigeria’s Position in gas Production and Supply
Nigeria holds 187 trillion cubic feet of proven gas reserves as of 2017, ranking 9th in the world and accounting for about 3% of the world’s total natural gas reserves of 6,923
Nigeria has proven reserves equivalent to 306.3 times its annual consumption
Morocco as a gate way to Europe from Africa has great portion of gas and other energy worth to enter into business according to economic expert like Dr. Kabiru Sufi a Kano base Political Economics.
Nigeria and Morocco have recently strengthened their business relationship by signing two bilateral agreements in Rabat, the Moroccan capital.
According to a release signed by the Communication and Change Management Consultant, Mrs. Olubunmi Akinkugbe, the first bilateral agreement was the Joint Initiative on the Morocco-Nigeria Gas Regional Pipeline.
“Tagged ‘The Wonder of Africa’ the pipeline
The project has historical significance because it is designed by ‘Africans for Africans,’ with a direct impact on 300 million people through the speeding up of electrification projects in West Africa; thus serving a basis for the creation of a competitive electricity regional market,” Akinkugbe Said
She added that the scope of the Memorandum of Understanding, which was signed by the Nigerian National Petroleum Corporation and the Office National des Hydrocarbures et des Mines, was to determine the modalities of undertaking a feasibility study and a Front-End Engineering and Design study relating to a gas pipeline from Nigeria to Morocco.
It also specified equal partnership in governance, management and financing of the project.
The timeline for both studies is two years from the date of signing.Interested third party countries will be allowed to join, the release added. Dr. Gundu is an economist and lecturer with Kaduna Polytechnic.
He said the project is worth embarking for. It is economically viable, profitable and it will help Nigeria to exploit fully it’s natural resource potentials in oil and gas. Nigeria is adjudged to be among the top 10 countries in the world blessed with natural gas.
Responding on Why did Nigeria choose the Maghreb Nigerian Pipeline over Algerian Nigeria, given that the Algerian pipeline is shorter, less expensive, and crosses fewer countries???
Dr. Gwandu stated that Constructing the Pipeline via Morocco passing through the West Africa Atlantic Coast is of course a long route, but it portend greater advantages fo Nigeria.
The advantages are that it will create greater and wider market for Nigerian Gas.
The reasons being that the Pipeline will pass through about 12 countries in West Africa and Magrib and in each of those countries, there will be a connection point.
Passing through Algeria is by far shorter, but do not forget that Algeria is also one of the leading Gas Producers.
Thus, I think Nigeria is trying to avoid ondue competition for same market with them (their could be some risks one day).
The short distances between Nigeria and Algeria is passing through Niger Republic, all of which is a harsh hot and uncondusive desert.
It will be difficult and more costly to construct pipelines passing through the hot and Sandy desert.
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