According to the United Nations Children’s Fund (UNICEF), the ten-year violence in Nigeria’s North-East has caused a $100 billion economic damage to the nation.
In a study released on Wednesday, the UN agency for children’s rights claimed that between 2008 and 2021, Nigeria suffered a massive financial loss.
“The direct effects of conflict, in terms of death and injury, loss of livelihoods, displacement, and damage to infrastructure, are transformed into long-term economic impacts,” according to UNICEF.
This is due to the fact that these effects slow down the rate of economic growth compared to what it may have been in the conflict-affected nation.
“This study offers a quantitative approximation of the damage that violence and serious infractions do to the economy. According to the analysis, the total cumulative losses throughout the whole conflict—i.e., the losses that add up each year that the economy suffers harm—were close to US$100 billion.
The financial measurements serve as a gauge of the lost chances for growth as a result of the conflict.
Conflicts have effects, it was said, but the North-East conflicts have effects that go beyond Nigeria’s borders.
“The effects of war are not limited to the places where they occur most frequently. The war has worsened Nigeria’s situation as a whole, according to the research.
“Slower growth in the nation might have wider regional spillover consequences given Nigeria’s relative economic importance to the rest of the region. In other words, regional development is probably going to be slower than it would be if Nigeria were conflict-free.
The violence will still have “profound” effects on the economy, according to UNICEF’s representative in Nigeria, Cristian Munduate, even if its influence lessens in the upcoming years.
“Even if we anticipate a reduction in conflict effects over the next ten years, the Nigerian economy still faces profound cumulative losses,” she stated.
“This protracted conflict’s ‘scarring’ effect may prevent the economy from reaching its full potential, jeopardizing the nation’s future prosperity.”