“How Trump’s Presidency Could Reshape Nigeria’s Economy and Healthcare Landscape”
President Donald Trump took office on Monday as the 47th president of the United States, beginning his second term in the nation’s highest office. His administration is already taking bold steps to reshape critical areas including immigration, the economy, and global health. Prof. Godwin Oyedokun, a professor at Lead City University in Ibadan, shared his insights on how these changes might impact Nigeria’s economic and health sectors in an exclusive interview. Here’s a look at the conversation:
US Oil Production Surge and Its Impact on Nigeria Trump’s announcement to ramp up US oil production is likely to affect Nigeria significantly. Oil accounts for more than 80% of Nigeria’s foreign exchange earnings. With the US increasing its oil output, the global supply will rise, which could lower oil prices. This reduction could shrink Nigeria’s oil revenue and exacerbate foreign exchange challenges, particularly since Nigeria’s crude oil competes directly with US shale oil in international markets. The increased supply could lower demand for Nigerian oil, further weakening the nation’s trade balance.
Implications for Nigeria’s 2025 Budget Nigeria’s 2025 budget is heavily reliant on oil revenue projections. If Trump’s policies lead to a drop in oil prices, Nigeria could experience revenue shortfalls, prompting more borrowing. This situation could undermine the government’s ability to execute key infrastructure projects, social welfare initiatives, and service its debt. The increased borrowing may exacerbate Nigeria’s already troubling debt profile.
Trump’s Birthright Citizenship Move: Potential Benefits and Drawbacks for Nigeria Trump’s potential end to birthright citizenship could have both direct and indirect effects on Nigeria. A move to curb “birth tourism”—where wealthy Nigerians, especially politicians, send their children to the US for automatic citizenship—might reduce the flow of funds spent on expensive deliveries abroad. This could encourage greater investment in Nigeria’s healthcare sector as fewer citizens look to give birth in the US. On the downside, the policy could negatively impact the Nigerian diaspora, making it harder for those already in the US to navigate immigration policies, and tightening restrictions on those seeking better opportunities.
US Aid Reevaluation: What’s at Stake for Nigeria? The United States spent approximately $1 billion in Nigeria through USAID last year, supporting vital sectors like health, education, and security. Trump’s indication that the US will reevaluate its foreign aid spending could result in cuts that would significantly affect crucial programs. Reductions in aid could hurt health campaigns like polio eradication, educational initiatives, and anti-terrorism efforts. Nigeria may need to seek alternative funding sources or create more sustainable domestic solutions to address these challenges. Additionally, the US may shift its focus toward security cooperation rather than health or education, reflecting its changing priorities in the region.
Implications of the US Withdrawing from WHO on Nigeria’s Health Sector The US’s decision to withdraw from the World Health Organization (WHO) could have serious implications for Nigeria’s health sector, particularly concerning funding gaps and the overall strength of global health initiatives. As one of the largest contributors to the WHO, the US departure could result in a reduction of global health funding, potentially hampering Nigeria’s efforts to tackle diseases like malaria, tuberculosis, and HIV/AIDS. With the WHO’s support diminished, Nigeria may need to boost its domestic healthcare budget to fill the void and explore new partnerships with other nations or organizations to sustain progress.
Final Thoughts: What Should Nigeria Expect from Trump’s Second Term? Although the policies under Trump’s second term present challenges for Nigeria, they also offer opportunities for necessary reforms. Nigeria must diversify its economy away from oil to minimize the impact of global price fluctuations. Strengthening domestic healthcare and educational infrastructure will reduce dependence on foreign aid, and a focus on improving governance, transparency, and accountability can attract investment while reducing reliance on external support.
