Wednesday, 10 June 2015

SHUTTLE DIPLOMACY AND ECONOMIC DEVELOPMENT OF NIGERIA: A CASE STUDY OF OBASANJO REGIME



INTRODUCTION
National image both at home and abroad is an ethical issue. It may appear intangible but the benefits and advantages flowing from a good image are unquantifiable. Good image-building and sustenance are the major determinants that dictate the level of influence and relevance of a state in international politics. Good image ensures a level of credibility and respect for state in the comity of nations. Contrarily to this, bad image and suffering of integrity and credibility crisis deny a nation the required respect by other states. This portrays the state as a pariah state, which does not deserve to be respected and honored by other states. A state with image crisis is difficult to market or advertise in the ‘diplomatic market.’ Thus, laundering the battered image of such nation in the international arena is a difficult task.
Nigeria’s image crisis has historical foundation and its dynamics during the long period of military regime (1983-1999). Military dictators could make any meaning progress in promoting the nations image in the global politics through their foreign policy objectives. Contributing to this was the nature of governance itself. States were not willing to associate with other states that re ruled by military dictators. During Abache’s regime, Nigeria foreign relations were hampered by the brutal violation human rights, corruption, and lack of respect and insensitivity for the international community. The consequence of Abache’s behavioral attitude towards the international system was the unprecedented global outrage on Nigeria and the subsequent isolation of the country in the international system notably by the Commonwealth, European Union (EU) and the United states.
With the reintroduction of democracy on May 29, 1999 and inauguration Olusegun Obasanjo as President, his government face the challenges of restoring Nigeria’s lost glory and re-integration into the world politics. This he did by engaging in a deft shuttle diplomacy across the major capitals of the globe. It is on this background that this paper examines the impacts of Obasanjo shuttle diplomacy on the development of Nigeria. In dealing with this issue, the study is divided into six sections. The first is the introduction while the second gives conceptual clarification. The third is analyses of President Obasanjo’s shuttle diplomacy (image-building) interventions since the emerging democracy inaugurated in May, 1999 while the four section look at the impact on national development and finally general conclusion.
CONCEPTUAL CLARIFICATION
Shuttle Diplomacy:  shuttle diplomacy is the action of an outside party in serving as an intermediary between (or among) principals in a dispute, without direct principal-to-principal contact. Originally and usually, the process entails successive travel by the intermediary, from the working location of one principal, to that of another.
It is a diplomatic negotiations conducted by an official intermediary who travels frequently between the nations involved. Is the discussions between two or more countries, in which someone travels between the different countries, talking to the governments involved, carrying messages, and suggesting ways of dealing with problems
They, in addition, recalled their ambassadors and High Commissioners from Nigeria (The Editor, 1995:1-2). The junta’s regime of human rights abuses include the conviction of some retired and serving soldiers for fathom coups against the administration in 1995 including a former Head of State, General Olusegun Obasanjo, who was an unrepentant critic of the regime for its human rights violations. Indeed, it was under the Abacha regime that the nation’s image reached zero level, and the character of the state as a pariah became much more pronounced. The nation and Nigerians lost respect and prestige internationally.
OBASANJO’S SHUTTLE DIPLOMACY
President Olusegun Obasanjo at inauguration in May, 1999, inherited a country with a battered image at home and abroad. In his determination to regain Nigeria’s lost glory and re-integrate it  into the world politics, he embarked on a deft shuttle diplomacy across the major capitals of the world. The grand strategy seeks the conversion of foreign policy activities into concrete achievements which are of direct benefit to Nigeria. The main objective is “peace, security and prosperity through friendship”. The President, during his extensive foreign trips, addressed the United Nations (UN), ECOWAS, the Group of 8 (G-8), Group 77 (G-77), the Commonwealth of Nations, African Union (AU) European Union (EU) and the host of other actors in the international arena (e.g. heads of states).
President Obasanjo had to convince the international community that it would not be sufficient to return power to civilians without seeking to address some critical socio economic problems confronting the Country. He believed that there was need for a one-to-one discussion with relevant world leaders on debt relief, economic assistance, investment, regional security, enhanced international cooperation etc. He also held periodic meetings with the Nigerians in the countries that he visited in order to discuss issues of common interest and update them on government policies, as well as possible ways they can help move the country forward. He helped Nigeria regain her lost status of being the hub of air and sea transportation in Africa which was severely affected during the Abacha regime. Nigeria played a central role in the formation of the New Partnership for Africa’s Development (NEPAD) and African Peer Review Mechanism (APRM). Obasanjo, through a US-contracted military outfit, restructured the Nigerian Military Professionals Resource Incorporation (MPRI) (Garuba, 2008:15-16
President Obasanjo’s shuttle diplomacy also recorded some success in trying to reestablish air-link between Nigeria and United States, Investment Promotion and Protection Agreement (IPPA) with Germany, Trade Pact with India, and renewal of faith of foreign investors in the good future of Nigeria, especially as expressed by the many trade delegations that visited the country from Japan, Denmark, Ghana, Turkey, France, Germany and Belgium during his regime. In addition, President Obasanjo was able to recover most of the stolen Nigeria funds in foreign banks located in Belgium, Switzerland, Britain, America and Germany.
POSITIVE IMPACT OF OBASANJO’S SHUTTLE DIPLOMACY ON ECONOMIC DEVELOPMENT
Nigeria achieved significant gains through the Obasanjo regime’s shuttle diplomacy. Apart from the psychological relief following its reintegration and accommodations into the world affairs, Nigeria had assumed a leadership role in several international organizations notably the ECOWAS, AU, and G-77. This yielded some economic dividends for the country which include the increase Development Finance Inflow (DFI), Foreign Direct Investment (FDI), Portfolio investments (Ikuomola, 2005:1), the Paris Club cancelled $18 billion of the country’s over $30 billion external debt (Chiejina, 2005:1), a gesture which signifies the Club’s confidence in the country’s economy and credibility as an external debtor. Obasanjo shuttle diplomacy was the main engine for the influx of FDI into the country. What his regime did was: enabling the adoption of foreign policy towards reintegration of the country into the comity of nations;  image building to help create an awareness of the conducive and stable macroeconomic environment that abounds for foreign investors to operate; and resulting in greater establishment and resuscitation of bilateral/multilateral investment relations for home advantage.
At the domestic level, his government embarked on a reform program in late 2003 tagged the National Economic Empowerment and Development Strategy (NEEDS). The leadership also undertook a far-reaching privatization programme. Freedom of expression and of the press was observed, and human rights violations have been reduced from the time of military rule. Controls over foreign investment have been loosened through investment laws refined to allow an appropriate treatment and protection of foreign investment. Since 1999, the BPE has raised over $4 billion by privatizing and concessioning more than 140 enterprises, including cement manufacturing firms, banks, hotels, and vehicle assembly plants.
NEGETIVE IMPACT OF OBASANJO’S SHUTTLE DIPLOMACY ON ECONOMIC DEVELOPMENT
Consequently, upon the realization of the damage that had been done to the international image of Nigeria and the likely disadvantaged position this would foist on the country in taking maximum advantage of globalization, the regime of Obasanjo set out early through shuttle diplomacy to redress the image problem of the country. In essence, the task before the new administration was how to change the pariah status of Nigeria and regain the lost ground in international reckoning.
Furthermore, Obasanjo succeeded in re-positioning Nigeria to take its rightful place among the comity of civilized nations by “re-branding” her foreign policy especially through personalization of the process and economic diplomacy. Despite Obasanjo’s lofty achievements in Nigeria’s foreign policy circle, a number of factors connived to dent the country’s international image, and by implication blight Obasanjo’s laudable legacy. These include, but not limited to the following: the controversial US $30b debt negotiation and eventual “forgiveness” in 2006; the contested agreement on Bakassi Peninsula territory (Green Tree Agreement) facilitated by the United Nations (UN) between Nigeria and Cameroun in 2006; and the attempt to subvert the constitution in April 2006 to extend his tenure in office.
CONCLUSION
With the  Nigerian economy suffering severe blow during the prolonged years of military rule of Babangida, Abacha and Abubakar's regimes. Life became miserable, while opportunism and greed thrived in the socio-political and economic environment of the country. The economy was battered and at the verge of collapse as social policy, economic and political institutions were undermined. The policy errors of the past regimes had seriously affected the position of the Nigerian economy. Political and policy instability discouraged foreign investment despite the huge domestic market and the strategic location of the nation.
However, the Obasanjo's administration took certain decisive steps to put in place an enabling environment for the thriving of democracy, regaining international respectability and credibility and putting the economy on the path of sustainable growth and development. It is noteworthy that some of the measures taken by the administration which include the inauguration of Anti-corruption bill; monitoring domestic and international campaign to recover looted public assets; introduction of Universal Basic Education, addressing the energy crisis, establishment of a Poverty Alleviation Programme, the upward review of the minimum wage among other things are good steps in the right direction. The administration also promoted private sector investment in order to achieve rapid economic growth and development. Also, One of the government's biggest macroeconomic achievements of Obasanjo’s shuttle diplomacy has been the sharp reduction in its external debt, which declined from 36% of GDP in 2004 to less than 4% of GDP in 2007. On December 17, the United States and seven other Paris Club nations signed debt reduction agreements with Nigeria for $18 billion in debt reduction, with the proviso that Nigeria pays back its remaining $12 billion in debt by March 2006 (Osagie, 2007). Foreign investors are now competing to come and take advantage of nigeria’s large market, friendly population, cheap but qualitative labour and abundant mineral resources.
REFERENCES
Adeniji, Oluyemi, (2004); New Direction in Nigeria’s Foreign Policy; in Bolaji A. Akinterinwa,(ed) Nigeria’s New Foreign Policy Thrust: Essays in Honour of Ambassador Oluyemi Adeniji; Ibadan: Vantage Publishers.
Akinterinwa, Bola .A. (2004a); Concentricism in Nigeria’s Foreign Policy; in Bolaji A. Akinterinwa,(ed) Nigeria’s New Foreign Policy Thrust: Essays in Honour of Ambassador Oluyemi Adeniji; Ibadan: Vantage Publishers.
Chiejina, N. (2005)”$18b slashed off Nigeria’s debt” The Comet, Lagos, Turning-Point Newspapers, July 1, p.1
Federal Republic of Nigeria. Obasanjo' s Economic Direction (1999 - 2000) April 2000.
Ikuomola, V. (2005a)” Obasanjo in France on Investments, debt relief” The Comet, Lagos, Turning-point Newspaper, May 24, p.3.
Ikuomola, V. (2005a)” Obasanjo in France on Investments, debt relief” The Comet, Lagos, Turning-point Newspaper, May 24, p.3.
Suraj M. and Olusola A. (2001) The Nigerian Economy Under Obasanjo, Development Policy Management Network Bulletin, September 2001 edition

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