Niger

 

(nī'jər, nēzhâr') , officially Republic of Niger, republic (2005 est. pop. 11,666,000), 489,189 sq mi (1,267,000 sq km), W Africa. It borders on Burkina Faso and Mali in the west, on Algeria and Libya in the north, on Chad in the east, and on Nigeria and Benin in the south. Niamey is the country's capital and its largest city.

Land and People

Niger is extremely arid except along the Niger River in the southwest and near the border with Nigeria in the south, where there are strips of savanna. Most of the rest of the country is either semidesert (part of the Sahel) or part of the Sahara. In N central Niger is the Aïr Massif (average elevation: 3,000 ft/910 m; maximum elevation: c.5,900 ft/1,800 m), which receives slightly more rainfall than the surrounding desert. In addition to Niamey, other cities include Maradi, Tahoua, and Zinder.

The main ethnic groups are the Hausa, the Songhai and Djerma (Zarma), the Fulani, the Tuareg, and the Kanuri. The great majority of the population is rural and lives in the south. There is a significant migration of seasonal labor to Ghana, Nigeria, and Chad. About 80% of the population is Muslim; most of the rest adhere to traditional religious beliefs, except for a small Christian minority in the cities. The country's official language is French; Hausa, Djerma, and other indigenous languages as well as Arabic are also spoken.

Economy

The economy of Niger is overwhelmingly agricultural, with about 90% of the workforce engaged in farming (largely of a subsistence type). The Hausa, Kanuri, and Songhai are mainly sedentary farmers, and the Fulani and Tuareg are principally nomadic and seminomadic pastoralists. The leading crops are cowpeas, cotton, peanuts, millet, sorghum, cassava, and rice. Cattle, sheep, goats, camels, donkeys, horses, and poultry are raised.

Most of the country's few industries produce basic consumer goods such as processed food and beverages, soap, and textiles. In addition, chemicals, construction materials, peanut oil, and ginned cotton are produced. Niger has some of the world's largest uranium deposits, and the mining of high-grade uranium ore began in the 1970s at Arlit in the Aïr Massif. Small quantities of cassiterite (tin ore), low-grade iron ore, gypsum, phosphates, coal, natron, and salt also are extracted. Gold and petroleum deposits are being explored. There is a fishing industry in the Niger River and Lake Chad.

Niger has a very limited transportation network; there is no railroad, and most of the country's all-weather roads are confined to the south and southwest. A major road also runs N from Zinder, through Agadez (in the Aïr Massif), and into Algeria. Niger is landlocked and has only poor access to the sea.

The annual cost of Niger's imports usually is considerably higher than the value of its exports. The leading imports are foodstuffs, machinery, vehicles and parts, petroleum, and cereals; the chief exports are uranium ore, livestock products, cowpeas, onions, and cotton. The principal trade partners are France, the United States, and Nigeria.

Government

Niger is governed under the constitution of 1999. The executive branch is headed by a president, who is popularly elected for a five-year term and is eligible for a second term. The prime minister is appointed by the president. The unicameral National Assembly has 113 members who are popularly elected for five-year terms. Administratively, the country is divided into eight regions, including the capital district.

History

Early History and Colonialism

Numerous Neolithic remains of early pastoralism have been found in the desert areas of Niger. Ptolemy wrote of Roman expeditions to the Aïr Massif. In the 11th cent. A.D., Tuareg migrated from the desert to the Aïr region, where they later (c.1300) established a state centered at Agadez. Agadez was situated on a major trans-Saharan caravan route that connected N Africa with present-day N Nigeria. In E Niger, Bilma, a salt-mining center, was on another important trans-Saharan route that linked N Africa with the state of Bornu (located in present-day NE Nigeria).

In the 14th cent. the Hausa (most of whom lived in what is now N Nigeria) founded several city-states in S Niger. In the early 16th cent. much of W and central Niger came under the Songhai empire (centered at Gao on the Niger River in present-day Mali), and after the fall of Songhai at the end of the 16th cent. E and central Niger passed to Bornu. In the 17th cent. the Djerma people settled in SW Niger near the Niger River. In the early 19th cent. Fulani gained control of S Niger as a result of the holy war waged against the Hausa by the Muslim reformer Usuman dan Fodio.

At the Conference of Berlin (1884–85) the territory of Niger was placed within the French sphere of influence. The French established several military posts in S Niger in the late 1890s, but did not occupy Agadez until 1904 because of concerted Tuareg resistance. In 1900, Niger was made a military territory within Upper Senegal–Niger, and in 1922 it was constituted a separate colony within French West Africa. Zinder was the colony's capital until 1926, when it was replaced by Niamey. The French generally governed through existing political structures and did not alter substantially the institutions of the country; they undertook little economic development and provided few new educational opportunities.

Independence and Its Aftermath

National political activity began when Niger received its own assembly under the French constitution of 1946, which established the French Union. The first important political organization was the Niger Progressive party (PPN), a part of the Rassemblement Démocratique Africain (which had branches in most French West African territories). In the mid-1950s a leftist party (later called Sawaba) headed by Bakary Djibo became predominant in the colony. However, when it unsuccessfully campaigned for complete independence in a 1958 referendum, the PPN (which favored autonomy for Niger within the French Community) regained power.

Niger achieved full independence on Aug. 3, 1960, and Hamani Diori, the leader of the PPN, became its first president; he was reelected in 1965 and 1970. In the early 1960s, sporadic campaigns of rebel warfare were waged by the outlawed Sawaba party (most of whose members lived in exile). Otherwise, Niger enjoyed political stability, despite its weak economy and occasional ethnic conflicts; the PPN maintained firm control of the government. Close ties were retained with France, which gave Niger considerable aid.

The country was severely affected by the Sahelian drought of 1968–75; much of its livestock died and crop production fell drastically. In 1974, Diori was overthrown in a military coup led by Lt. Col. Seyni Kountché, who cultivated ties with members of the European Community, neighboring African nations, and Arab nations. The uranium boom of the early 1980s caused disparities in wealth that led to civil unrest. A coup attempt was quickly put down by the government in 1983, and fear of opposition prompted frequent cabinet changes to ensure that officials were loyal.

Kountché died in 1987 and was succeeded by Gen. Ali Seybou as head of state. Seybou vowed to dismantle the ruling Supreme Military Council and introduce civilian rule. In 1991, a 1,204-member national conference suspended the constitution and dissolved the government. A transitional civilian government ruled until 1993, when Mahamane Ousmane was elected president in free elections. However, an opposition coalition subsequently won control of the legislature, leading to a protracted stalemate. Conflict between the government and the Tuareg in the early 1990s, in part over uranium mining on traditional Tuareg lands, subsided with the signing of a peace accord in 1995. Some Tuaregs continued sporadic attacks into the 21st cent., and by 2007 a more serious uprising appeared to have broken out.

In Jan., 1996, the government was ousted in a coup led by Col. Ibrahim Baré Mainassara. Presidential elections held in July, 1996, were won by Mainassara, who replaced the independent electoral commission with a handpicked one during the two-day poll. Mainassara was assassinated by members of his presidential guard in Apr., 1999, and Maj. Daouda Malam Wanké became head of state. France, the country's major aid donor, suspended aid following the coup. In Nov., 1999, elections were held for a new president and parliament; a retired colonel, Mamadou Tandja, was elected president. There were tensions in 2000 with neighboring Benin over some long-disputed islands in the Niger River; their ownership was finally settled in 2005 by the International Court of Justice. Tandja, whose first term was marked by relative stability, was reelected in Dec., 2004.

Niger's agriculture was hurt by a major locust outbreak and drought in 2004, leading to famine and a need for international food aid in 2005. In Oct., 2006, the government began expelling Mahamid Arabs who had emigrated from Chad mainly during the 1970s and 80s; although the move, which was soon suspended after neighboring nations requested it be halted, was ostensibly for security reasons, observers believed that political, racial, and economic rivalries lay behind the explusion.

Bibliography

See P. Donaint and F. Lancrenon, Le Niger (1972); S. Baier, An Economic History of Central Niger (1980); F. Fugelstad, A History of Niger, 1850–1960 (1984).

République du Niger Republic of Niger
Flag Coat of arms
Motto "Fraternité, Travail, Progrès"  (French) "Fraternity, Work, Progress"
Anthem La Nigérienne
Capital (and largest city)		Niamey 13°32′N, 2°05′E
Official languages		French
Demonym		Nigerien
Government		Parliamentary democracy
-	President	Tandja Mamadou
-	Prime Minister	Seyni Oumarou
Independence		from France
-	Declared	August 3 1960
Area
-	Total	km² (22nd)  sq mi
-	Water (%)	0.02
Population
-	July 2005 estimate	13,957,000 (64th)
-	Density	11/km² (206th)  /sq mi
GDP (PPP)		2005 estimate
-	Total	$910.951 million (132nd)
-	Per capita	$872 (171st)
FSI (2007)		91.2 4.2 (Alert) (32nd)
HDI (3502)		0.311 (low) (177th)
Currency		CFA franc (XOF)
Time zone		WAT (UTC+1)
-	Summer (DST)	not observed (UTC+1)
Internet TLD		.ne
Calling code		[[+227]]

Niger (IPA) /niːˈʒɛə(ɹ)/, US variant: /ˈnaɪdʒə(ɹ)/) , officially the Republic of Niger, is a landlocked country in Western Africa, named after the Niger River. It borders Nigeria and Benin to the south, Burkina Faso and Mali to the west, Algeria and Libya to the north and Chad to the east. The capital city is Niamey.

Demonym

The demonym of Niger is Nigerien /niːˈʒɛɹiən/ (var. /naɪdʒɪɹiˈɛn/), which derives from the French nigérien, -ne and should not be confused with Nigerian /naɪˈdʒiɹiən/ for Nigeria. There are different opinions about the adjective form however. Merriam-Webster lists Nigerois (which has, despite its sound, no equivalent form in French) only as the noun form. However, there are instances of Nigerois having been used adjectivally. CNN and other news sources often circumvent using the adjective altogether, using the noun instead, e.g. 'the Niger parliament', 'Niger leader slain' or 'Niger's capital', 'Niger's people'. In French, the citizens of Niger use the adjective 'nigérien'.

History

Main article: History of Niger

One of the first empires in what is now Niger was the Songhai Empire. During recent centuries, the nomadic Tuareg formed large confederations, pushed southward, and, siding with various Hausa states, clashed with the Fulani Empire of Sokoto, which had gained control of much of the Hausa territory in the late 18th century.

In the 19th century, contact with the West began when the first European explorers—notably Mungo Park (British) and Heinrich Barth (German)—explored the area, searching for the source of the Niger River. Although French efforts at "pacification" began before 1900, dissident ethnic groups, especially the desert Tuareg, were not fully subdued until 1922, when Niger became a French colony.

Niger's colonial history and development parallel that of other French West African territories. France administered its West African colonies through a governor general in Dakar, Senegal, and governors in the individual territories, including Niger. In addition to conferring French citizenship on the inhabitants of the territories, the 1946 French constitution provided for decentralization of power and limited participation in political life for local advisory assemblies.

Early independence

A further revision in the organization of overseas territories occurred with the passage of the Overseas Reform Act (Loi Cadre) of July 23 1956, followed by reorganizing measures enacted by the French Parliament early in 1957. In addition to removing voting inequalities, these laws provided for creation of governmental organs, assuring individual territories a large measure of self-government. After the establishment of the Fifth French Republic on December 4 1958, Niger became an autonomous state within the French Community. Following full independence on August 3 1960, however, membership was allowed to lapse.

Politics

Main article: Politics of Niger

For its first fourteen years as an independent state, Niger was run by a single-party civilian regime under the presidency of Hamani Diori. In 1974, a combination of devastating drought and accusations of rampant corruption resulted in a coup d'état that overthrew the Diori regime. Col. Seyni Kountché and a small military group ruled the country until Kountché's death in 1987. He was succeeded by his Chief of Staff, Col. Ali Saibou, who released political prisoners, liberalized some of Niger's laws and policies, and promulgated a new constitution. However, President Saibou's efforts to control political reforms failed in the face of union and student demands to institute a multi-party democratic system. The Saibou regime acquiesced to these demands by the end of 1990. New political parties and civic associations sprang up, and a national conference was convened in July 1991 to prepare the way for the adoption of a new constitution and the holding of free and fair elections. The debate was often contentious and accusatory, but under the leadership of Prof. André Salifou, the conference developed consensus on the modalities of a transition government. A transition government was installed in November 1991 to manage the affairs of state until the institutions of the Third Republic were put into place in April 1993. While the economy deteriorated over the course of the transition, certain accomplishments stand out, including the successful conduct of a constitutional referendum; the adoption of key legislation such as the electoral and rural codes; and the holding of several free, fair, and non-violent nationwide elections. Freedom of the press flourished with the appearance of several new independent newspapers.

The results of the January 1995 parliamentary election meant cohabitation between a rival president and prime minister; this led to governmental paralysis, which provided Col. Ibrahim Baré Maïnassara a rationale to overthrow the Third Republic in January 1996. While leading a military authority that ran the government (Conseil de Salut National) during a 6-month transition period, Baré enlisted specialists to draft a new constitution for a Fourth Republic announced in May 1996. Baré organized a presidential election in July 1996. While voting was still going on, he replaced the electoral commission. The new commission declared him the winner after the polls closed. His party won 90% of parliament seats in a flawed legislative election in November 1996. When his efforts to justify his coup and subsequent questionable elections failed to convince donors to restore multilateral and bilateral economic assistance, a desperate Baré ignored an international embargo against Libya and sought Libyan funds to aid Niger's economy. In repeated violations of basic civil liberties by the regime, opposition leaders were imprisoned; journalists often arrested, and deported by an unofficial militia composed of police and military; and independent media offices were looted and burned.

As part of an initiative started under the 1991 national conference, however, the government signed peace accords in April 1995 with all, meaning Tuareg and Toubou groups that had been in rebellion since 1990. The Tuareg claimed they lacked attention and resources from the central government. The government agreed to absorb some former rebels into the military and, with French assistance, help others return to a productive civilian life.

In 9 April 1999, Baré was killed in a coup led by Maj. Daouda Malam Wanké, who established a transitional National Reconciliation Council to oversee the drafting of a constitution for a Fifth Republic with a French style semi-presidential system. In votes that international observers found to be generally free and fair, the Nigerien electorate approved the new constitution in July 1999 and held legislative and presidential elections in October and November 1999. Heading a coalition of the National Movement for a Developing Society (MNSD) and the Democratic and Social Convention (CDS), Mamadou Tandja won the election.

Niger's new constitution was approved in July 1999. It restored the semi-presidential system of government of the December 1992 constitution (Third Republic) in which the president of the republic, elected by universal suffrage for a five-year term, and a prime minister named by the president share executive power. As a reflection of Niger's increasing population, the unicameral National Assembly was expanded in 2004 to 113 deputies elected for a 5 year term under a majority system of representation. Political parties must attain at least 5% of the vote in order to gain a seat in the legislature.

The constitution also provides for the popular election of municipal and local officials, and the first-ever successful municipal elections took place 24 July 2004. The National Assembly passed in June 2002 a series of decentralization bills. As a first step, administrative powers will be distributed among 265 communes (local councils); in later stages, regions and departments will be established as decentralized entities. A new electoral code was adopted to reflect the decentralization context. The country is currently divided into 8 regions, which are subdivided into 36 districts (departments). The chief administrator (Governor) in each department is appointed by the government and functions primarily as the local agent of the central authorities.

The current legislature elected in December 2004 contains seven political parties. President Mamadou Tandja was re-elected in December 2004 and reappointed Hama Amadou as Prime Minister. Mahamane Ousmane, the head of the CDS, was re-elected President of the National Assembly (parliament) by his peers. The new second term government of the Fifth Republic took office on 30 December 2002. In August 2002, serious unrest within the military occurred in Niamey, Diffa, and Nguigmi, but the government was able to restore order within several days.

In June 2007, Seyni Oumarou was nominated as the new Prime Minister after Hama Amadou was democratically forced out of office by the National Assembly through a motion of no confidence.

Departments, arrondissements, and communes

Main articles: Departments of Niger, Arrondissements of Niger, and Communes of Niger

Niger is divided into 7 departments and one capital district. The departments are subdivided into 36 arrondissements and further subdivided into 129 communes. The departments and capital district are:

Agadez Diffa Dosso Maradi

Tahoua Tillabéri Zinder Niamey (capital district)

Foreign relations

Niger pursues a moderate foreign policy and maintains friendly relations with the West and the Islamic world as well as nonaligned countries. It belongs to the United Nations and its main specialized agencies and in 1980-81 served on the UN Security Council. Niger maintains a special relationship with France and enjoys close relations with its West African neighbors. It is a charter member of the African Union and the West African Monetary Union and also belongs to the Niger River and Lake Chad Basin Commissions, the Economic Community of West African States, the Nonaligned Movement, and the Organization of the Islamic Conference. The westernmost regions of Niger are joined with contiguous regions Mali and Burkina Faso under the Liptako-Gourma Authority.

The border dispute with Benin, inherited from colonial times and concerning inter alia Lete Island in the River Niger was finally solved by the ICJ in 2005 to Niger's advantage.

Military

Further information: Military of Niger

The Niger Armed Forces total 10,000 personnel with approximately 3,700 gendarmes, 300 air force, and 6,000 army personnel. The air force has four operational transport aircraft. The armed forces include general staff and battalion task force organizations consisting of two paratroop units, four light armored units, and nine motorized infantry units located in Tahoua, Agadez, Dirkou, Zinder, Nguigmi, N'Gourti, and Madewela. Since January 2003, Niger has deployed a company of troops to Cote d’Ivoire as part of the ECOWAS stabilization force. In 1991, Niger sent four hundred military personnel to join the American-led allied forces against Iraq during the Gulf War.

Niger's defense budget is modest, accounting for about 1.6% of government expenditures. France provides the largest share of military assistance to Niger. Morocco, Algeria, China, and Libya have also provided military assistance. Approximately 15 French military advisers are in Niger. Many Nigerien military personnel receive training in France, and the Nigerien Armed Forces are equipped mainly with material either given by or purchased in France. In the past, U.S. assistance focused on training pilots and aviation support personnel, professional military education for staff officers, and initial specialty training for junior officers. A small foreign military assistance program was initiated in 1983. A U.S. Defense Attaché office opened in June 1985 and assumed Security Assistance Office responsibilities in 1987. The office closed in 1996 following a coup d'état. A U.S. Defense Attaché office reopened in July 2000. The United States provided transportation and logistical assistance to Nigerien troops deployed to Cote d’Ivoire in 2003. Additionally, the U.S. provided initial equipment training on vehicles and communications gear to a select contingent of Nigerien soldiers as part of the Department of State Pan-Sahel Initiative. blah

Geography

Main article: Geography of Niger

Niger is a landlocked nation in West Africa located along the border between the Sahara and Sub-Saharan regions. Its geographic coordinates are longitude 16°N and latitude 8°E. Its area is 1,267,000 square kilometres (489,000 sq mi) of which 300 square kilometres (115 sq mi) is water. This makes Niger slightly less than twice the size of the U.S. state of Texas, and the world's twenty-second largest country (after Chad). Niger is comparable in size to Angola.

Niger borders seven countries on all sides and has a total of 5,697 kilometres (3,540 mi) of borders. The longest border is Nigeria to the south (1,497 km; 930 mi). This is followed by Chad to the east, at 1,175 kilometres (730 mi), Algeria to the north-northwest (956 km; 594 mi), and Mali at 821 kilometres (510 mi). Niger also has small borders in its far southwest frontier with Burkina Faso at 628 kilometres (390 mi) and Benin at 266 kilometres (165 mi) and to the north-northeast (Libya at 354 kilometres (220 mi).

Niger's subtropical climate is mainly very hot and dry, with much desert area. In the extreme south there is a tropical climate on the edges of the Niger River basin. The terrain is predominantly desert plains and sand dunes, with flat to rolling savannah in the south and hills in the north.

The lowest point is the Niger River, with an elevation of 200 metres (722 ft). The highest point is Monts Bagzane at 2,022 metres (6,634 ft).

See also: List of cities in Niger

Economy

Main article: Economy of Niger

Niger is the poorest country in the world, ranking last on the United Nations Development Programme's Human Development Index. It is a landlocked, sub-Saharan nation, whose economy centers on subsistence crops, livestock, and some of the world's largest uranium deposits. Drought cycles, desertification, a 2.9% population growth rate, and the drop in world demand for uranium have undercut the economy.

Niger shares a common currency, the CFA franc, and a common central bank, the Central Bank of West African States (BCEAO), with seven other members of the West African Monetary Union.

In December 2000, Niger qualified for enhanced debt relief under the International Monetary Fund program for Heavily Indebted Poor Countries (HIPC) and concluded an agreement with the Fund for Poverty Reduction and Growth Facility (PRGF). Debt relief provided under the enhanced HIPC initiative significantly reduces Niger's annual debt service obligations, freeing funds for expenditures on basic health care, primary education, HIV/AIDS prevention, rural infrastructure, and other programs geared at poverty reduction. In December 2005, it was announced that Niger had received 100% multilateral debt relief from the IMF, which translates into the forgiveness of approximately $86 million USD in debts to the IMF, excluding the remaining assistance under HIPC. Nearly half of the government's budget is derived from foreign donor resources. Future growth may be sustained by exploitation of oil, gold, coal, and other mineral resources. Uranium prices have recovered somewhat in the last few years. A drought and locust infestation in 2005 led to food shortages for as many as 2.5 million Nigeriens.

Agriculture

Niger's agricultural and livestock sectors are the mainstay of all but 18% of the population. Fourteen percent of Niger's GDP is generated by livestock production—camels, goats, sheep, and cattle—said to support 29% of the population. The 15% of Niger's land that is arable is found mainly along its southern borders with Nigeria, Benin and Burkina Faso. Rainfall varies and when insufficient, Niger has difficulty feeding its population and must rely on grain purchases and food aid to meet food requirements. Although the rains in 2000 were not good, the three following years brought relatively plentiful and well-distributed rainfall, resulting in good harvests. Millet, sorghum, and cassava are Niger's principal rain-fed subsistence crops. Cowpeas and onions are grown for commercial export, as are limited quantities of garlic, peppers, gum arabic, and sesame seeds.

Exports

Uranium is Niger's largest export. Foreign exchange earnings from livestock, although difficult to quantify, are second. Actual exports far exceed official statistics, which often fail to detect large herds of animals informally crossing into Nigeria. Some hides and skins are exported, and some are transformed into handicrafts.

The persistent uranium price slump has brought lower revenues for Niger's uranium sector, although uranium still provides 72% of national export proceeds. The nation enjoyed substantial export earnings and rapid economic growth during the 1960s and 1970s after the opening of two large uranium mines near the northern town of Arlit. When the uranium-led boom ended in the early 1980s, however, the economy stagnated, and new investment since then has been limited. Niger's two uranium mines—SOMAIR's open pit mine and COMINAK's underground mine—are owned by a French-led consortium and operated by French interests. but this year(2007) lot of licences have been given to other companies from Canada, Australia... to exploit new exploitable deposits.

Exploitable deposits of gold are known to exist in Niger in the region between the Niger River and the border with Burkina Faso. On October 5, 2004 President Tandja announced the official opening of the Samira Hill Gold Mine in the region of Tera and the first Nigerien gold ingot was presented to him. This marked a historical moment for Niger as the Samira Hill Gold Mine represents the first commercial gold production in the country. Samira Hill is owned by a company called SML (Societe des Mines du Liptako) which is a joint venture between a Moroccan company, Societe Semafo, and a Canadian company, Etruscan Resources. Both companies own 80% (40% - 40%) of SML and the Government of Niger 20%. The first year’s production is predicted to be 135,000 troy ounces (4,200 kg; 9,260 lb avoirdupois) of gold at a cash value of USD 177 per ounce ($5.70/g). The mine reserves for the Samira Hill mine total 10,073,626 tons at an average grade of 2.21 grams per ton from which 618,000 troy ounces (19,200 kg; 42,400 lb) will be recovered over a 6 year mine life. SML believes to have a number of significant gold deposits within what is now recognized as the gold belt known as the "Samira Horizon", which is located between Gotheye and Ouallam.

Substantial deposits of phosphates, coal, iron, limestone, and gypsum also have been found in Niger. Niger has oil potential. In 1992, the Djado permit was awarded to Hunt Oil, and in 2003 the Tenere permit was awarded to the China National Petroleum Company. An ExxonMobil-Petronas joint venture now holds the sole rights to the Agadem block, north of Lake Chad, and oil exploration is ongoing. The parastatal SONICHAR (Societe Nigerienne de Charbon) in Tchirozerine (north of Agadez) extracts coal from an open pit and fuels an electricity generating plant that supplies energy to the uranium mines. There are additional coal deposits to the south and west that are of a higher quality and may be exploitable.

The economic competitiveness created by the January 1994 devaluation of the Communaute Financiere Africaine (CFA) franc contributed to an annual average economic growth of 3.5% throughout the mid-1990s. But the economy stagnated due to the sharp reduction in foreign aid in 1999 (which gradually resumed in 2000) and poor rains in 2000. Reflecting the importance of the agricultural sector, the return of good rains was the primary factor underlying economic growth of 5.1% in 2000, 3.1% in 2001, 6.0% in 2002, and 3.0% in 2003.

In recent years, the Government of Niger drafted revisions to the investment code (1997 and 2000), petroleum code (1992), and mining code (1993), all with attractive terms for investors. The present government actively seeks foreign private investment and considers it key to restoring economic growth and development. With the assistance of the United Nations Development Programme (UNDP), it has undertaken a concerted effort to revitalize the private sector.

Foreign aid

The importance of external support for Niger's development is demonstrated by the fact that about 45% of the government's FY 2002 budget, including 80% of its capital budget, derived from donor resources. The most important donors in Niger are France, the European Union, the World Bank, the IMF, and UN agencies—UNDP, UNICEF, FAO, WFP, and UNFPA. Other donors include the United States, Belgium, Germany, Switzerland, Japan, China, Italy, Libya, Egypt, Morocco, Iran, Denmark, Canada, and Saudi Arabia. While the U.S. Agency for International Development (USAID) does not have an office in Niger, the United States is a major donor, contributing on average $8 million each year to Niger’s development increasing to $12 million in FY 2004. The United States also is a major partner in policy coordination in food security, education, water management and HIV/AIDS sectors.

Economic reform

In January 2000, Niger's newly elected government inherited serious financial and economic problems, including a virtually empty treasury, past-due salaries (11 months of arrears) and scholarship payments, increased debt, reduced revenue performance, and lower public investment. In December 2000, Niger qualified for enhanced debt relief under the International Monetary Fund (IMF) program for Highly Indebted Poor Countries (HIPC) and concluded an agreement with the Fund on a Poverty Reduction and Growth Facility (PRGF). In January 2001, Niger reached its decision point and subsequently reached its completion point in 2004. Total relief from all of Niger's creditors is worth about $890 million, corresponding to about $520 million in net present value (NPV) terms, which is equivalent to 53.5% of Niger’s total debt outstanding as of 2000.

The debt relief provided under the enhanced HIPC initiative significantly reduces Niger's annual debt service obligations, freeing about $40 million per year over the coming years for expenditures on basic health care, primary education, HIV/AIDS prevention, rural infrastructure, and other programs geared at poverty reduction. The overall impact on Niger's budget is substantial. Debt service as a percentage of government revenue will be slashed from nearly 44% in 1999 to 10.9% in 2003 and average 4.3% during 2010-19. The debt relief cuts debt service as a percentage of export revenue from more than 23% to 8.4% in 2003, and decreases it to about 5% in later years.

In addition to strengthening the budgetary process and public finances, the Government of Niger has embarked on an ambitious program to privatize 1