Oil Sector Reform and the Proliferation of Corruption in Nigeria

Abstract

The endemic nature of corruption remains at the centre of discourses on economic development and good governance in Nigeria. While rich in oil resources, Nigeria has failed to transform its oil wealth into good governance due to poor oil management and unsuccessful oil reform, engendering contradictions that have worsened the economic status of the Nigerian citizenry. This article assesses the manifestation of corruption in the Nigerian downstream oil sector and explores stakeholders’ roles in oil corruption. The study reveals that oil reform and successive price increases are instruments for the proliferation of oil corruption. Therefore, corruption remains the most decisive impediment to effective reform and good governance in Nigeria.