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British Colonial Economy Social Development & Inter Group Relations in Nigeria – SS2 Nigerian History Lesson Note (First Term)

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Lesson note at a glance

Subject
Nigerian History
Class
SS2
Term
First Term
Topic
British Colonial Economy Social Development & Inter Group Relations in Nigeria
Order
Topic 3 of 9 this term
Reading time
9 min

The British ruled Nigeria as a colony from the late 1800s until 1960. They changed the economy to serve British interests, introduced Western education and healthcare, and affected how Nigerian groups related to each other. These changes had both positive and negative effects that can still be seen today.

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Behavioural objectives

By the end of the lesson, students should be able to:

  • explain how the British changed Nigeria’s economy through cash crops, marketing boards, taxation and infrastructure
  • describe the social changes in education, healthcare, urban life, social class and religion
  • state how colonial rule affected relations between Nigerian groups
  • name the ethnic unions and regional political parties that grew out of colonial rule
  • identify the early nationalists and pan-Nigerian organisations that tried to unite Nigerians

How did the British change Nigeria’s economy?

Introduction of cash crops

Before the British came, most Nigerians grew food for their families and local trade. The British changed this.

New farming focus

  • The British encouraged growing crops that could be sold for money (cash crops)
  • These crops were mainly sent to Britain for use in factories
  • Main cash crops included cocoa, palm oil, groundnuts (peanuts) and cotton
  • Different regions specialised in different crops

How it worked

  • Farmers were sometimes forced to grow these crops
  • Taxes had to be paid with money, so people had to grow cash crops to earn money
  • British companies set the prices, usually very low
  • Farmers worked hard but made little profit

Trading system

The British created a new trading system.

Marketing boards

  • The British set up boards to control buying and selling of crops
  • These boards bought crops from Nigerian farmers at fixed prices
  • They sold the crops to Britain at higher prices
  • The difference in price was kept by the colonial government
  • This system continued even after independence

European trading companies

  • Companies like the United Africa Company (UAC) and John Holt controlled trade
  • They bought crops from Nigerians and sold European goods
  • They made large profits while Nigerians made little
  • They had monopolies (no competition) in many areas

Infrastructure development

The British built new infrastructure (roads, railways and so on) mainly to help their trade.

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Railways

  • Construction of the first railway began at Lagos in 1896 and reached Ibadan in 1901
  • Railways connected farming areas to ports
  • They were designed to move goods out of Nigeria, not to connect Nigerian cities
  • They focused on areas with resources the British wanted

Roads

  • Built to connect places the railways did not reach
  • Helped move crops to railway stations
  • Made it easier for tax collectors and officials to reach villages
  • Local people were often forced to build roads without pay

Ports

  • The British developed ports like Lagos, Port Harcourt and Calabar
  • Ports were used for exporting crops and importing British goods
  • They created important new cities along the coast
  • Economic power shifted to coastal areas

Taxation

The British introduced new taxes.

Direct taxation

  • Every adult male had to pay taxes
  • This forced people to earn money instead of just farming for food
  • Local chiefs helped collect taxes
  • Those who could not pay were punished

Import and export duties

  • Taxes were charged on goods coming in and going out of Nigeria
  • They made imported goods more expensive
  • They raised money for the colonial government
  • They protected British goods from competition

Mining and industry

The British developed mining but limited other industries.

Mining development

  • Tin mining on the Jos Plateau
  • Coal mining in Enugu
  • Gold in northern Nigeria
  • Mines were owned by British companies
  • Nigerian workers were paid very little

Limited manufacturing

  • Few factories were built in Nigeria
  • Britain wanted to sell its factory goods to Nigeria
  • Nigerians were discouraged from starting industries
  • Raw materials were sent to Britain, and finished goods were sent back to Nigeria

Currency and banking

The British changed how money worked.

British West African currency

  • It replaced traditional currencies like cowries and manilas
  • It made trade with Britain easier
  • It was controlled by British authorities
  • It was linked to the British pound
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Banking system

  • The first bank, the Bank of British West Africa, was established in 1894
  • Banks mainly served European businesses
  • Most Nigerians had no access to banks
  • Credit (loans) was rarely available to Nigerian businesses

What social changes took place during colonial rule?

Western education

Mission schools

  • Christian missionaries started most early schools
  • The schools focused on reading, writing and religion
  • They aimed partly to convert Nigerians to Christianity
  • The first schools were mainly in southern Nigeria

Government schools

  • The colonial government started some schools later
  • There were few secondary schools and very few colleges
  • Education focused on creating clerks and junior officials
  • There was very little higher education until the late colonial period

Regional differences

  • There were more schools in the South than in the North
  • Christian areas had more schools than Muslim areas
  • Urban areas had better schools than rural areas
  • These differences created educational gaps that still exist today

Healthcare

Introduction of Western medicine

  • Hospitals and clinics were built in major towns
  • Vaccination campaigns were held against some diseases
  • Nigerian medical assistants were trained
  • Some Nigerians enjoyed better health

Limitations

  • Healthcare focused on Europeans and urban Nigerians
  • Rural areas had very little healthcare
  • Few Nigerian doctors were trained
  • Traditional medicine was discouraged but still widely used

Urbanisation

New cities grew and old ones changed.

Growth of administrative centres

  • Cities like Lagos, Kaduna and Enugu grew as colonial headquarters
  • New jobs in government attracted people to these cities
  • New urban elites emerged

Trading centres

  • Port cities grew with increased trade
  • Railway junctions became important towns
  • New patterns of settlement appeared

Urban problems

  • Rapid growth led to poor housing
  • Clean water and sanitation were limited
  • New social problems appeared in cities
  • Traditional family systems broke down

Social class changes

New elite groups

  • Western-educated Nigerians formed a new elite
  • Clerks, teachers and junior officials had higher status
  • Traditional elites (chiefs) kept some power
  • New social divisions appeared
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Wage labour

  • Many Nigerians became paid workers for the first time
  • They worked on farms, in mines, on railways or as servants
  • A working class formed, with interests different from those of farmers
  • This led to early labour movements and strikes

Religious changes

Spread of Christianity

  • Missionaries came with colonisers
  • Schools helped spread Christianity
  • Christianity grew quickly in southern Nigeria
  • It created tensions with traditional religions

Islamic response

  • Islam strengthened in northern Nigeria
  • It was used as a cultural defence against Western influence
  • Some colonial policies protected Islamic practices
  • Islam grew in influence and organisation

Decline of traditional religions

  • Traditional practices were discouraged by both Christians and Muslims
  • Europeans called them “pagan” or “primitive”
  • Some practices were banned by colonial law
  • They continued in rural areas and in modified forms

How did colonial rule affect inter-group relations in Nigeria?

Creating new divisions

Administrative boundaries

  • The British created provinces and districts that did not match ethnic boundaries
  • Some ethnic groups were split between different administrative units
  • Others who were traditionally separate were grouped together
  • New political groupings emerged

Ethnic classification

  • The British tried to classify Nigerians into distinct “tribes”
  • This created more rigid ethnic identities
  • Ethnic information was recorded in censuses and documents
  • Differences between groups were emphasised

Regional development patterns

North-South divide

  • Colonial policies were different in the North and the South
  • There was more Western education in the South
  • There was more preservation of traditional systems in the North
  • These differences were lasting and affected inter-group relations

Urban-rural divide

  • Cities developed faster than rural areas
  • This created tensions between urban and rural people
  • Urban dwellers often looked down on rural people
  • Rural areas provided resources but received less development

Migration and new settlements

Labour migration

  • People moved to find work in mines, plantations and cities
  • Mixed communities of different ethnic groups formed
  • Northern workers moved to southern cities
  • New patterns of settlement appeared
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Trading patterns

  • New trade routes created new interactions
  • Some groups became known as traders in new regions
  • Igbo, Lebanese and Yoruba traders spread widely
  • This created both cooperation and competition

Changing power relations

Favoured groups

  • Some groups were favoured by colonial authorities
  • They were given positions in the colonial administration
  • This created resentment from other groups
  • Traditional power balances changed

“Martial races”

  • The British recruited soldiers mainly from certain groups
  • Northern groups were preferred for the military
  • This created new power imbalances
  • The military became dominated by certain ethnic groups

Competition for colonial benefits

Education and jobs

  • Groups competed for limited educational opportunities
  • They also competed for jobs in the colonial service
  • Some areas advanced faster than others
  • This created a sense of being “ahead” or “behind”

Infrastructure

  • Communities competed for roads, schools and hospitals
  • Communities petitioned for development projects
  • Rivalries developed between towns and regions
  • There was a sense of unfairness in how resources were shared

Traditional relations disrupted

Pre-colonial relations

  • Traditional trading partnerships were disrupted
  • Ancient alliances and conflicts were ignored
  • New administrative units cut across traditional relations
  • The British often did not understand existing relationships

New conflicts

  • Disputes over land increased with cash crop farming
  • Competition for colonial favour created new tensions
  • Traditional methods of resolving conflicts were weakened
  • The British often made decisions that favoured one group over another

What were the political consequences of colonial rule?

Rise of ethnic politics

Ethnic unions

  • People from the same ethnic group formed associations
  • Examples: Igbo State Union and Egbe Omo Oduduwa (Yoruba)
  • These became bases for political organisation
  • They focused on advancing their own group’s interests

Regional political parties

  • Political parties formed along regional and ethnic lines
  • Northern People’s Congress (NPC) in the North
  • Action Group in the West
  • National Council of Nigeria and the Cameroons (NCNC) in the East
  • These parties set the pattern for ethnic politics after independence
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Nationalism and unity

Early nationalists

  • Early nationalists tried to unite all Nigerians against colonial rule
  • They included people like Herbert Macaulay and Nnamdi Azikiwe
  • They worked across ethnic lines
  • They had limited success because of colonial divisions

Pan-Nigerian organisations

  • Some organisations tried to include all Nigerians
  • Examples: the Nigerian Youth Movement and the Nigerian National Democratic Party
  • They struggled against ethnic and regional divisions
  • They showed the possibility of Nigerian unity

Evaluation

  1. What are cash crops? Name four cash crops grown in colonial Nigeria.
  2. Explain how marketing boards worked.
  3. Why did the British build railways, roads and ports in Nigeria?
  4. State two ways in which colonial education created differences between regions.
  5. Name two ethnic unions and the three regional political parties that formed during the colonial period.

Assignment

  1. Explain how taxation forced Nigerians to earn money, and say how this affected farmers.
  2. Describe two ways in which colonial rule created divisions between Nigerian groups.

This term's Nigerian History topics

SS2 First Term · 9 topics

  1. Amalgamation of Nigeria and Impact
  2. British Colonial Political Administration in Nigeria: Indirect Rule System
  3. British Colonial Economy Social Development & Inter Group Relations in Nigeria
  4. Nationalism and National Movement in Nigeria
  5. Constitutional Development in Nigeria: Road to Independence
  6. First Democratic Civilian Government in Nigeria 1960-1966
  7. Military Intervention in Nigerian Politics: First Coup D’Etat January 15, 1966
  8. First Military Regime in Nigeria: Major General J.T.U Aguyi Ironsi 1966.
  9. Military Counter Coup July 1966 Second Military Regime: The Emergence of Yakubu Gowon
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