The SAP Years: Economic Hardship and the Surge of Armed Robbery in Nigeria

How the Structural Adjustment Programme reshaped Nigeria’s economy and fuelled an unprecedented wave of crime.

In 1986, Nigeria adopted the Structural Adjustment Programme (SAP) under General Ibrahim Babangida’s military administration. Designed in collaboration with the International Monetary Fund (IMF) and the World Bank, SAP was intended to stabilise the country’s struggling economy, reduce dependence on oil, and promote market efficiency.

While the reforms introduced new economic strategies, they also produced harsh social consequences. Rising unemployment, inflation, and poverty created an environment in which crime, particularly armed robbery, became widespread. The SAP years remain one of the clearest examples of how economic reform policies can trigger significant social dislocation.

Economic Context Before SAP

Nigeria’s economy in the 1970s and early 1980s was driven almost entirely by crude oil exports. The oil boom created unprecedented government revenues, leading to ambitious public spending and large-scale imports. Agriculture, once the backbone of the economy, declined significantly.

When oil prices collapsed in the early 1980s, Nigeria faced a severe crisis. Revenue dropped, external debts rose, and the government could no longer maintain subsidies or public employment at earlier levels. Inflation and scarcity of foreign exchange worsened the situation. This crisis created the background against which the Structural Adjustment Programme was introduced.

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What SAP Entailed

SAP, launched in July 1986, had several main features:

  1. Currency devaluation – The naira was significantly devalued to improve export competitiveness.
  2. Subsidy removal – Fuel and agricultural subsidies were cut.
  3. Trade liberalisation – Import restrictions were relaxed.
  4. Privatisation – State-owned enterprises were sold off to private investors.
  5. Public sector retrenchment – Civil service employment was reduced to cut costs.

In theory, these measures would restore fiscal discipline, diversify the economy, and create long-term growth. In practice, their immediate effects were widespread hardship.

Immediate Consequences

The devaluation of the naira drastically increased the cost of imports, including food, medicine, and raw materials. Prices of basic goods soared. The removal of subsidies, particularly on fuel, led to rising transport costs, which further fuelled inflation.

Retrenchment from the public sector created sudden mass unemployment. Many educated Nigerians who had relied on government jobs were left without work, while private businesses, struggling with higher operating costs, could not absorb the growing unemployed population.

Link Between SAP and Rising Crime

The sharp increase in unemployment and poverty during the SAP years provided the context for rising crime. Numerous academic studies have confirmed the relationship between economic hardship and criminality in Nigeria during this period (Alemika, 1993; Osoba, 1996).

Many young Nigerians who had completed secondary or tertiary education faced bleak prospects. With few legitimate opportunities, some turned to illicit means of survival. This shift coincided with a surge in armed robbery, which became one of Nigeria’s most pressing security concerns in the late 1980s and early 1990s.

The Emergence of Armed Robbery Gangs

Unlike earlier periods, when crime was often opportunistic and small-scale, the SAP years saw the growth of more organised robbery gangs. Several factors contributed:

  • Proliferation of arms: Small arms entered Nigeria through porous borders, partly linked to conflicts in West Africa.
  • Unemployment of skilled individuals: Some retrenched civil servants, ex-military personnel, and educated youths were reported to have joined or organised criminal groups.
  • Weak policing capacity: The Nigerian police, underfunded and poorly equipped, struggled to respond effectively.

Major cities such as Lagos, Port Harcourt, and Kano became hotspots, though rural communities also experienced rising banditry as poverty deepened

Government Response

A close-up of a person's hands in handcuffs, resting on metal bars, indicating confinement in a jail or prison cell.

The Babangida regime and subsequent administrations responded with strict laws. The Armed Robbery and Firearms Decree imposed the death penalty for armed robbery, and special tribunals were established to expedite cases. Public executions of convicted robbers were widely reported during this era.

Despite these measures, crime persisted. Corruption within security agencies, poor funding, and limited institutional capacity undermined the state’s response. In some cases, reports indicated collusion between security personnel and criminal groups.

Social and Cultural Impacts

The SAP years left deep marks on Nigerian society. Crime and insecurity eroded public trust in the state’s ability to provide security and economic stability. Businesses and households invested heavily in private security, further increasing costs.

The period also saw the rise of community vigilante groups, particularly the Bakassi Boys in the southeast, reflecting citizens’ reliance on self-help security.

More broadly, the hardship of the SAP years contributed to cultural shifts. Violence and robbery became normalised in some communities, while “Robin Hood” narratives emerged around certain criminals, who were perceived as redistributing wealth in contexts of widespread poverty.

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Long-Term Legacy

The effects of SAP on crime extended beyond the late 1980s. The networks of organised robbery that formed during this period evolved into more sophisticated operations in later decades. Analysts have linked the structural dislocations of SAP to the persistence of violent crime in Nigeria, including kidnapping and cultism in universities.

While SAP achieved some macroeconomic stabilisation, its social costs were severe. By undermining employment and social welfare, it created conditions in which crime thrived, leaving a legacy that continues to shape Nigeria’s security challenges.

Author’s Note

This article has examined the impact of Nigeria’s Structural Adjustment Programme on crime, particularly the rise of armed robbery in the late 1980s. While SAP was intended to stabilise the economy, its implementation led to mass unemployment, poverty, and social dislocation, which in turn fuelled crime. The Nigerian case illustrates how economic reforms, if not matched with social protection measures, can destabilise societies and undermine long-term development.

References

  • Alemika, E. E. O. (1993). Criminology, Criminal Justice and Criminal Policy in Nigeria.
  • Osoba, S. O. (1996). “Corruption in Nigeria: Historical Perspectives.” Review of African Political Economy.
  • Ihonvbere, J. (1993). Structural Adjustment and Africa’s Future: Lessons from Nigeria.

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