Resource-Based Conflicts in Africa: Understanding the Paradox of Plenty and Peac

Last week yet another motion on the now interminable attack by terrorist on one community in the North West was brought up on the floor of Nigeria’s house of Representatives. The motion linked the activities of bandits to the presence of gold and other mineral resources which are being illegally mined in the area. A guest on one of our programmes, Majalisah, Prof Cephas Tushima made the point that the areas in Benue state that had been taken over by these outlaws were rich in minerals which were being mined.

Several Security agencies in Nigeria, including the Civil Defense Corps and the Military have come out to link activities of these kidnappers, bandits, and Boko Haram to the presence of solid minerals.

This belief informed that Executive order issued by the Governor of Zamfara state banning consent letters, usually required by the Ministry of Mines and Powers before the issuance of Mining leases. The late Nigeria’s Chief of Army Staff Lt Gen Taoreed Lagbaja had also claimed that the spate of violence and insecurity in the North West state were being worsened by miscreants involved in illegal mining.

Nigeria’s Minister of Solid Minerals, Dele Alake had also asserted in 2024 that powerful individuals involved in illegal mining were sponsoring banditry in the country. Adams Oshiomhole, former Governor of Edo State and now Senator went further in his allegations to claim that retired military officers coordinate illegal mining activities nationwide

Oluwole Ojewale, a Research fellow at the Obafemi Awolowo University in a paper went further to list the criminal involvement of foreigners, a recurring factor in almost all analysis on solid minerals and conflicts:

• April 2020, arrest of two Chinese nationals in Zamfara for illegal Mining
• September 2020 arrest of a Chinese national by the EFCC in possession of a truck load of minerals suspected to lepidolite
• July 2023 arrest of 13 Chinese nationals for alleged illegal mining
• March 2022 arrest of over 200 Chinese workers who overstayed the tourist visas

The solid mineral map of Nigeria does not exclude any part of Nigeria. There is hardly any part of Nigeria that does not bear minerals. Even the oil-bearing states of the Niger Delta  may well have oil resources that have not been exploited or discovered because attention is still very much on fossil oil.

However not all states of the Federation are affected to the same degree.  Not all states having these valuable minerals are convulsing in the same types of conflicts.

That is the similar picture within Africa.

It is the same global picture. The presence of oil or mineral resources by themselves do not generate the types of conflicts that are witnessed in some parts of Nigeria, Africa or even globally.

Understanding Resource-Based Conflicts

1. The Resource Curse Hypothesis

The “resource curse” or “paradox of plenty” is a theory that suggests countries rich in natural resources tend to experience less economic growth, weaker democratic development, and more frequent conflicts than resource-poor countries. This hypothesis is supported by empirical studies showing that countries heavily reliant on resource exports often suffer from authoritarianism, corruption, economic volatility, and civil strife.

In Africa, resource-based conflicts are often linked to the control and exploitation of valuable commodities. Rebel groups, corrupt elites, and even governments have been known to fund their activities through the illicit trade of natural resources. For instance, the term “blood diamonds” emerged from the brutal civil wars in Sierra Leone and Angola, where diamonds were used to finance armed groups.

2. Greed vs. Grievance

Two dominant perspectives explain why resources may fuel conflict: greed and grievance.

• Greed-based arguments assert that natural resources provide economic incentives for rebels and warlords to fight. Armed groups may seek to control oil fields, diamond mines, or timber exports to enrich themselves and finance their operations.
• Grievance-based arguments focus on social and political inequalities. Marginalized communities may rebel against a central government that monopolizes resource wealth while neglecting local needs. In Nigeria’s Niger Delta, for example, years of underdevelopment and environmental degradation led to insurgent movements demanding resource control and autonomy.

Case Studies of Conflict-Affected Resource-Rich Countries

1. Nigeria

Nigeria is Africa’s largest oil producer, but it has experienced decades of insurgency and unrest, particularly in the oil-rich Niger Delta and the North East.

• In the Niger Delta, militant groups such as the Movement for the Emancipation of the Niger Delta (MEND) emerged in response to environmental degradation, poverty, and lack of revenue-sharing. The state’s failure to address these grievances led to violent disruptions of oil production and kidnappings of foreign workers.
• In the North East, Boko Haram’s insurgency is not directly linked to resource exploitation, but economic exclusion and governance failure in a resource-rich country created fertile ground for radicalization.

2. Democratic Republic of Congo (DRC)

The DRC holds vast reserves of cobalt, coltan, diamonds, and gold. However, it has endured one of the longest and most brutal conflicts in modern African history.

• The struggle over control of mineral-rich regions, especially in the eastern provinces, has fueled violence involving the national army, rebel groups, and foreign actors.
• The illicit mining and smuggling of resources finance armed factions, perpetuating insecurity and hindering state consolidation.

3. South Sudan

South Sudan, the world’s youngest nation, is rich in oil but has experienced repeated cycles of civil war since gaining independence in 2011.

• The fight for control of oil revenues between political elites, combined with ethnic divisions, led to devastating civil conflict.
• Oil wealth became a source of contention rather than a tool for development, largely due to poor governance and weak institutions.

Why Some Resource-Rich Countries Avoid Conflict

Despite these grim examples, several resource-rich African countries have managed to avoid significant internal conflict. Understanding the distinguishing features of these countries provides important lessons for conflict prevention.

1. Botswana

Botswana is often cited as a success story in Africa’s resource management.

• Since gaining independence in 1966, Botswana has used diamond wealth to invest in infrastructure, education, and healthcare.
• Strong institutions, good governance, and prudent fiscal policies helped avoid corruption and conflict.
• The government maintained transparency in resource contracts and ensured that revenues benefited the broader population.

2. Namibia

Namibia is rich in uranium, diamonds, and other minerals, yet it has maintained relative peace and political stability.

• A strong legal framework and regulatory environment govern the mining sector.
• Namibia has emphasized inclusive development and decentralization, reducing the risk of marginalization and grievance-driven conflict.

3. Ghana

Ghana, an emerging oil producer with a long history of gold mining, has largely remained peaceful.

• The country has established robust democratic institutions and mechanisms for managing resource revenues, such as the Petroleum Revenue Management Act.
• Public participation and oversight have improved transparency and accountability in resource governance.

Key Factors That Determine Outcomes

The divergent outcomes in resource-rich African countries can be attributed to several key factors:

1. Institutional Quality

The strength of institutions determines how resources are managed. Countries with transparent, accountable, and inclusive institutions are better able to convert resource wealth into development.

• Weak institutions create opportunities for corruption, rent-seeking, and elite capture, increasing the risk of conflict.

2. Political Inclusiveness

Inclusive political systems that accommodate diverse ethnic and regional interests reduce grievances and foster national cohesion.

• Exclusionary politics, on the other hand, often lead to rebellion, especially if excluded groups reside in resource-rich areas.

3. Resource Revenue Distribution

Fair and equitable distribution of resource revenues is essential. Perceptions of injustice and marginalization are common drivers of conflict.

• Successful countries implement mechanisms such as revenue-sharing formulas, local content laws, and community development agreements.

4. Transparency and Accountability

Transparency in resource contracts, revenue flows, and public expenditure limits corruption and builds public trust.

• Initiatives like the Extractive Industries Transparency Initiative (EITI) promote accountability in resource management.

5. Historical and Social Context

Countries with a history of ethnic strife, colonial-era divisions, or weak national identity may be more prone to conflict when resources are discovered.

• Conversely, strong national cohesion and a culture of dialogue help mitigate tensions.

Policy Recommendations

To minimize the risk of conflict and maximize the benefits of natural resource wealth, African governments and their partners should consider the following:

1. Strengthen Institutions: Build independent, well-resourced institutions to oversee resource extraction and revenue management.
2. Promote Transparency: Join and implement international standards like EITI, and publish all contracts and payments related to extractive industries.
3. Ensure Inclusive Governance: Design political systems that represent all groups fairly, particularly those in resource-rich areas.
4. Invest in Human Development: Use resource revenues to improve education, healthcare, and infrastructure, especially in marginalized regions.
5. Address Grievances Early: Establish mechanisms for dialogue, conflict resolution, and participatory development planning.
6. Support Civil Society and Media: Empower non-state actors to monitor government actions and hold leaders accountable.

Conclusion

Natural resources, while potentially transformative, do not inherently lead to conflict. The presence or absence of violence in resource-rich African countries is shaped by a complex interplay of governance, institutions, political inclusiveness, and social dynamics. While countries like Nigeria, the DRC, and South Sudan illustrate the dangers of mismanaging resource wealth, Botswana, Namibia, and Ghana demonstrate that it is possible to avoid the resource curse. The key lies in building strong institutions, promoting inclusive development, and ensuring that natural wealth benefits all citizens—not just elites or foreign corporations. Only then can Africa’s resource endowment become a foundation for lasting peace and prosperity.

Tables

Table 1. Conflict afflicted Countries with major Solid Mineral Mining Activities

 Conflict-Affected Countries with Major Solid Mineral Mining

Table 2

Stable African Countries with Major Solid Mineral Mining

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