The policy of 'indigenization' was introduced under the regime of?

Step 1: Analyze the question The question asks which military head of state introduced the policy of "indigenization" in Nigeria. Indigenization means transferring ownership and control of foreign-owned businesses to Nigerians.

Step 2: Explain the concept The policy was formalized through the Nigerian Enterprises Promotion Decree (NEPD), which aimed to give Nigerians greater control of the economy. It had two phases:

• First Indigenization Decree, 1972: Introduced under General Yakubu Gowon. It reserved certain small and medium-scale businesses (Schedule I) exclusively for Nigerians and required partial Nigerian ownership in others (Schedule II).
• Second Indigenization Decree, 1977: Introduced under General Olusegun Obasanjo. It widened the list of businesses and increased the share of Nigerian ownership required.

Step 3: Work through the options

• A. Gowon: The policy was first introduced in 1972 under his regime (the 1972 decree, which took effect in 1974). This is the origin of the policy.
• B. Obasanjo: He extended and deepened it in 1977, so he is associated with the second phase, not its introduction.
• C. Babangida: He is known for the Structural Adjustment Programme (SAP) and privatization/commercialization, which moved in a different direction.
• D. Abacha: Not associated with indigenization.

Step 4: Answer

Step 5: Exam tip Remember: "Gowon began it (1972), Obasanjo extended it (1977)." If a question asks about the first indigenization decree, choose Gowon. If it says second indigenization decree, choose Obasanjo. Watch for words like "introduced" or "second" in the question.