Nigeria has achieved remarkablemilestones in its development over the last decade. Thecountry has enjoyed sustained economic growth, averaging 6percent gross domestic product (GDP) growth since 2004, andhas outperformed the Sub-Saharan Africa (SSA) regionalaverage growth rate of 4 percent for much of that period.The main objective of this economic and sector work (ESW) isto support the government reform agenda in the educationsector by providing analytical input in the areas ofgovernance, and finance to enable the sector to address itskey issues. The report focuses on two of the most salienteducation challenges highlighted in the first policy note;equity and quality of basic education, and investigates theroot causes of these two key challenges utilizing a problemdriven approach within the governance, and financeframework. The report provides a holistic approach to theanalysis by considering all facets influencing servicedelivery. Section one gives introduction. Sections two andthree provide a brief overview of the country context interms of its macro-economy, political economy, and educationsector in Nigeria. Section four provides the legal,institutional, and accountability framework pertaining tothe basic education governance system. Section five providesan overview of the education sector finance, and thepolitical economy of resources allocation. Section sixfocuses on the two key education challenges, equity andquality of education, and provides a problem-driven approachto analyze the issues in the context of governance,accountability, and finance. The main conclusions and policyrecommendations are provided at the end of each sub-sectionof the analysis.
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