The pace of reform has received a notable boost under Mr Jonathan. However, the implementation of crucial pieces of legislation-such as the Petroleum Industry Bill, which is aimed at overhauling the hydrocarbons sector-will provide a tough test for the economic team, as most of Nigeria's politicians now have their attention firmly on the upcoming elections. The reform process is therefore likely to slow, despite Mr Jonathan's best efforts, at least for the first half of 2011. If the elections are more widely disputed, this delay in policy implementation could last even longer as the subsequent legal wrangling takes precedence. Indeed, depending on the conduct of the elections, there is a possibility that 2011 could become a lost year in terms of policy reform.

Arguably the greatest challenge-and a major failing of the previous administration-will be to find a solution to Nigeria's grave electricity supply problems. The government expects the private sector to play a key role, although private companies look set to take a cautious approach given the challenging operating environment. Until they become fully involved, the government has committed itself to large subsidy payments to keep electricity prices low for end-users.