On May 29th the former general-turned-farmer vowed to follow a path of democracy amid an exuberant ceremony with outgoing martial music and incoming Yoruba victory chants. His inauguration speech spoke of deliverance from bleakness and a genuine renaissance for Nigeria. One by one he touched on the problems assailing the new democratic giant in West Africa: oil crisis, military mismanagement, corruption, cynicism, infrastructural decay, social unrest, and poverty. “Nigeria is wonderfully endowed with human and other resources. It does no credit either to us or the entire black race if we fail in managing our resources for the quick improvement in the quality of life of our people,” said Obasanjo.

Soon after the ceremony, he moved quickly to form a cabinet by naming Rilwanu Lukman as presidential adviser on petroleum affairs. Lukman, secretary general of OPEC and a former oil minister, will be replacing Aret Adams in the key post. Ibrahim Ogohi was named Chief of Defense Staff and Victor Malu was appointed Chief of Army Staff; both are career soldiers untainted by previous political activities. Joseph Sanusi, a businessman and financial expert, was appointed governor of the Central Bank replacing Paul Ogwuma.

Larry Esin, co-director of RDC, a company seeking to build a high-speed rail link from Lagos to Abuja, thinks Obasanjo’s broad-based appeal will help overcome Nigeria’s difficult fiscal standing. “We feel comfortable. I had discussions with General Obasanjo in Washington when he was doing the American leg of his trip. He is one of the many people in Nigeria that really believe in private sector initiatives. Obviously, there is a limit to how much he can do, given the the country’s fiscal condition,” says Esin. As difficult as an economic transition might prove, substantial support may be disbursed by Western banks and debt relief from international donors is likely given the cautious optimism that has gripped Nigeria.