Recent historical writing on Northern Nigeria has celebrated African entre‐preneurship and even an alleged ‘bourgeois revolution’. This paper offers an alternative account of the way in which Northern Nigeria was incorporated into the world capitalist economy. A merchant bourgeoisie has been important to this process, and proved incapable of initiating autonomous capitalist development. This paper examines the social relations of production and the forms in which surplus was extracted from the producers in nineteenth‐century Hausaland and in colonial Northern Nigeria. It presents the era of colonialism as a period of transition to peripheral capitalism. The surplus was transmuted into cash and commodities from which surplus value could be extracted.
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