Toba Owojaiye reporting
Abuja, Nigeria
The latest Nigeria Development Update from the World Bank paints a grim picture, revealing that over 129 million Nigerians, representing 56% of the population, are now living in poverty. This marks a significant increase from 40.1% in 2018, revealing the country’s deepening economic challenges.
The report made available to Truth Live News attributed the surge in poverty to a combination of slow economic growth and rising inflation. Since 2018, economic growth has not kept pace with inflation, leading to a sharp decline in the purchasing power of ordinary Nigerians. This situation has been exacerbated by various shocks, including the global economic downturn induced by the COVID-19 pandemic, which further disrupted Nigeria’s already fragile economy.
“Since 2018, the share of Nigerians living below the national poverty line is estimated to have risen sharply from 40.1 per cent to 56.0 per cent,” the report states. “Combined with population growth, this means that some 129 million Nigerians are living in poverty. This stark increase partly reflects Nigeria’s beleaguered growth record. Real GDP per capita has not recovered to the level it was at prior to the oil price-induced recession in 2016.”
The World Bank report also highlighted the destructive impact of inflation on the daily lives of Nigerians. Large price increases across almost all goods have significantly reduced purchasing power, making it difficult for many to afford basic necessities. “Growth is failing to outpace inflation: large increases in prices across almost all goods have diminished purchasing power,” it noted. As a result, millions have been pushed deeper into poverty, further broadening the scope of economic hardship.
The report further explained , “Multiple shocks in a context of high economic insecurity have deepened and broadened poverty, with over 115 million Nigerians estimated to have been poor in 2023.