Rising inflation pushes more Nigerians into poverty under Tinubu govt

Nigeria is grappling with a persistent rise in inflation, plunging more citizens into poverty as living costs soar and purchasing power diminishes under President Bola Ahmed Tinubu’s administration. Headline inflation surged 24 times over two years, reaching 27.33% in October 2023, primarily driven by a spike in food inflation to 31.52% from September’s 30.64%. The Central Bank of Nigeria claims its recent monetary policies are yielding results, but a market survey reveals a 20% increase in food prices.

Citizens across regions are feeling the impact, with essential items like rice, beans, groundnut oil, bread, and eggs experiencing substantial price hikes. Many Nigerians share their struggles, citing challenges in affording basic needs and education amid the escalating costs. The World Bank reports that accelerating inflation has pushed four million Nigerians into poverty in the first five months of 2023, compounding the existing issue of 133 million people living below the poverty line.

President Tinubu promised economic revitalization, but the removal of fuel subsidies and foreign market liberalization since June has negatively impacted the economy. Despite the government’s claim of increased revenue after subsidy removal, citizens are yet to experience an improvement in their well-being. A significant portion of the national revenue is dedicated to debt servicing, reaching N87.38 trillion in the second quarter of 2023.

While the government pledges to address economic challenges by increasing the minimum wage, rolling out Compressed Natural Gas buses, closing tax gaps, and suspending remittances by universities, there’s skepticism about the tangible impact on citizens. The promised N75,000 payment to vulnerable Nigerians is yet to materialize, further fueling concerns about the government’s ability to alleviate the economic strain.

Economic experts emphasize the need for job creation, production enhancement, and careful management of resources. They point out that inflation is exacerbating the situation, especially when coupled with stagnant disposable incomes. The urgency to tackle agricultural issues, such as farmer-herdsmen conflicts and policy inconsistencies affecting local production, is stressed. Strengthening the Naira, implementing effective agricultural policies, and providing alternatives to rising petrol prices are proposed as measures to curb inflation and alleviate economic challenges.