The World Bank revealed that Nigeria’s poverty rate has climbed to 63%, leaving approximately 140 million citizens living below the national poverty line.
The multilateral lender noted a growing disconnect between improving macroeconomic indicators, such as easing inflation numbers and household realities, where real income growth continues to lag behind historical cost-of-living shocks.
Key Findings From the World Bank Report
- Multi-Year Poverty Surge: The proportion of Nigerians living below the poverty line expanded from 56% in 2023 to 61% in 2024, before hitting 63% in 2025.
- Lagging Purchasing Power: Although headline and food inflation rates have shown a downward trend, cumulative price increases over recent years continue to erode disposable income faster than nominal wages can recover.
- Sectoral Imbalance: Economic growth remains concentrated in services and industry, while agriculture, the primary source of livelihood for over half of the country’s low-income population, continues to experience sluggish output.
- Long-Term Outlook: The World Bank forecasts a gradual decline in poverty levels starting late 2026, with estimates pointing toward 59% by 2028 as price stability consolidates and macroeconomic conditions normalize.
Recommended Policy Focus
To reverse the trend, the World Bank emphasizes the need for job-rich, inclusive economic expansion.
Key priorities highlighted include expanding targeted direct cash transfer programs, improving agricultural productivity and deepening investments in early childhood development and basic public health infrastructure.
