The Rising Tide of Poverty and Inflation in Nigeria: A Closer Look

By Joshua Omoniyi 

Recently, Nigeria has been facing a sharp rise in poverty, worsened by the constant increase in the prices of basic goods. As families struggle to get by, the effects of inflation on everyday life have become very clear. A clear example of this is the price of common food items. According to the Selected Food Price Watch for October 2023, the average price of 1kg of tomatoes jumped by 48.73% from N454.46 in October 2022 to N675.91 in October 2023. Likewise, the price of 1kg of local rice rose by 68.10%, now costing N819.42, while brown beans increased by 39.90% to N790.01. This kind of inflation not only affects food safety but also puts a lot of stress on households, many of which are already struggling to survive.

The rising cost of living is made worse by the growing school fees that have left many parents worried. As education costs go up, families have to make hard choices between basic needs and securing their children’s future. This situation is common in many areas, especially urban places where the cost of services, like printing, can vary a lot; for example, a service that costs N500 in Madalla might only be N150 in Kwankwashe, showing the difference in economic conditions within the same state.

To understand the local economy better, we talked to Mummy Bookie, a seller on Fulani Road in Kwankwashe, who gets her goods from Suleja. She shared her worries about the constant price hikes and how they are affecting her sales, mentioning that customers are struggling to buy even basic items. This concern is echoed by Abdul, a clothing wholesaler in Suleja, who has seen a drop in customer purchases due to rising prices, showing a wider problem affecting all parts of the economy.

The views of young people also show how urgent the situation is. David, a thirteen-year-old boy from Fulani Road, talked about how his family deals with rising costs, forcing them to skip some meals and focus on essentials. His story highlights how economic problems affect the younger generation, as children feel the weight of their families' financial troubles.

The situation for single parents is especially tough. Mummy Zion, a single mother of two, explained the difficulties of raising her kids while prices keep going up. With a limited income, she often has to make hard choices about what her family can afford, usually putting her children’s needs before her own.

As inflation keeps rising, the Nigerian economy faces serious problems. The Stanbic IBTC Purchasing Managers’ Index (PMI) for October 2024 showed a decline in business conditions, falling to 46.9 from 49.8 in September, which indicates a worrying trend for local businesses. Rising fuel prices, which reached between N1060 and N1300 per litre in October, have further reduced buying power, pushing many Nigerians deeper into poverty.

The falling value of the naira, trading at N1666.72 per dollar, highlights the urgent need for economic changes. As prices of goods and services keep rising, the future looks grim for many families. The mix of these factors paints a dark picture of life in Nigeria, where the fight against poverty and inflation is becoming harder and harder. It is crucial for leaders to tackle these problems quickly, making sure that the voices of those affected are heard and that real solutions are provided to help ease the suffering of millions.