by Fisayo Ayeni
Nigeria is currently facing the worst economic crisis in history. The cost of petrol, food and other basic things are now triple the price, the cost of living in general is very expensive. The inflation rate in Nigeria is alarming.
Recent data shows that inflation rose to 31.6% in February which is the highest it has been since 1996. Regardless of the fact that Nigeria has the largest population and economy in Africa, the citizens of Nigeria are offered limited opportunities.
According to research 87 million Nigerians are living below the poverty line in Nigeria and Nigeria has been listed as the second largest poor population after India.
Another challenge which is adding to the economic crisis in Nigeria is the foreign exchange rate which affects the value of naira. Naira has depreciated to about 30% since 2019. This in turn affects the prices of things in Nigeria and it makes it difficult for an average Nigerian to survive.
Weak governance also plays a role in the currency economic state of Nigeria. Poor governance and increased corruption rate also affects the country’s income distribution and poverty. Due to this a lot of Nigerians suffer poor quality of life because they are deprived access to basic amenities.
Nigeria needs to implement effective policies and strategies to address the issue of economic crisis in Nigeria. Nigeria has a lot of potential and opportunities. To fully utilize this potentials, the government need to work to improve the economic state in Nigeria.