Nigeria’s surging inflation rate has pushed 7 million Nigerians into poverty, the World Bank said in its latest Nigeria Development Update report.
According to the report, before inflation started rising steadily, there were 82.9 million poor Nigerians but the number has risen to 90.1 million as a result of the price shock.
Nigeria’s inflation jumped to 18.1 percent in April 2021 from 12.3 percent recorded in the same last year.
Food cost has also hit a record high of 22.7 percent in April 2021 compared to 15 percent in April 2020. This signals a reduction in purchasing power and rising poverty levels.
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The pandemic has also exacerbated the food crisis in the country.
The Bank estimated that about 18 percent of adults did not eat for an entire day compared to 6 percent recorded before Covid.
From the report, 11 million more Nigerians are expected to fall into poverty between 2020 and 2022 due to Covid-19.
The Bank has projected economic growth of 1.8 percent this year compared to a previous estimate of 1.2 percent if it deepens reforms.
