Nigeria’s economy is growing but rural poverty is rising: 5 key policies to address the divide

The Nigerian economy grew at a robust rate of 3.4% in 2024, the highest it has been since 2019 (except 2021 when the COVID rebound occurred).

This should have been cheering news, worthy of firecrackers and champagne-popping. Rather it came with a catch: the country’s poverty profile worsened.

In its annual review of the country, the World Bank applauded Nigeria for its economic reforms. These include the removal of fuel subsidies, liberalisation of the foreign exchange market and maintenance of a contractionary monetary policy. This is a policy of raising interest rates, reducing money supply and increasing borrowing costs to rein in inflation.