Despite Economic Reforms, 139m Nigerians Live In Poverty – World Bank
The World Bank has raised serious concern that despite Nigeria’s recent economic reform efforts, an estimated 139 million citizens are now living in poverty.
The revelation came on Wednesday in Abuja during the launch of the October 2025 Nigeria Development Update (NDU) titled “From Policy to People: Bringing the Reform Gains Home.”
The report, presented by the World Bank Country Director for Nigeria, Mathew Verghis, warned that the country risks losing the gains of its recent economic reforms if they fail to translate into real improvements in the lives of ordinary Nigerians.
Verghis, who assumed office three months ago, commended Nigeria’s bold economic moves, particularly the reforms in the foreign exchange market and the petrol subsidy removal, describing them as “foundational” steps capable of transforming the nation’s long-term economic trajectory.
He, however, cautioned that these macroeconomic achievements would be meaningless unless they begin to reflect in improved welfare for citizens.
“Despite the stabilisation gains, many households are still struggling with eroded purchasing power. In 2025, we estimate that 139 million Nigerians live in poverty,” Verghis stated.
According to the report, the reforms have begun yielding positive results; growth is picking up, revenues have increased, debt indicators are improving, the exchange rate is stabilising, and inflation is slowly easing.
However, the Bank noted that these improvements remain largely at the macro level, with millions of Nigerians yet to feel the impact in their daily lives.
The World Bank chief identified three critical priorities for Nigeria to turn policy success into human development outcomes: reducing inflation, improving the effective use of public resources, and expanding social protection coverage for the poor and vulnerable.
He stressed that food inflation must be urgently addressed, warning that persistently high food prices could erode public support for the government’s reform agenda and weaken recovery.
“Food inflation affects everybody, particularly the poor. Persistent differences between Nigeria’s inflation rate and those of its trading partners will pressure the exchange rate and create a vicious cycle,” he said.
Verghis praised the Central Bank of Nigeria’s tight monetary policy and the government’s fiscal discipline, but maintained that they must be complemented by structural reforms targeting inefficiencies in food production, market systems, and distribution.
The World Bank also urged the Federal Government to strengthen public financial management systems to ensure transparency and measurable impact of spending, while expanding the national social safety nets to cushion vulnerable Nigerians from the effects of ongoing adjustments.
“The challenge is clear: to translate the gains from stabilisation reforms into better livelihoods for the Nigerian people,” Verghis concluded.
Sodiq Lawal is a passionate and dedicated journalist with a knack for uncovering captivating stories in the bustling metropolis of Osun State and Nigeria at large. He has a versatile reporting style, covering a wide range of topics, from politics , campus, and social issues to arts and culture, seeking impact in all facets of the society.
