Nigeria faces a worsening poverty crisis, with approximately 141 million citizens—roughly 62 percent of the population—expected to fall below the poverty line by December 2026, according to a new report by PwC.
The forecast appears in PwC’s Nigeria Economic Outlook 2026, titled “Turning Macroeconomic Stability into Sustainable Growth.” The report warns that government policy reforms designed to stabilize the economy have failed to improve living conditions for ordinary households.
Despite predictions that inflation may gradually decline, PwC argues that stagnant wages combined with persistently high costs of living will drive millions more Nigerians into poverty. The consultancy estimates the national poverty rate will climb to 62 percent by the end of this year, as sluggish income growth fails to keep pace with rising expenses.
“Most Nigerians are unlikely to experience income increases substantial enough to offset mounting costs in the near term,” the report states, noting that low-income households remain especially vulnerable to economic disruptions.
PwC warns that even as inflation moderates, fundamental economic factors—including elevated energy costs, expensive logistics, and currency devaluation effects—will keep food and essential goods prices high. This creates particular hardship for poor Nigerians, who spend up to 70 percent of their income on food alone.
“Even modest price increases in food and basic commodities have disproportionate impacts on the welfare of low-income households,” PwC emphasized, adding that macroeconomic stability alone cannot reverse Nigeria’s deepening poverty without stronger income growth and targeted social programs.
The firm calls for comprehensive reforms extending beyond economic stabilization measures, including initiatives to boost productivity, create jobs, and strengthen household purchasing power to achieve more equitable and sustainable growth.
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