Nigeria's 3% Growth Masks Deepening Poverty, Structural Flaws
Nigeria's reported 3% economic growth in 2025 masks a stark reality: poverty has surged to 62% despite the headline figure. World Bank data shows the poverty rate rose from 56% in 2024 to 62% in 2025, the highest level in years. This disconnect stems from shallow growth driven by price hikes and valuation effects rather than real productivity gains. The government implemented only 25% of its budget, while growth concentrated in low-productivity sectors like trade and telecom. Critics argue this reflects survival-based economic activity rather than structural development. The article warns that Nigeria's growth model remains consumption-driven and import-dependent, lacking the productive foundations needed for sustainable development. It concludes that growth must prioritize productivity and institutional capacity to address poverty effectively.