Says country accounts for 15% of world’s poorest
Just a few days after the International Monetary Fund (IMF) released its gloomy economic outlook for Nigeria, the World Bank followed it with yet another scary report.

This time, the bank is projecting that poverty in Nigeria will increase by 3.6 per cent over the next five years, rising through 2027.  It further said the country is home to 19 per cent of the extremely poor population in Sub-Saharan Africa (SSA), the highest share across the region, and 15 per cent of the world’s poorest.
 
In 2014, a World Bank report had it that 43.3 per cent or 89 million Nigerians were considered multi-dimensionally poor, meaning they were lacking in areas like education, health and living standards. It also reported that 25.3 per cent, or 53 million, lived in severe poverty.  

The bank’s latest Africa’s Pulse report paints a troubling outlook for poverty reduction in Nigeria, highlighting that despite some recent gains in economic activity, particularly in the non-oil sector during the last quarter of 2024, structural issues related to resource dependence and national fragility are likely to hinder progress.

According to the World Bank, Nigeria, alongside other resource-rich and fragile countries in SSA, will experience a worsening poverty situation, unlike non-resource-rich countries, which are expected to see faster poverty reduction.
 
Economic growth in Sub-Saharan Africa, the report added, is showing some resilience despite uncertainty in the global economy and restricted fiscal space. It said regional growth is expected to reach 3.5 per cent in 2025 and further accelerate to 4.3 per cent in 2026 and 2027. 
 
“This growth is mainly due to increased private consumption and investments as inflation cools down and currencies stabilise,” the report noted. “However, growth is still not strong enough to significantly reduce poverty and meet people’s aspirations – a core concern of the 31st edition of Africa’s Pulse.”
 
Considering these projections, the World Bank recommends that Nigeria and similar economies focus on improving fiscal management and building a stronger fiscal contract with citizens to promote inclusive economic development and long-term poverty alleviation.
SSA remains the global epicentre of extreme poverty, with the World Bank revealing that the region accounted for 80 per cent of the world’s 695 million extremely poor people in 2024. That’s roughly 560 million people living on less than $2.15 per day.
 
Nigeria’s 19 per cent share of this figure means over 106 million Nigerians live in extreme poverty. This translates to about 15 per cent of the entire world’s poorest people, highlighting the depth of the poverty crisis in Africa’s largest economy.
 
Other countries with high concentrations of extreme poverty in the region include the Democratic Republic of Congo (14 per cent), Ethiopia (nine per cent and Sudan (six per cent). Together with Nigeria, these four countries host half of SSA’s poor.