Over 140m Nigerians May Become Poorer by December

Poverty levels in Nigeria are projected to worsen significantly over the next two years, with as many as 141 million Nigerians, representing about 62 per cent of the population, expected to be living in poverty by 2026, according to a new report by PricewaterhouseCoopers (PwC).

The projection is contained in PwC’s Nigeria Economic Outlook 2026, titled “Turning Macroeconomic Stability into Sustainable Growth”, released on Tuesday. The report warns that recent economic reforms introduced to stabilise the macroeconomic environment have yet to translate into meaningful welfare improvements for households.

Weak income growth, high costs deepen hardship

PwC noted that weak real income growth, combined with persistently high living costs, is likely to push millions more Nigerians below the poverty line, even as headline inflation is expected to moderate gradually.

According to the report, most Nigerians are unlikely to experience income increases strong enough to offset rising prices of food, transportation and essential services in the near term. As a result, households—particularly those in lower income brackets—remain highly vulnerable to economic shocks.

Inflation moderation offers limited relief

While the outlook anticipates a gradual easing of inflationary pressures, PwC cautioned that the pace of improvement may not be sufficient to deliver immediate relief to consumers.

The firm stressed that inflation moderation alone will not reverse poverty trends without stronger job creation, improved productivity and policies that directly support household purchasing power.

Policy reforms yet to deliver welfare gains

PwC observed that although recent fiscal and monetary policy adjustments have helped restore a degree of macroeconomic stability, their impact on everyday living conditions remains limited.

The report emphasised the need for targeted social interventions, inclusive growth strategies and sustained structural reforms to prevent further deterioration in living standards and reduce the number of Nigerians falling into poverty.