A senior lecturer at Hussaini Adamu Polytechnic, Kazaure, Dr. Tijjani Ahmad, has agreed with the recent World Bank report that over 100 million Nigerians are still living below the poverty line, despite claims that the economy is now stable.
Speaking in an exclusive interview with newsmen, Dr. Ahmad explained that according to the World Bankโs definition, poverty is measured by people living below two dollars a day.
โIf you look at the exchange rate in Nigeria today, two dollars is about โฆ3,000. That means โฆ3,000 a day or about โฆ90,000 in a month,โ he said.
He noted that most Nigerians do not earn up to that amount monthly.
โHow many people are earning โฆ90,000 in Nigeria? Even most employees donโt get that much. So, we can agree that around 60 percent of Nigerians are living below the poverty line,โ he said.
Dr. Ahmad, who is also a Research Fellow at the African Centre for Tax and Governance, said that while Nigeriaโs economic indicators may show signs of stability, the reality for ordinary citizens is different.
He explained that economic growth does not immediately translate into development.
Dr. Ahmad also pointed out that the northern region remains poorer compared to the southern part of Nigeria due to several social and economic factors.
He added that the high dependency ratio in the North contributes to the problem.
โYou can find one man with three or four wives and up to twenty or more children, and only one person is earning income for all of them. In the South, the family size is smaller, so poverty impact is less severe,โ he said.
Speaking on the role of government policies, Dr. Ahmad said the removal of fuel subsidy and the floating of the naira were major factors that worsened poverty in the country.
โWhen the president removed the subsidy, there should have been immediate remedial measures to cushion the effect. The same thing with the exchange rate. it went from less than โฆ1,000 to over โฆ1,500. These two policies affected the economy and peopleโs living standards,โ he said.
He also noted that the situation was compounded by debts and policies inherited from the previous administration.
โThe last government printed more money than any other in the past forty years, and that weakened our currency. Our foreign reserves were depleted, and we kept borrowing. These are part of what led us here,โ he added.
However, Dr. Ahmad maintained that the current administration is making efforts to reverse some of these trends.
โEven though subsidy cannot return, because Nigeria doesnโt have the capacity to fund it, the government is trying to stabilize things,โ he said.
He concluded by saying that while Nigeriaโs economy may show signs of progress, the gains will only be meaningful when they start improving peopleโs daily lives.
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