Nigerians can no longer breathe, Mr President

President Bola Ahmed Tinubu’s fiscal and monetary policies in the last two years have drained resources from ordinary Nigerians. But the political elite have become heavily empowered by the funds taken from the masses.  The two brutal measures – removal of subsidy on petroleum products and devaluation of the naira – have made available massive […]

President Bola Ahmed Tinubu’s fiscal and monetary policies in the last two years have drained resources from ordinary Nigerians. But the political elite have become heavily empowered by the funds taken from the masses.  The two brutal measures – removal of subsidy on petroleum products and devaluation of the naira – have made available massive resources to governors, ministers, National Assembly members, heads of government-owned enterprises (GoEs) and their cronies.

The side effects of the measures have created unbearable inflation, increased the cost of production and weakened the purchasing power of the people who can hardly afford basic needs.

The Manufacturers Association of Nigeria (MAN) lamented the dangerous effects of Tinubu’s economic policies when it revealed recently that its members had huge stocks of unsold goods worth N2.14 trillion in 2024. The association’s director-general, Segun Ajayi-Kadir, disclosed that the inventory of unsold goods grew by 87.5 per cent year-on-year, marking one of the most significant spikes in recent history. He said the “escalating production costs and declining consumer demand” were key drivers of the crisis. The sector’s hardest hit include food, beverage and tobacco, alongside textile, apparel and footwear.

It is not only the MAN that identified low purchasing power as one of the unconscionable consequences of Tinubu’s economic measures, World Bank’s recent report that projected 3.6 per cent growth in 2025 also raised concerns about persistent inflation and high cost of living, which hurt the purchasing power of Nigerians.

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It is on record that the Bretton Woods institution approved of Tinubu’s economic measures, but it has consistently maintained that the government has the responsibility of cushioning the effects of the harsh policies. It had identified four factors as weakening the purchasing power of the people: inflation, cost of living that significantly impacts household budget and reduce disposable income, exchange rate volatility that weakens the value of the naira and affected the cost of imported goods; and, of course, insecurity in some parts of the country, which disrupts economic activities, affecting supply chains and leading to higher prices. 

The situation in the country is alarming. It is an indication of how bad economic decisions by politicians can damage the welfare of the people. World Bank’s data and World Population Review have shown that Nigeria’s Gross Domestic Product (GDP) per capita has plummeted by more than half between 2015 and 2025. In 2015, it stood at $2,728, but as at 2024, the GDP had fallen dismally to $824 per capita. At this rate, Nigeria is the 12th poorest country in the world, ranking 178th out of 189 countries. To visualise the situation, the GDP per capita of several other African countries are as follows: South Africa ($5,764); Libya ($6,465); Gabon ($8,103); Algeria ($5,265); even Zimbabwe ($2,030), and Ivory Coast ($2,657).

The data provides context to the desperation by Nigerians to emigrate to just any country in the world to escape our harsh economic conditions and access a better standard of living.

A recent investigation by Daily Trust exposed the humiliating effects of the low purchasing power of the Nigerians. Unable to afford the cost of household products, many Nigerians now purchase cheaper but expired items for consumption, though they are aware of the harm such products could do to their health.

From the results of laboratory tests conducted by our reporters, it was clear that the products sampled were no longer healthy for human consumption, especially food products that generate harmful bacteria upon expiry. Apart from purchasing expired food items for consumption, Nigerians now patronise second-hand goods of all categories due to their inability to afford new items.

With the abundant natural and human resources of the country, Nigerians do not deserve this dismal standard of living.

The president must not play the ostrich about the weak purchasing power and how it impacts the living condition of Nigerians. He must take deliberate steps to address the alarming situation and prevent it from degenerating further. The president must control inflation through sound monetary policy and fiscal discipline to preserve the value of wages and savings.

The finance minister must come up with measures to reduce taxes on essential goods to make everyday items more affordable. Like many countries, the government must devise a measure to subsidise essential goods like food, fuel and medicine to reduce cost of living pressures. 

We have reiterated that subsidy is not a forbidden word in the Nigerian economy; it has been used in developed societies to reduce the cost of living and boost the purchasing power of citizens. Also, the federal government must launch public works programmes focused on roads, housing and sanitation to create jobs and stimulate local economies. The government must not give out all construction projects on contract to businessmen.

Also, Tinubu should probe into how governors of the 36 states have utilised the huge funds allocated to them monthly as a result of the removal of fuel subsidy in 2023. These governors have failed to redistribute the resources through the creation of jobs. Many developed societies redistribute financial resources to empower their citizens through mass employment of youths into public works, security, educational and agricultural sectors. Many state governors have not taken such measures; some governors have not even implemented the minimum wage policy of N70,000 to their workers. The president must direct them to apply the funds in sectors that create jobs for the teeming youth population.

Nigerians have protested against the unaffordable cost of living in recent months. Though the government has dismissed such protests as being politically motivated, the people are suffocating under this uncontrolled inflationary trend. The hypocritical data by the National Bureau of Statistics (NBS) that indicates a reduction in inflation does not reflect the stark reality that confronts Nigerians in the market. Nigerians can no longer breathe due to the high cost of food and other essential items. This government must take visible steps to alter the frustrating trend.