Nigeria Faces Serious Economic Crisis

With inflation at 30% and falling currency, Nigeria, with 210 million inhabitants and Africa’s largest economy, is facing one of the worst crises in years. In the last week of February 2024, the Nigerian currency (naira) hit a record low against the dollar.

Nigeria’s Senate, according to Reuters, appointed 12 new members to the central bank’s Monetary Policy Committee on February 21 and will have a meeting this week (the first since July 2023) to set monetary policy and interest rates, whereas a massive increase is expected. Governor Olayemi Cardoso (only two months in office) is facing the highest inflationary spiral in three decades. The rising cost of living has sparked numerous protests in the country since early February, ranging from the capital Abuja to Suleje, Minna, Kano, and finally Ibadan.

President Bola Tinubu said he is working to raise $10 billion to boost foreign exchange liquidity, stabilize the currency, and stimulate the economy.

“At the heart of this objective is the optimal management of the federal government’s assets and investments to unlock their revenue potentials,” Tinubu explained. “This includes our bold plan to double our GDP growth rate and significantly increase our GDP base over the next 8 years.”