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Subsidy: Poor Nigerians will rise above 100 million without palliatives – W’Bank
This was disclosed during the launch of the June 2023 edition of the Nigeria Development Update on Tuesday in Abuja.
The Washington-based lender also said about 7.1 million poor Nigerians would become poor if the Federal Government failed to compensate or provide palliatives for them, following the removal of fuel subsidy.
According to World Bank data, 89.8 million Nigerian were poor as of the beginning of this year. The lender noted that additional four million Nigerians became poor between January and May this year, raising the figure to 93.8million.
Latest projection means the number of poor Nigerians will rise to 100.9 million if the government fails to compensate vulnerable citizens for fuel subsidy removal.
The World Bank Nigeria Development Update report noted that Nigeria’s inflation has risen to a 17-year high, and has been driven by a number of factors, such as CBN funding of budget deficit, previous multiple exchange rates, devaluation, and trade restrictions.
The report read, in part, “Consumer price inflation has surged and is currently one of the highest globally, which is related to Nigeria’s fiscal imbalance and points to the urgency of reform efforts. Inflation in Nigeria has been high for many years due to structural factors, but it escalated in 2022, to the point where consumer prices increased at their fastest pace for 17 years.
“The consumer price index further accelerated in 2023 through May, up to 22.4 percent y-o-y. High inflation has been driven by the monetization of the fiscal deficit by the CBN, multiple exchange rates and exchange rate depreciation in the parallel market, and intensified trade restrictions, exacerbated by the spike in global food and energy prices.
“The CBN implemented measures to control rising inflation, including raising the monetary policy rate by 700 basis points, but these proved ineffective and monetary policy remained loose overall in the first half of the year. The loss of purchasing power from high inflation has increased poverty in the short-term, pushing an estimated 4 million Nigerians into poverty between January and May 2023.”
The National Bureau of Statistics recently disclosed that inflation in the country rose to 22.41 per cent in May, which is the highest in about 19 years.
Also, the NBS, in its National Multidimensional Poverty Index report, disclosed that 133 million Nigerians are multi-dimensionally poor.
The NBS said 63 per cent of Nigerians were poor due to a lack of access to health, education, living standards, employment, and security.
The Multidimensional Poverty Index offered a multivariate form of poverty assessment, identifying deprivations across health, education, living standards, work, and shocks.
In its new report, the Washington-based bank noted that the loss of purchasing power increased the poverty headcount rate by an estimated 2 percentage points or 4 million people.
This may mean that the total number of poor people in the country has risen to 137 million this year.
The World Bank added that the number of poor people in rural areas increased by an estimated 4 percent, while in urban settings, there was an estimated increase of 11 per cent.
The Brenton Woods institution further noted that with the removal of fuel subsidy, about 7.1 million people are at risk of becoming poor if no form of compensation is provided by the government.
The report read, “In the immediate term, the removal of the petrol subsidy has caused an increase in prices, adversely affect ting poor and economically insecure Nigerian households. Petrol prices appear to have almost tripled following the subsidy removal.
“The poor and economically insecure households, who directly purchase and use petrol as well as those that indirectly consume petrol, are adversely affected by the price increase. Among the poor and economically insecure, 38 percent own a motorcycle and 23 percent own a generator that depends on petrol. Many more use petrol dependent transportation.
“The poor and economically insecure households will face an equivalent income loss of N5,700 per month, and without compensation, an additional 7.1 million people will be pushed into poverty.
The World Bank warned that many newly poor and economically insecure households will likely resort to consequential coping mechanisms, such as “not sending children to school, or not going to the health facilities to seek preventative healthcare or cutting back on nutritious dietary choices.”
The bank stressed the need for adequate compensation, noting that compensating transfers will be essential in helping to shield Nigerian households from the initial price impacts of the subsidy reform.
The lending institution further applauded the removal of the subsidy and FX management reforms, which are crucial measures to begin to rebuild fiscal space and restore macroeconomic stability.
The report added, “Following a bold start with the recent PMS subsidy reforms and FX reforms, the urgency remains for Nigeria to seize the opportunity to chart a new course with ambitious and comprehensive reforms to raise long-term growth prospects.”
In his remarks, the governor of Oyo state, Seyi Makinde, said the reforms of the new administration are a step in the right direction.
However, he said there is a need to ensure that social safety nets are put in place because other than the local disruptions, there are also global headwinds that affect Nigeria as well.
“Social protection programs must be taken with a systemic approach towards long-term objectives,” he said.
Abia State Governor Alex Otti stressed the need for deregulation in the oil sector in order to maintain the reforms in this sector.
“What is important is not that the subsidy is removed, but the ability to sustain that removal, and the only way to do is moving from regulation to deregulation,” he said.
He further stressed the need for a sustainable cash transfer programme and other programmes that are well-targeted to the poor affected by the reforms in the country.
The Resident Representative for Nigeria of the International Monetary Fund, Ari Aisen, noted that the current reforms of the new administration are expected to have side effects.
He said, “There were so many distortions accumulated in the past, it is naturally that when these policies are implemented, you have some side effects. We should all expect that.”
Aisen added that inflation will likely keep rising, and stressed the need for policies that would curb inflation.
“Here, inflation is the main culprit in the room. We have seen inflation already high before the implementation of these policies. Inflation is likely to increase further. In our view, it is going to be critical to tailor macroeconomic policies to reduce inflation,” he said.
The IMF Representative further said that there is a need for further tightening of the monetary rates, which he said, remain loose.
He added that the IMF hopes to continue its long-term relationship with Nigeria, supporting the country with capacity building, policy advisory, and financing.
The Director General, Debt Management Office, Ms Patience Oniha, noted that although the government can borrow from the Central Bank of Nigeria through the Ways and Means Advances, it is important to stick to the limit.
She further stressed the need for urgent support from multilateral organisations in addressing the tough time Nigerians are going through.
Oniha said, “These are tough times because the policies have all been introduced now. In what ways can we get real support? We do appreciate all the concessional funding that we get from the multilaterals. In this short time, in what way can we get that assistance?”
The Special Adviser to the President, Bola Tinubu, on Monetary Policies, Wale Edun, said that other than the $800m loan from the World Bank, there may need for additional financing to ensure the sustainability of the bold reforms under the administrations.
“We have identified some sources of funding, but we are going after many more,” he said.
The World Bank Country Director for Nigeria, Shubham Chaudhuri, further disclosed that Nigeria is the biggest beneficiary of concessional financing from the World Bank, with over $10.5bn since February 2020.
The World Bank lead economist for Nigeria, Alex Sienaert, during a presentation at the event, said that Nigeria is projected to save up to $5.1bn (N3.9tn) in 2023 alone after the removal of fuel subsidy and reforms of its foreign exchange market.
Sienaert also said that the gains from these policies are expected to reach over N21tn between 2023 and 2025.
The Director of the Enugu State Fire and Rescue Service, Chief Okwudili Ohaa, has said the swift mobilisation of emergency resources by Governor Peter Mbah led to the rescue of five occupants trapped in a collapsed building in Enugu metropolis.
The uncompleted four-storey building, located along Ogbaru Street, by Alvan Ikokwu Street, Independence Layout, Enugu, collapsed in the early hours of Sunday.
Ohaa told newsmen on Sunday that all five occupants of the building, as confirmed by the security guard on duty, were successfully rescued.
Ohaa
He said four of the occupants were rescued alive and conscious, although they sustained injuries, while the fifth person was rescued unconscious.
Ohaa commended Governor Mbah for his swift mobilisation of emergency response agencies, including the Red Cross, Enugu State Emergency Management Agency (SEMA), Enugu State Ambulance Services, the police and the Nigeria Security and Civil Defence Corps (NSCDC).
Other agencies and organisations at the scene included the National Emergency Management Agency (NEMA), Enugu Capital Territory Development Agency (ECTDA) and a Chinese construction company, which provided four heavy-duty cranes.
According to Ohaa, the governor alerted him about the incident early Sunday morning, prompting the immediate mobilisation of officers of the Enugu State Fire and Rescue Service to the scene with extrication equipment.
“His Excellency, Dr Peter Ndubuisi Mbah, must be commended for also mobilising adequate rescue equipment such as heavy-duty cranes, bulldozers and excavators, which ensured the rescue of the five persons,” he said.
Ohaa explained that rescue officers initially relied on information from the security guard to determine how many people were trapped in the building.
“As rescue officers, what we did was to ask the security man how many people were here. He said there were supposed to be six. One person had left before it happened.
“So, we were able at that initial time to rescue four persons. Out of the four, two sustained minor injuries and they were all rushed to a health facility for proper checks,” he said.
The Chief Fire and Rescue Officer said the fifth person was eventually recovered unconscious and taken to a health facility by the Enugu State Ambulance Services.
The NEMA Information Officer in Enugu, Mr Nnanyelugo Ezeani, also confirmed that five people were rescued.
He said the situation could have been worse because the state government had earlier sealed the construction site.
“One person among the six residing in the collapsed building was not on the site at the time of the incident, while five others were rescued and taken to the hospital,” Ezeani said.
Speaking on the incident, the Executive Chairman of the Enugu Capital Territory Development Agency (ECTDA), Mr Uche Anya, described the developer as one of those who failed to comply with building regulations.
Anya said the ECTDA had earlier taken regulatory action by sealing the site, which was originally approved in 2021.
“This property was approved in 2021 before the advent of this administration. But usually, we have a habit of stocktaking and checking on every construction at every stage.
“When I personally led the team that inspected here, we found out that there were serious integrity issues and non-compliance with their 2021 approval.
“I personally issued the first ‘stop-work order,’ which, due to the violation, resulted in our sealing the place over the last six months outrightly.
“So, I think within the last 30 to 40 days, the representative of the owner, whom they say lives abroad, has been interfacing with us to remedy the situation. This is the process that we are still trying to interface on, and it came down.”
Anya added that he had handed the owner’s representative over to the police to assist with the investigation.
“This is really a very unfortunate situation,” he said.
A four-storey building under construction in Enugu has collapsed, killing at least one person and trapping several construction workers beneath the rubble.
The incident occurred on Sunday morning at the uncompleted structure, reportedly being developed as a hotel, causing panic among residents and passersby.
According to authorities, six workers were believed to have been sleeping inside the building when it collapsed. Four workers have so far been rescued, while the body of one victim has been recovered.
Authorities said one of the six workers reportedly left the site shortly before the collapse, raising hopes that fewer people may be trapped beneath the debris than initially feared.
The rescued workers were taken to the Enugu State Teaching Hospital for treatment.
Emergency responders, including the National Emergency Management Agency (NEMA), Nigerian Red Cross Society, Enugu State Emergency Management Agency (SEMA), Enugu State Capital Territory Development Authority and the police, are participating in the rescue operation.
The cause of the collapse has not yet been established, while rescue efforts continue at the scene.
The member representing Ikwo/Ezza South Federal Constituency in the House of Representatives, Chinedu Ogah, has called on the Economic and Financial Crimes Commission (EFCC) and other anti-graft agencies to investigate the financial activities and source of wealth of socialite and businessman, Paschal Okechukwu, popularly known as Cubana Chief Priest.
Ogah, who is Chairman of the House Committee on Reformatory Institutions, made the call on Thursday at a press conference in Abakaliki, Ebonyi State.
The lawmaker said the businessman’s financial dealings should be subjected to scrutiny regardless of his public profile.
“I am urging the EFCC to thoroughly investigate him, investigate his bank accounts, investigate all the things he does,” Ogah said.
He also accused Cubana Chief Priest of undermining President Bola Tinubu’s political fortunes in the South-East ahead of the 2027 general elections.
Ogah questioned the socialite’s claim to political influence in Ebonyi State and challenged him to make his membership card of the All Progressives Congress (APC) public.
The lawmaker further criticised recent comments attributed to Cubana Chief Priest on social media in which he reportedly called for the resignation of Ebonyi State Governor, Francis Nwifuru.
Ogah demanded that the comments be withdrawn and followed by an apology, warning that legal action could be taken if the businessman failed to comply.
“Who is Cubana Chief Priest? What is his address that gives him the impetus to speak against our governor, the most performing governor in Nigeria?” he asked.
According to Ogah, Cubana Chief Priest had no electoral mandate to speak on behalf of Ebonyi State or demand the resignation of its elected governor.
He also questioned the businessman’s political influence, noting that he had previously contested an election in Imo State but failed to secure the party’s primary ticket.
Ogah alleges plot against Nwifuru
The lawmaker further alleged that unnamed political actors were sponsoring campaigns aimed at discrediting the Nwifuru administration and weakening the APC ahead of the 2027 elections.
He defended the state’s security architecture, particularly the Commissioner of Police, Hope Okafor, against what he described as an orchestrated campaign for her removal.
Ogah urged the Nigeria Police Force, Department of State Services (DSS) and other relevant agencies to investigate those behind the alleged campaign and determine whether any law had been breached.
“All of us can attest to the peace and security we enjoy in Ebonyi State. The Army, the police, the Civil Defence and the DSS are doing marvellously well in Ebonyi State,” he said.
Lawmaker accuses Otu of mobilising protesters
Ogah also accused another critic of the state government, Charles Otu, of allegedly mobilising people from outside Ebonyi State to participate in a protest against the government in Abuja.
He claimed that some of those involved were presented as Ebonyians despite allegedly coming from other states.
Ogah said his lawyers had previously petitioned the DSS over allegations involving Otu and urged the agency to investigate the matter.
He also challenged Otu to substantiate allegations he allegedly made against him during an appearance on Arise Television.
“My own is that whosoever defaults the law, we take it legally. I cannot mention who I have not known. But when we get there, it is for the security agencies to investigate,” Ogah said.
Ogah lists Nwifuru’s achievements
Defending the Nwifuru administration, Ogah cited the state government’s scholarship programmes, school construction, road projects and other development initiatives as evidence of the governor’s performance.
He said hundreds of Ebonyi indigenes had benefited from postgraduate scholarships in Nigeria and abroad, while roads and schools were being constructed across the state’s 13 local government areas.
Ogah also praised Nwifuru for what he described as political tolerance, saying opposition parties had been allowed to operate freely in the state.
He argued that the people of Ebonyi should determine their political leadership through the ballot rather than through media campaigns and protests.
“Ebonyi people will choose who is their leader. They should stop using the media to castigate the governor,” he said.
Questions Nwifuru’s omission from Tinubu campaign council
The lawmaker also questioned the reported omission of Governor Nwifuru from President Tinubu’s campaign council, describing it as an error that should be corrected.
“How can a governor that has done much in APC not be included in the campaign council? How can a governor that is elected under the APC not be included?” Ogah queried.
He maintained that Nwifuru’s political influence and the APC’s electoral performance in Ebonyi made him an important stakeholder in Tinubu’s 2027 re-election campaign.
Ogah warned political actors against using the media to destabilise the state and urged all parties to pursue their grievances through legal and democratic channels.
The lawmaker, who is also the Ebonyi State Coordinator of the Tinubu Support Group (TSG), was accompanied by other members of the group at the press conference.
He reiterated his call for security agencies to investigate the various allegations raised and take appropriate action against anyone found to have violated the law.
The Federal Character Commission (FCC) has urged youths in Enugu State to disregard the belief that federal government jobs and other opportunities are already allocated before they are advertised.
FCC Executive Chairman, Hulayât Motunrayo Omidiran, gave the charge on Thursday at the International Conference Centre, Enugu, during the Peter Eze Enugu Youth Connect 2026.
Omidiran urged the youths to acquire relevant skills, embrace technology and actively pursue legitimate opportunities, stressing that federal character should promote both equity and merit.
She also warned against fraudulent recruitment schemes and advised applicants to authenticate employment opportunities before applying.
The Enugu State Deputy Governor, Ifeanyi Ossai, represented by the Secretary to the State Government, Prof. Chidiebere Onyia, challenged young people to prepare themselves for available opportunities.
Onyia said government could create opportunities, but individuals must develop the capacity to take advantage of them.
The FCC Commissioner representing Enugu State, Peter Ogbonna Eze, said the programme was designed to bridge the information gap preventing young people from accessing federal employment, scholarships, grants, fellowships and training opportunities.
Eze said many youths were discouraged from applying for federal jobs because of the misconception that such positions had already been shared among influential individuals.
He urged them to apply whenever legitimate opportunities were advertised, warning that nobody should pay money to secure a federal government job.
He also disclosed that five participants in the programme would be selected for a full scholarship opportunity.
Eze said the initiative would continue as a platform for connecting Enugu youths with credible opportunities and urged participants to become “ambassadors of opportunity” by sharing useful information with others.
The event brought together youths and stakeholders from across Enugu State to discuss federal representation, employment, education, skills development and other opportunities.
By Chinedu Sabastine
ENUGU — Umuchigbo Iji Nike Autonomous Community in Enugu East Local Government Area of Enugu State has fixed Sunday, September 13, 2026, for its annual New Yam Festival.
The cultural celebration, which is scheduled to commence at 3 p.m., is being organised under the leadership of the Executive Chairman of Umuchigbo, Hon. Chief Afam Joseph Ogbene, popularly known as Akirika Chioku 1, Na Nike Kingdom.
The festival is expected to showcase the rich cultural heritage and traditions of the people of Umuchigbo and Umuenwene in Iji Nike Autonomous Community, while promoting unity and communal bonding.
Ogbene, in an invitation to the festival, described the celebration as an opportunity for the people to preserve their cultural heritage, strengthen community ties and give thanks for the year’s harvest.
He said, “Our New Yam Festival is more than a cultural celebration. It is a time for us to come together as one people, appreciate our heritage and give thanks for the blessings of the year.”
According to him, the event will also provide an opportunity for sons and daughters of the community, as well as friends and well-wishers, to reconnect and celebrate together.
“We are inviting everyone to come and celebrate with us. It is a celebration of our culture, our community and thanksgiving for the new yam season,” he added.
According to the invitation, activities will commence at Ogbene’s residence on Akirika Chioku Avenue, Nome Ogba Aniji Road, Umuchigbo, before proceeding to Obodoeze Iji Village Square, Odangene, for the New Yam rites and masquerade display.
The event will also feature traditional cuisine, music and other forms of cultural entertainment.
The organisers urged sons and daughters of Umuchigbo, friends, well-wishers and members of the public to join the community in celebrating the festival.
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