The World Bank has reported that poverty in Nigeria climbed to 63 per cent in 2025, even as inflation began to slow, indicating that recent economic improvements have not yet translated into better living conditions for many households.
The findings were published in the bank’s Nigeria Development Update (April 2026), titled “Nigeria’s Tomorrow Must Start Today: The Case for Early Childhood Development,” released in Abuja on Tuesday.
The report showed a steady rise in poverty levels over three years, from 56 per cent in 2023 to 61 per cent in 2024, before reaching 63 per cent in 2025. This translates to roughly 140 million Nigerians living below the poverty line.
It noted that the increase occurred despite a notable easing in inflation, suggesting that lower price growth has not been enough to improve real incomes or reduce hardship.
Figures from the National Bureau of Statistics revealed that headline inflation fell from 34.80 per cent in December 2024 to 15.15 per cent in December 2025. Food inflation also dropped significantly, from 39.84 per cent to 10.84 per cent within the same period.
However, the World Bank stressed that inflation, though declining, remained high enough to continue eroding purchasing power and putting pressure on household welfare.
It explained that many families are still feeling the impact of earlier price spikes, which weakened incomes before the recent slowdown in inflation.
The bank concluded that household earnings have not grown fast enough to offset rising living costs, meaning poverty levels have yet to start declining despite macroeconomic stabilisation efforts.
