Recent data from Nigeria’s National Bureau of Statistics (NBS) reveals a significant drop in the country’s GDP in dollar terms, with a 52.63 percent decline from 2023 to 2024. This sharp decrease is largely attributed to the devaluation of the naira, which saw the exchange rate rise from N580.96/$ in 2023 to N1427.73/$ in 2024. Despite nominal GDP growth from N164 trillion in 2023 to N190.92 trillion in 2024, Nigeria’s GDP fell from $282 billion to $134 billion, jeopardizing the government’s ambition of achieving a $1 trillion economy.
President Tinubu remains optimistic, highlighting a GDP growth rate of 3.46 percent in 2024 as a sign of progress. However, experts argue that the growth is insufficient to meet the $1 trillion target, drawing comparisons with countries like Argentina, whose growth has been unsustainable, and South Korea, which has experienced steady, transformative growth. Nigeria’s economic growth, while positive, has been inconsistent, and the focus on achieving a trillion-dollar economy may be overlooking critical structural challenges that hinder sustainable development.
Furthermore, despite the reported GDP growth, many Nigerians are struggling with food insecurity. A recent survey shows that over 65 percent of households cannot afford basic nutritious food, and 70 percent of those facing food insecurity are engaged in farming. This highlights a troubling disconnect between statistical economic growth and the lived reality of many Nigerians, emphasizing the need for a more comprehensive approach that focuses on the processes required to achieve inclusive and sustainable economic growth.