The World Bank has warned President Muhammadu Buhari-led government that Nigerians living in extreme poverty may increase by over 30 million in 2030.
The Bank gave the warning on Monday at its 2019 Nigeria Economic Update Report.
According to the report, failure to revive economic growth and create jobs will make Nigeria home to 25 per cent of the world’s destitute people.
The World Bank urged Buhari to increase domestic revenue and remove expensive fuel subsidies.
The report notes that the world most populous black nation could slide back into recession if crude prices fell by 25 per cent to $50 a barrel.
“Economic and demographic projections highlight the urgent need for reform,” the World Bank report read.
“With population growth (estimated at 2. 6 per cent) outpacing economic growth in a context of weak job creation, per capita income is falling.
“Today, an estimated 100 million Nigerians live on less than $1. 90 per day.
“Close to 80 per cent of poor households are in northern Nigeria, while employment creation and income gains have been concentrated on central and southern Nigeria.
“Nigeria’s economy is expected to grow by 2. 1 per cent in 2020 and 2021, compared to an annual population growth rate of 2. 6 per cent.
“Nigeria’ s economy is recovering gradually from the 2016 recession, with growth projected to pick up from 1. 9 per cent in 2018 to two per cent in 2019
“But the projected growth outlook is vulnerable to external and domestic risks, including geopolitical and trade tensions that may affect inflows of private investment.
“Nigeria has the opportunity to advance reforms to mitigate these risks amid growing public demand for greater economic opportunities.
“President Muhammadu Buhari should increase domestic revenue , remove trade restrictions and improve the predictability of economic policy.
“Nigerian government should remove expensive fuel subsidies and reduce lending to targeted sectors that crowd out banks. Failure to take actions would see more Nigerians falling into extreme poverty,” the Bank warned.