Rising Cost of Living Could Lead to Social Unrest in Nigeria and Others (AfDB)
Fears of fuel and commodity price spikes sparking societal instability in Kenya, Angola, Ethiopia, and Nigeria have been voiced by the African Development Bank (AfDB).
In its 2024 macroeconomic performance and prognosis, the AfDB issued the warning, projecting that Africa’s economy will develop faster than the 3.2% reported in 2023.
By 2024, the African Development Bank (AfDB) expected continental growth to have recovered to 3.8%.
The bank did warn that Nigeria, Angola, Kenya, and Ethiopia might see domestic unrest if fuel and commodity prices rose due to currency devaluation or the elimination of subsidies.
“Declining local currencies and reforms could lead to higher commodity prices, which in turn could lead to internal disputes and bloodshed,” it warned.
“societal unrest motivated by opposition to government policy has occurred, for example, as a result of the societal costs associated with the termination of gasoline subsidies in Angola, Ethiopia, Kenya, and Nigeria.”
In addition, the AfDB warned that El Nino and escalating geopolitical tensions in the Middle East and Eastern Europe could disrupt global supply chains, leading to higher prices for food and energy. This could hit Africa particularly hard.
Some Nigerians have taken to the streets in several states in recent times in protest of the country’s increasing cost of living, which has become a cause for concern.
Government initiatives, such as the elimination of petrol subsidies and the floating of the naira, are alleged to be the cause of the cost of living crisis.
On February 5, protests began in Minna, Niger State, over the growing difficulty of living there. Many other states followed suit.
Notable figures have begun to voice their concerns, stating that the present situation could worsen if not addressed immediately.
A member of this group, the Sultan of Sokoto, made the statement at Wednesday’s 6th Executive Committee Meeting of the Northern Traditional Rulers Council in Kaduna that the economic crisis in Nigeria had gotten so bad that people were furious, hungry, and irritated.
He made it clear to the federal government that they were in danger of losing control of the situation in Nigeria and the North due to the increasing levels of poverty, unemployment, insecurity, and misery.
Even more problematic is the fact that our people are becoming increasingly poor, and the average person does not have access to even the most basic means of subsistence, such as a roof over their head or food on the table.
We cannot turn a blind eye to the growing poverty rate and the prevalence of insecurity, in my opinion. He made it clear that he has spoken out on the state of affairs in Nigeria and the North on numerous occasions.
The Nigeria Labour Congress (NLC) has also planned a two-day countrywide demonstration in response to the increasing insecurity and hardships endured by Nigerians.
According to Joe Ajaero, president of the National Labour Council (NLC), who spoke at a press conference following Friday’s emergency meeting of the union’s National Executive Council (NEC), the protest will start one week after the deadline of the 14-day ultimatum it issued to the federal government, which is February 23.
On February 27 and 28, there will be a demonstration around the country.