IMF: Rising food prices to deepen poverty in Nigeria despite 4.2% growth

The International Monetary Fund (IMF) has warned that rising food prices could push more Nigerians into poverty despite the country’s projected economic growth of 4.2 percent in 2026.

According to Daily Post, the warning was contained in the IMF’s 2026 World Economic Outlook, titled “Resilience Under Strain, Urgent Choices,” presented during the IMF/World Bank meetings in Bangkok, Thailand.

The financial institution acknowledged improvements in Nigeria’s macroeconomic stability but cautioned that rising prices of essential commodities could worsen poverty and food insecurity.

“Nigeria is supported by improved macroeconomic stability and favourable terms-of-trade effects, though higher prices for essentials are expected to further aggravate poverty and food insecurity,” the IMF said.

Nigeria’s government has implemented economic reforms, including foreign exchange adjustments and fuel subsidy removal, aimed at addressing structural challenges.

Although international financial institutions have praised the measures, many Nigerians continue to struggle with rising living costs, expensive energy and persistent inflationary pressures affecting household spending and purchasing power nationwide.