By Milcah Tanimu
Recent data reveals a concerning trend in Nigeria’s economic trajectory under the leadership of President Bola Tinubu and former President Muhammadu Buhari, indicating a significant regression over nine years.
Statisence, an AI-driven data analytics company, reports that Nigeria’s global economic ranking plummeted from 22nd in 2015 to 42nd in 2023. This decline saw the Nigerian economy shrink from an estimated $568.50 billion in 2014 to $374.95 billion in 2023.
During Buhari’s presidency, Nigeria endured two recessions, leading to considerable currency depreciation. A 2017 analysis by Stears highlighted Buhari’s initial failure to address the country’s economic challenges effectively, despite inheriting a delicate economic situation from his predecessor.
The economic downturn was exacerbated by factors such as declining oil prices, ineffective economic policies, and delayed ministerial appointments. This sluggish response, coupled with restrictive foreign exchange controls, and a weakened oil sector, contributed to Nigeria’s dismal economic performance in recent years, resulting in worsened living standards for many citizens.
Presently, Nigeria faces a substantial economic setback, with its GDP nearing levels last seen in 1999. Bloomberg’s recent report suggests that Nigeria is on track to lose its status as Africa’s largest economy by 2027, trailing behind Algeria, Egypt, and South Africa.
Critics attribute part of Nigeria’s economic woes to Tinubu’s policy decisions, including fuel subsidy removal, electricity tariff hikes, and currency devaluation. Despite a temporary rebound, the naira remains significantly weaker against the US dollar compared to pre-Tinubu era levels, reflecting ongoing economic challenges.