Oxfam says 83 million Nigerians trapped in poverty as just 10 percent control 90 percent of national wealth

 

A growing wealth gap is tightening its grip on Nigeria, tilting opportunities toward a small elite while leaving the majority in persistent hardship. This warning came from John Makina, Country Director of Oxfam in Nigeria, during a high-level policy dialogue in Abuja on Thursday.

The gathering, themed The Next 90%: Youth, Policy & A Fairer Nigeria, brought together legislators, ministry officials, diplomats, international agencies, and civil society leaders. Conversations centered on inequality, youth marginalisation, gender exclusion, and fiscal policy.

Mr Makina described a troubling reality in which wealth and political access remain the preserve of a privileged minority. He pointed to the limited political voice of young Nigerians as a glaring sign of the imbalance. Despite making up a significant share of the population, young people remain largely absent from the corridors of decision-making.

Women face an even steeper climb, he added. Only 4.2 percent of elected officials in the National Assembly are female, despite women playing dominant roles in rural agriculture. Literacy statistics deepen the concern: just 35 percent of Nigerian women are literate, compared to 59.5 percent of men. This, he argued, represents a missed opportunity for inclusive growth and a more balanced political system.

Fiscal policy was another flashpoint in his remarks. Mr Makina revealed that in 2024 alone, Nigeria forfeited more than N5 trillion in potential revenue due to generous tax incentives for large corporations. That figure, he noted, equals 18.5 percent of the federal budget. According to him, these concessions erode the government’s ability to invest in public services that could lift millions from poverty.

He urged the adoption of wealth taxes, excess profit levies, stronger corporate regulation, and the dismantling of monopolies. Without such measures, he warned, inequality will remain entrenched.

Mr Makina also pressed for urgent labour reforms. Decent work, fair pay, and a realistic minimum wage should be treated as national priorities, he said. For a country where 65 percent of the workforce operates in the informal sector, policy efforts must focus on formalising small businesses. Access to affordable credit, targeted training, and social protection would bring more people into the economic mainstream.

The vulnerability of young Nigerians is particularly severe, with 55 percent engaged in unstable or low-paying jobs. To change this trajectory, Mr Makina called for stronger support to small and medium-sized enterprises. Simplified registration procedures, selective tax incentives, technical skills programmes, and credit facilities could collectively drive youth-led business growth.

Economic and political inequality in Nigeria has deepened over the last decade, despite repeated pledges of reform. The administration of the late President Muhammadu Buhari, which ended in 2023 after two terms, left behind rising unemployment, a weakened currency, and soaring debt levels. Post-COVID recovery offered only modest growth, while millions of citizens slid further into poverty.

Food prices climbed sharply, oil production faltered, and billions were spent maintaining fuel subsidies, draining national finances. Fiscal deficits swelled to over 5 percent of GDP in 2023, while government revenue repeatedly fell short, forcing heavy borrowing. The naira’s value plunged and inflation stayed stubbornly high.

Security crises compounded the economic challenges. Boko Haram and ISWAP continued attacks in the northeast, armed bandits terrorised communities in the northwest, separatist unrest spread in the southeast, and farmer-herder clashes stoked tensions in the Middle Belt.

Despite mounting hardship, political elites maintained their grip on power. Critics accused anti-corruption campaigns under Buhari of selectively targeting rivals. Journalists faced arrests, protests were quashed, and the seven-month ban on Twitter (now X) between 2021 and 2022 underscored shrinking civic freedoms.

The 2023 presidential race reinforced concerns about entrenched political interests. President Bola Tinubu of the APC and Atiku Abubakar of the PDP emerged as frontrunners, but Labour Party candidate Peter Obi’s surge among young and disillusioned voters signaled a demand for change, particularly in the southeast.

Past voices have echoed similar concerns. In 2018, then Vice President Yemi Osinbajo argued that poor resource management and corruption, not just geographical imbalances, lay at the root of Nigeria’s woes. While he cited successes such as the Treasury Single Account, rice production boosts, and port reforms, the persistence of inequality shows how much remains unaddressed.

For Mr Makina, the stakes are clear. Without deliberate policies that dismantle structural barriers, redistribute resources fairly, and give meaningful space to youth and women, Nigeria’s promise of inclusive growth will remain unfulfilled. The challenge, he said, is not simply to grow the economy but to ensure that its benefits reach those who have long been left behind.