A new report from the International Monetary Fund (IMF) suggests that Nigeria’s broad economic reforms, launched 18 months ago, have yet to show positive results. Despite efforts, the reforms have not significantly improved the living standards of Nigerians, particularly in the food sector.
The IMF’s report for Sub-Saharan Africa noted a regional growth forecast of 3.6% for 2024, but Nigeria’s growth rate is projected to be just 3.19%, below the regional average. IMF Deputy Director Catherine Patillo, presenting the report at the Lagos Business School, highlighted that while some countries like Cote d’Ivoire, Ghana, and Zambia have seen progress, Nigeria’s efforts are lagging. Inflation, which briefly slowed in mid-2024, has risen again in Nigeria, reaching 33.8%—well above the 21% target for 2024.
The IMF also pointed to Nigeria as one of the countries struggling to manage inflation, with its rate still in double digits, alongside Angola and Ethiopia. Meanwhile, the country’s exchange rate instability and depreciation continue to worsen, and debt service remains a significant concern, with interest payments taking up a large portion of government revenues.
The report suggests that Nigeria’s economic reforms are facing resistance due to political and social challenges. It also mentions Nigeria as part of the group of “resource-intensive countries” struggling with low growth, particularly oil exporters.
Agriculture Reforms Fall Short
In the agriculture sector, stakeholders have expressed dissatisfaction with the implementation of reforms, with little tangible progress. The All Farmers Association of Nigeria (AFAN) supports the reforms in principle but cites slow implementation as a barrier to success. AFAN President Ibrahim Kabir emphasized that the agricultural sector holds promise but needs more effective strategies for success.
ActionAid Nigeria’s Country Director, Andrew Mamedu, criticized the reforms for failing to reduce food insecurity. Despite government focus on agriculture, Nigeria remains one of the most food-insecure countries in 2024. Mamedu noted the lack of investment needed to address issues like high input costs, poor access to credit, insecurity, and logistical challenges.
Reforms such as opening borders and reducing tariffs have yet to fully take effect, exacerbating food price inflation. Mamedu advocates for a people-centered approach to tackle the root causes of food insecurity, including poverty and inequality. He also urged the government to focus on smallholder farmers and support organic agriculture to make food more affordable.
Lack of Actionable Policies
Agricultural policy analyst Jerry Olanrewaju pointed out that many of the current reforms remain aspirational. Although President Tinubu’s administration introduced a 12-point food security agenda, Olanrewaju believes these initiatives lack actionable frameworks. He stressed the need for concrete, measurable policies, like increasing food production and addressing food prices, to make a meaningful impact.
Positive Developments and Expectations
However, there have been some positive developments, such as direct access to farm inputs for farmers in the Federal Capital Territory, as noted by AFAN FCT Chairman Nkechi Okafor. She praised the Ministry of Agriculture for its efforts to deliver inputs directly to farmers. Okafor also expressed hope that with sustained support, the reforms could lead to improvements in food and nutrition security.
Looking forward, stakeholders continue to call for greater investment in agriculture, particularly in smallholder farms, infrastructure, and rural development, to drive meaningful change and ensure food security for all Nigerians.
