Allocations Surge but Hardship Grows in Nigeria

Following the removal of fuel subsidies on May 29, 2023, allocations from the Federal Account Allocation Committee (FAAC) have surged, with a combined total of N3.35 trillion allocated to 36 states in 2022, rising to N8.19 trillion in 2025. However, residents in states like Kano, Lagos, Taraba, Zamfara, Kogi, and Akwa Ibom report severe hardships due to escalating living costs.

For instance, Kano's allocation increased from N99.31 billion in 2022 to N279.69 billion in 2025, while Lagos saw a rise from N161.29 billion to N531.51 billion. Despite these increases, civil servants like Musa Abdullahi express that salaries are insufficient to meet family needs as food prices have doubled compared to last year.

The World Bank's report indicates that poverty in Nigeria is expected to rise to 140 million people by 2025, representing 63% of the population. The Nigerian government plans to expand social intervention programs to mitigate these economic challenges.