Tag Archive for: Poverty In Nigeria

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Brain Drain in Nigeria: Programs Keeping Talent at Home

Brain Drain in NigeriaThe Niger River flows effortlessly through part of Nigeria. Its rushing waters empty into the Atlantic Ocean via the Niger Delta.

Another flow occurring out of Nigeria is not one that is rushing but is causing damage over time. Brain drain in Nigeria is affecting the economy of the country. Talent, particularly in technological fields, is leaving Nigeria for better opportunities.

An estimated 63% of Nigerian adults have said they would be willing to relocate if given the opportunity, a trend commonly known as “Japa” in Nigeria. An estimated 17 million Nigerians live in the wider diaspora, including second- and third-generation Nigerians, with significant communities in countries such as the United Kingdom, United States and Canada. Economic hardship and multidimensional poverty are among the pressures encouraging people to leave. In 2025, an estimated 139 million Nigerians were living in poverty. Food insecurity, limited access to clean drinking water and education gaps are some of the many dimensions of poverty in Nigeria.

Those who wish to pursue an education and career in technology find themselves at a loss. There is a gap in access to reliable and genuine technological devices and support. For Nigerians living around the poverty line, average mobile data spending in the first quarter of 2026 was equivalent to nearly one-fifth of monthly income. The loss of talent in the technology field can widen the gap in technological advancement compared with other countries. Brain drain can also make it harder for Nigerian firms to find skilled IT professionals as technologies such as AI become more widely used.

Nigeria also faces a significant digital skills gap. A 2023 GetBundi survey of 100 National Youth Service Corps members found that 85% lacked basic digital skills. This puts the country and economy behind if it cannot advance.

The Drain Explained

Brain drain is the migration of individuals who are highly skilled. People living in Nigeria who are highly skilled are leaving for a better way of life due to the country’s current state of poverty. In 2025, an estimated 61% of the population was living in poverty. Poverty is multidimensional, with food insecurity and low incomes among the pressures households face. Those who can leave may choose to do so, while some Nigerians who study abroad remain in the countries where they studied.

Individuals leave to earn better wages for themselves and their families. For instance, a mid-level software developer in Nigeria can earn approximately ₦700,000 to ₦1.5 million per month, while a Nigerian developer in a remote USD-paid role may earn around $3,000 to $5,500 per month.

Programs of Hope

A slow reversal of the flow seems to be happening. “Japada,” as many Nigerians call it, refers to those who have migrated and are coming back. In 2025, IOM supported 14,787 Nigerians to return home safely. With the cost of living going up in other countries, some Nigerians are looking to go back to Nigeria and are returning with a purpose.

Some returnees are using experience gained abroad to create businesses and employ Nigerian talent. This can help the local economy and may encourage more skilled Nigerians to remain in or return to the country.

Another bid to reverse the drain is an initiative called Return2Naija, launched by Nigeria Student Ambassador John Aikeremiokha to encourage Nigerian students and migrants abroad to return and contribute to the country’s development. There are no concrete numbers showing how many people have returned as a direct result of the initiative.

Nigerian companies are also restructuring salary packages and adopting remote and hybrid work arrangements as ways to retain talent and stay competitive.

Through the initiatives of entrepreneurs and businesses, efforts to reverse brain drain in Nigeria are taking place. These efforts may contribute to economic growth, job creation and a more diverse, innovative economy. It is a slow, steady stream making its way into Nigeria to stay.

– Lara Lewis

Lara is based in Wakefield, RI, USA and focuses on Good News and Politics for The Borgen Project.

Photo: Unsplash

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World Bank Steps in to Help Fight Poverty in Nigeria

Poverty in NigeriaNigeria is one of the fastest-growing populations in Africa, with a growth rate of about 2.1%. Like other post-colonial nations, it has struggled to provide its youth population with employment. This has led to rising poverty, which has started to outpace the number of people employed. Based on the World Bank’s 2024 projections, nearly 47% of Nigerians have fallen into poverty. This marks a significant increase from 2019, showcasing the severe impact of COVID-19.

Nigeria’s poverty affects every sector, from health care to education. This has seriously inflated the nation’s youth unemployment rate, which reached as high as 21.5% in 2016. Women represent up to 79% of the rural workforce but are five times less likely to own their own land than men, contributing to wage and wealth inequality in the nation.

Statistics from The Conversation, citing Nigeria’s Multidimensional Poverty Index, indicate that more than 133 million Nigerians live in poverty, with the poverty rate in rural areas as high as 72%, compared with 42% in urban areas. Poverty in Nigeria rises due to several reasons, one being the post-colonial effects that many nations have faced since independence.

The country also struggles with domestic issues of ethnic tension, terrorism and bureaucratic corruption, according to The Conversation. This has led to a serious issue for the government to provide a steady line of policies that will positively reduce poverty in the short and long run.

Nigeria implemented its National Anti-Corruption Strategy 2022 to 2026, aimed at targeting corruption activities in the workplace, especially the public sector, judiciary and most importantly political financing. However, public perception of corruption and government efforts to address it did not significantly change, according to the United Nations Convention against Corruption (UNCAC) Coalition.

The Role of the World Bank

In July 2026, President Bola Tinubu unveiled a $3.05 billion package of World Bank-backed anti-poverty programs, according to Punch. The package includes $1.25 billion for the Nigeria Community Action for Resilience and Economic Stimulus program, $300 million for the Solutions for Internally Displaced and Host Communities program, and $1.5 billion for the Human Capital Opportunities for Prosperity and Equity program, which focuses on governance, primary health care and education.

Separately, the World Bank has laid out a Country Partnership Framework for 2026 to 2032, focusing on making young Nigerians more employable by supporting private sector-led job creation. As part of this framework, the World Bank approved a $1.25 billion Development Policy Financing operation to support economic reforms.

The Bank aims to increase private sector investment in development areas and help reduce poverty statistics in Nigeria, with targets including expanding energy access to 32 million people, delivering broadband to 58 million people, improving health and nutrition services for 40 million people and supporting 9.5 million farmers.

Both efforts are intended to advance the government’s “Renewed Hope Development Plan 2026 to 2030.” Tinubu said the programs represent “promises kept” under his administration’s economic reform agenda, adding that “real prosperity means no Nigerian is left behind” as the country works toward a $1 trillion economy by 2030, according to Punch.

Looking Ahead

The government aims not only to improve poverty statistics in Nigeria but also to directly impact people and their households. As Tinubu put it, positive results are emerging from Nigeria’s economic reforms, but that progress must be felt in every household, not just in national statistics.

– Tanay Ashok Sonthalia

Tanay is based in Melbourne, Australia and focuses on Good News for The Borgen Project.

Photo: Pexels

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Digital ID Reform Offers Update on SDG 10 in Nigeria

SDG 10 in NigeriaThis update on SDG 10 in Nigeria centers on a legislative reform reshaping who can participate in the country’s formal economy in an era where digitalization serves as a prerequisite for economic development. Across Nigeria’s markets and workshops, banks and insurers often deny small business owners credit extensions and insurance policies because the owners cannot provide recognized proof of identity. This gap kept millions of Nigerians out of the country’s formal financial system for decades, preventing them from opening bank accounts, securing loans or growing their businesses beyond cash transactions. 

Nigeria’s poverty rate illustrates the scale of what is at stake. The World Bank reported in 2026 that the share of Nigerians living below the national poverty line rose to an estimated 63%, up from 61% the previous year. Financial exclusion compounds that poverty. Without access to credit, savings or insurance, low income households have fewer tools to absorb shocks like illness or crop failure, and small businesses cannot grow beyond what cash on hand permits. Expanding financial access cannot eliminate poverty on its own, though it removes one of the structural barriers preventing people from building financial resilience – the exact goal SDG 10 sets.

In June 2026, Nigeria signed the National Identity Management Commission Act into law – a reform officials say is designed to expand financial inclusion in Nigeria by giving citizens a single, trusted form of identification. The law replaces its former 2007 framework that fragmented the country’s identity system across competing databases. The reform in Nigeria reflects a commitment to United Nations SDG 10, which calls on countries to reduce inequality by expanding the social and economic inclusion of marginalized populations by 2030.

A New Legal Foundation

President Bola Tinubu signed the NIMC Act 2026 into law at the State House in Abuja on Friday, June 26, 2026, according to a statement from the presidency. The Senate President, the Deputy Speaker of the House of Representatives, the Attorney General, the Interior Minister and a World Bank representative witnessed the signing. The law establishes the National Identification Number as what officials describe as the single source of truth for identity verification across government and financial services. Nigerians already use the number for passport issuance and renewal, and banks and insurance companies are integrating it into their systems, according to Leadership newspaper.

A Market Already Taking Shape

The digital economy’s contribution to Nigeria’s gross domestic product has risen from about 16% to roughly 19% in recent years, Bosun Tijani, the Minister of Communications, Innovation and Digital Economy, said in November 2025. The government is targeting a $1 trillion economy overall, with the digital sector accounting for 21% of GDP by 2027, Tijani said.

Global companies have already found opportunity in Nigeria’s identity infrastructure. In 2013, the National Identity Management Commission partnered with Mastercard, the American payments company, on a pilot program to issue 13 million Mastercard-branded identity cards combining biometric verification with electronic payment functions.

Nigeria’s identity system has since moved toward a domestic card scheme called AfriGo, which the Central Bank of Nigeria and the Nigeria Inter-Bank Settlement System operate. Nonetheless, the Mastercard partnership was an early demonstration that Nigeria’s push toward digital identity holds visible commercial value for global payment providers.

The World Bank’s Wider Bet

Nigeria’s NIMC reform corresponds with a larger effort backed by the World Bank. Its Global Digital Public Infrastructure Program, launched in May 2026, funds digital identity, fast payments and secure data-sharing systems that banks, insurers and other private companies can build services around. This serves to extend, spanning financial inclusion in Nigeria and comparable markets to populations previously unreachable by formal lenders. The program estimates that 2.9 billion people worldwide currently lack a digital identity for online transactions, with only 8% of lower middle-income countries and 16% of upper middle-income countries having fast, inclusive payment systems in place.

In Nigeria specifically, that connection is already visible. According to the World Bank, the government’s rollout of targeted cash transfers for 15 million vulnerable households has moved more slowly than planned because it depends on integrating the national identity management system. In other words, the same infrastructure this reform strengthens is the mechanism the government relies on to identify and pay Nigeria’s poorest households directly, rather than through intermediaries who can introduce delay or leakage.

A World Bank representative attended the NIMC Act signing in Abuja, positioning Nigeria as an early participant in the program’s venture into Sub-Saharan Africa. A growing share of the population once locked out of the formal economy is approaching the threshold banks and insurers require before extending credit, savings products and coverage. As more Nigerians gain recognized identification, product lines that were commercially unviable for a fragmented, undocumented customer base start to fall under business logic.

Looking Ahead

With a $1 trillion economic target on the horizon and financial inclusion advancing alongside it, this update on SDG 10 in Nigeria points to a country using digital infrastructure to pursue the UN’s 2030 inclusion goals. For a country where more than 60% of the population lives in poverty, closing the identity gap is a foundational step toward opening a new consumer market and reaching the people that market has excluded.

– Gayatri Lilly Sabharwal

Gayatri is based in London, UK and focuses on Business and Politics for The Borgen Project.

Photo: Wikimedia Commons

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Locally Led Humanitarian Aid in Nigeria

Humanitarian Aid in NigeriaAs international funding drops, locally led humanitarian aid in Nigeria is stepping up to address poverty and displacement in crisis-affected regions. In collaboration with the United Nations (U.N.), a sweeping transition has begun, aiming to shift control of the nation’s humanitarian operations to national actors. With local nongovernmental organizations (NGOs) receiving 70% of funding allocations in 2025, the transition suggests that locally led organizations are becoming central players in crisis relief efforts rather than peripheral ones.

The Humanitarian Reset

On July 14, 2026, Nigerian Minister of Humanitarian Affairs and Poverty Reduction, Bernard Doro, opened a humanitarian transition workshop led by the government in collaboration with the U.N. and other development partners. In his remarks, he described a “profound reset” underway across the global humanitarian sector, with Nigeria among the countries leading the transition.

The global Humanitarian Reset is not just a rhetorical or political slogan. Launched in 2025 in response to shrinking funding and growing humanitarian needs, the initiative aims to reshape how organizations coordinate and deliver aid. It seeks to strengthen national leadership rather than rely on a system in which international actors coordinate much of the relief response in developing countries, redefining the role of international counterparts as financial and technical partners.

This change of strategy has acquired urgency following the shift in United States (U.S.) foreign aid policy under the Trump administration. The European Parliament reported that the U.S. disengagement from international humanitarian assistance, including the termination of up to 83% of programs administered by the United States Agency for International Development (USAID), disrupted operations for international NGOs and U.N. agencies.

Funding Cuts

For Nigeria, this shift comes at a pivotal time. Conflict for 16 years in the northeastern regions of Borno, Adamawa and Yobe, combined with the country’s vulnerability to natural disasters, has left millions of people dependent on humanitarian assistance.

Vulnerable countries have relied heavily on the U.S. for humanitarian aid, particularly for food security and disaster relief, so the funding shift has posed a significant challenge for humanitarian work worldwide. The U.N. Resident and Humanitarian Coordinator in Nigeria, Mohamed Malick Fall, told Reuters that funding dropped by nearly half in 2025 compared with the previous year, slowing response efforts and life-saving assistance. Of the $516 million needed in 2026, only $255.5 million has been secured. Global aid cuts leave vulnerable families with fewer resources to cope with shocks such as conflict, disease or natural disaster, increasing the risk of long-term poverty.

Humanitarian Crisis

The scale of the humanitarian crisis compounds the funding gap. In the northeastern states affected by the conflict that erupted after the Boko Haram insurgency in 2009, an estimated 5.9 million people will require humanitarian assistance in 2026. According to the U.N., more than 90% of the population in northern rural areas already lives below the poverty line.

Ongoing conflict and insecurity have displaced more than 3.5 million people in Northern Nigeria, disrupting local agricultural activity and worsening food insecurity and malnutrition. Devastating floods have compounded the crisis, further pushing vulnerable families into severe poverty and stripping them of their livelihoods and land. World Bank data shows that 87% of internally displaced people in northeast Nigeria live in poverty, illustrating the link between displacement and poverty.

In 2026 alone, an estimated 35 million Nigerians are projected to suffer from acute food insecurity, while three million children risk suffering from acute malnutrition. As a direct consequence of a shrinking budget, only 600,000 of the 2.5 million people targeted for urgent aid between January and March 2026 actually received assistance — a mere 22.1%. Against this backdrop, locally led humanitarian aid in Nigeria is becoming increasingly important in helping affected communities recover.

Success of Localization

Given this funding gap and the ongoing crisis, the transition to localization has become a practical necessity, and the strategy is already showing results. According to the Nigeria Humanitarian Fund — established by the United Nations Office for the Coordination of Humanitarian Affairs in 2017 — national NGOs received a record 70% of direct allocations in 2025. By bypassing heavily bureaucratized international intermediaries, localization allows for faster aid delivery.

Local civil society organizations often bring cultural literacy and a deep-rooted understanding of the communities they serve, helping them navigate local dynamics that international actors may not fully grasp. National NGOs like the Lake Chad Peace and Development Initiative, which works with war-torn rural communities in Yobe State to access basic services, helped more than 40,000 emergency-affected children in the northeastern states gain access to education through a network of 350 local volunteers, demonstrating the reach of local initiatives.

Transitioning from an internationally led humanitarian response to a nationally led one will require navigating a complex bureaucratic landscape and maintaining rigorous financial accountability, but the reset represents a historic opportunity. The growth of locally led humanitarian aid in Nigeria can help offset the broader decline in international humanitarian funding. This strategy is not just about doing more with less; it is about building a resilient, self-sufficient and locally led system that gives Nigerians the tools to recover from crisis and fight poverty.

– Mateo Montes Asturias

Mateo is based in Montpellier, France and focuses on Politics for The Borgen Project.

Photo: Pexels

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World Bank Framework Reducing Poverty in Nigeria

Poverty in NigeriaLocated on the western coast of Africa, Nigeria is a country with diverse geography and an even more diverse population. An estimated 250 ethnic groups call Nigeria home, with hundreds of languages spoken across the nation. Building on Nigeria’s diversity and economic potential, the World Bank Group has endorsed a new Country Partnership Framework that will run from 2026 to 2032. By encouraging private-sector investment and supporting economic growth in Nigeria, the framework aims to create more job opportunities.

New Policies Aim to Strengthen Nigeria’s Economy

As part of this effort, the World Bank also approved the Nigeria Actions for Investment and Jobs Acceleration (NAIJA) Development Policy Financing operation to help strengthen Nigeria’s economy. The program aims to encourage investment from businesses and entrepreneurs while supporting government efforts to create jobs and promote economic growth. By attracting both private and public investment, the initiative seeks to expand economic opportunities and strengthen key sectors across the country.

Through the new framework, 32 million Nigerians are expected to gain access to electricity, while broadband connectivity will expand to reach 58 million people. Health and nutrition services will improve for 40 million people, and 9.5 million farmers will receive support to increase agricultural productivity. By investing in energy, digital infrastructure, health care and agriculture, the framework aims to improve living standards and support long-term economic growth in Nigeria.

Poverty in Nigeria

Despite these efforts, poverty remains a significant challenge in Nigeria. According to the World Bank, 41.8% of Nigerians lived below the international poverty line in 2022. Rising inflation and limited economic opportunities have made it difficult for many families to afford necessities such as food, housing, education and health care. The World Bank estimates that an additional seven million Nigerians fell into poverty in 2025, increasing the share of people living below the national poverty line from 61% in 2024 to 63%.

For many Nigerians, poverty affects daily life in tangible ways. Families often struggle to afford basic necessities and maintain stable housing as the cost of living continues to rise. By expanding access to electricity, internet services, health care and agricultural support, the Country Partnership Framework aims to address some of the barriers that contribute to poverty and limited economic opportunity.

In a 2022 poverty assessment, the World Bank reported that four in 10 Nigerians lived in poverty and lacked access to essential services such as education, safe drinking water, electricity and sanitation. The report also found that only 17% of workers held jobs that provided wages sufficient to lift them out of poverty, as many Nigerians rely on small-scale farming and household businesses for income.

A New Framework: Reducing Poverty

The World Bank identified three key areas for reducing poverty in Nigeria: implementing macroeconomic reforms, supporting farm and nonfarm household enterprises and expanding access to electricity, water and sanitation. The new Country Partnership Framework aligns with these priorities by investing in infrastructure, agriculture and human development programs designed to improve economic opportunities.

With Nigeria’s population expected to continue growing, expanding economic opportunities for young people will be critical to the country’s long-term development. If successful, the partnership could help create jobs, strengthen businesses and improve access to essential services for millions of Nigerians. Through investments in key sectors and support for economic growth in Nigeria, the World Bank hopes to help build a stronger and more prosperous future for the country.

– Alexandra Pedroza

Alexandra is based in Salt Lake City, UT, USA and focuses on Good News for The Borgen Project.

Photo: Pexels

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From Polio to Lassa Fever in Nigeria

Lassa Fever in NigeriaIn August 2021, the World Health Organization (WHO) declared Nigeria free of wild polio. The virus was responsible for hundreds of deaths each year. Nigeria eradicated the disease through the implementation of public health systems and educational programs. Health experts tracked the disease by developing organized health systems and data trackers, and by testing wastewater for contaminants to catch outbreaks early. Mobile vaccine clinics also helped mobilize thousands of young children, and educational programs taught communities how to avoid the virus through sanitization. The fight against polio expanded the capacity of Nigeria’s healthcare systems and taught health experts essential methods for fighting disease. Not only was polio eradicated, but Nigeria gained a skill set to protect its population from future diseases.

Lassa Fever in Nigeria

Lassa fever was first recognized in 1969 in Lassa, Nigeria. In 15% of extreme cases, victims develop severe symptoms such as bleeding from mucus membranes and accumulation of fluid in the lungs. This leads to a 15-25% mortality rate. The multimammate rat, one of the most common rodents in the region, carries the disease and contaminates all who come into close contact with it or its secretions. Contaminated individuals can then transmit Lassa fever through feces, urine, blood and saliva. This makes the disease highly contagious, particularly in rodent reservoirs or communities with large rodent populations.

The Deadly Consequences of Poverty

Most causes of Lassa fever can be traced to poor sanitation practices and poor infrastructure that allow for close habitation with rodent populations. This means that Lassa fever primarily affects Nigerians in poverty. In Nigeria, 122 million people live in poverty. Further, 57 million people lack access to safe water, and 130 million lack adequate sanitation. Despite these high numbers, only 3.5% of the national budget goes toward public health. This allows diseases like Lassa fever to predominantly affect the most vulnerable or those in poverty. Impoverished communities are far more susceptible to the spread of the disease, and educational and resource barriers make the consequences of contamination catastrophic.

Lassa Fever Today

Nigeria’s Centre for Disease Control and Prevention (CDC) reported 1,000 confirmed Lassa fever cases and 237 deaths as of late July 2026. That marks a case fatality rate of 23.7%, well above the 18.8% recorded during the same period in 2025. The outbreak has spread across 23 states, though roughly 86% of confirmed cases remain concentrated in five states: Ondo, Bauchi, Taraba, Edo and Benue. The situation continues to evolve week by week.

Despite the gravity of the outbreak, Nigeria is better prepared thanks to lessons learned in combating wild polio. Humanitarian funding sponsored health care systems support and vaccination efforts during the polio fight, and a similar pattern is now emerging in the response to Lassa fever.

The Global Polio Eradication Initiative

The Global Polio Eradication Initiative (GPEI), a partnership between aid groups such as WHO, United Nations Children’s Fund (UNICEF) and the CDC, has transitioned its services toward helping with Lassa fever outbreaks in Nigeria. The initiative developed surveillance systems to track polio, vaccine distribution methods to help eradicate the disease, and integration systems to inform communities about the importance and safety of vaccinations. GPEI now uses these same methods and systems to efficiently fight Lassa fever. Knowledge gained from the polio fight has helped organizations like GPEI and the Nigerian government track the disease’s progress through data systems and wastewater testing, identify at-risk communities, and educate people on health care and sanitization. These methods cannot ensure the immediate eradication of Lassa fever, but Nigeria’s experience fighting disease allows for more efficient solutions than those used during prior epidemics.

Other Humanitarian Aid Groups

The Sanitas Health and Development Foundation has committed more than $860,000 to provide structural support to health care organizations, help strategically plan the public health sector, and organize technological health systems to improve outcomes. These donations will enable better systems to track and defeat Lassa fever. The Hope Compassion and Mercy Foundation has separately committed $280,000 toward the cause. Its funding will go toward training health care workers, funding mobile clinics and rehabilitating or constructing permanent health care clinics for lasting impact.

Aid’s Impact

The fight against deadly viruses in Nigeria is becoming more manageable as vaccinations become more universal and experience in fighting diseases grows. More Nigerians trust routine medical work, and more vaccine clinics have emerged in remote regions. These clinics offer wider access to treatments for ailments such as pneumonia, diarrhea, malaria and Human Immunodeficiency Virus (HIV), in addition to vaccinations against diseases such as polio, measles, Ebola and Lassa fever.

Nigeria has faced a long history of deadly diseases, with those in poverty the most vulnerable. That history is tragic, but it also offers hope for a future where deadly viruses can be defeated. Lessons from the fight against polio have made the response to Lassa fever more efficient and effective, and the international humanitarian community continues to show dedicated efforts to aid the response.

– Aubrey Wallen

Aubrey is based in Alexandria, VA, USA and focuses on Global Health for The Borgen Project.

Photo: Flickr

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How Nollywood Is Creating Economic Opportunities in Nigeria

Musicians perform on an outdoor stage, creating economic opportunities in Nigeria.Nigeria’s film industry, known as Nollywood, has grown from a local entertainment sector into one of the largest film industries in the world. Nigeria’s growth is unfolding against a difficult backdrop: the World Bank has reported that poverty in Nigeria has been rising in recent years, with 63% of the population, or roughly 140 million people now living below the national poverty line. Against this backdrop, Nollywood’s expansion carries added significance. Beyond producing movies, Nollywood is creating economic opportunities in Nigeria by generating jobs, encouraging entrepreneurship and supporting businesses across several industries. According to Elton B. Stephens Company (EBSCO), the Nigerian film industry produces thousands of films each year and employs many people directly and indirectly. As the industry continues to expand, it is helping many Nigerians build sustainable livelihoods while contributing to the country’s economic growth.

Nollywood Creates Jobs Across Many Professions

Nollywood employs far more than actors. Every film production requires screenwriters, directors, producers, cinematographers, editors, sound engineers, makeup artists, costume designers, photographers and marketers. The industry also supports caterers, drivers, hotel operators, equipment rental companies and digital content creators. Greater investment in Africa’s film and audiovisual industry could create more than 20 million jobs and contribute billions of dollars to the continent’s economy, United Nations Educational, Scientific and Cultural Organization (UNESCO) reports. As one of Africa’s leading film industries, Nollywood plays an important role in expanding economic opportunities in Nigeria through direct and indirect employment.

Access to finance remains one of the biggest challenges for many creative entrepreneurs. To address this, the Bank of Industry introduced the Creative Industry Financing Initiative (CIFI) in partnership with the Central Bank of Nigeria. The initiative provides loans to businesses in film, fashion, music and information technology to help them expand their operations and create jobs. CIFI helps filmmakers buy equipment and improve production quality. By supporting entrepreneurs in the creative sector, the initiative strengthens economic opportunities in Nigeria and encourages investment in one of the country’s fastest-growing industries.

Training and Mentorship Support Young Creatives

Several organizations are helping young Nigerians build careers in the creative industry. The Tony Elumelu Foundation provides entrepreneurship training, mentorship and seed funding to thousands of African entrepreneurs each year, including business owners in film and other creative sectors. The Lagos State Creative Industry Initiative also provides training for aspiring filmmakers, actors and content creators. The program focuses on developing practical skills that prepare participants for careers in Nigeria’s growing entertainment industry. In addition, the Africa International Film Festival (AFRIFF) offers workshops, masterclasses and networking events that connect emerging filmmakers with experienced professionals from Nigeria and around the world. These opportunities help participants improve their skills and build valuable industry connections.

The impact of Nollywood extends beyond film production. As more movies are produced, businesses in transportation, hospitality, tourism, fashion and technology also benefit. Hotels host film crews, transport companies move equipment and cast members, while fashion designers and makeup artists gain new clients through productions. According to UNESCO, stronger investment in Africa’s film industry could unlock millions of jobs across the continent. Nigeria’s success demonstrates how creative industries can become powerful drivers of development. As Nollywood continues to grow, it is creating economic opportunities in Nigeria by supporting entrepreneurs, generating employment and helping more young people earn sustainable incomes.

Conclusion

Nollywood has become much more than an entertainment industry. It is creating jobs, supporting entrepreneurs and encouraging investment across several sectors of the Nigerian economy. Funding initiatives such as the Bank of Industry’s Creative Industry Financing Initiative, entrepreneurship support from the Tony Elumelu Foundation, training through the Lagos State Creative Industry Initiative and networking opportunities provided by AFRIFF are helping more Nigerians build successful careers in the creative sector. While challenges such as access to funding and infrastructure remain, continued investment in Nollywood could expand employment opportunities and contribute to poverty reduction by helping more Nigerians earn stable incomes through the creative economy. With sustained support, Nollywood is well positioned to keep turning creative talent into lasting economic opportunity for millions of Nigerians in the years ahead.

– Abisola Oladipupo

Abisola is based in Hatfield, UK and focuses on Good News for The Borgen Project.

Photo: Unsplash

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From Nigeria to Senegal: West Africa Agribusiness Opportunities

West Africa agribusiness opportunitiesWest Africa agribusiness opportunities are attracting attention from investors, development organizations and food-sector professionals. Across countries such as Nigeria, Ghana, Côte d’Ivoire and Senegal, agribusiness is becoming more than farming. It now includes food processing, branded packaged foods, sustainable packaging, cold-chain logistics and local supply chains. These areas matter because they can create jobs, improve food security and support poverty reduction.

The Role of Agribusiness in Economic Growth

The World Bank states that farming and agribusiness do more than feed people; they can support economic growth, reduce poverty and create jobs across production, processing, transport, trade and retail. This makes agribusiness important in West Africa, where agriculture remains closely linked to livelihoods and income generation.

Food insecurity also makes investment in food systems urgent. In January 2026, the Food and Agriculture Organization (FAO) warned that up to 52.8 million people in West Africa and the Sahel could face acute food insecurity during the June-to-August 2026 lean season if further action is not taken. The countries most at risk included Nigeria, Ghana and others in the region.

Investment and Growth in Agribusiness

One example of investor interest is Sahel Capital, a Lagos-based investment firm focused on food and agriculture. According to How We Made It in Africa, Sahel Capital launched the Sahel Capital Agribusiness Fund II, also known as SCAF II, to invest in agribusiness companies across Nigeria, Ghana, Côte d’Ivoire and Senegal. The fund had secured $29 million toward a $75 million target and planned to make investments ranging from $3 million to $15 million.

This shows that West Africa agribusiness opportunities are not limited to primary farming. The fund focuses on companies that can scale, improve food systems and strengthen local value chains. Sahel Capital’s previous investments also show how agribusiness finance can support growth in food processing and distribution. For example, Sahel invested in L&Z Integrated Farms, a dairy and yogurt producer in Kano, Nigeria. The African Private Capital Association reported that Sahel’s investment supported the expansion of the company’s processing plant and dairy farm.

Another previous investment was Coscharis Farms, a rice-processing business in Anambra State, Nigeria. According to How We Made It in Africa, Sahel’s investment helped finance processing facilities, expand cultivation and support a business model that bought rice from thousands of small-scale farmers. This type of investment can be important because it connects larger agribusinesses with local producers.

Opportunities in Branded Packaged Foods

One area of opportunity is branded packaged foods. As urban populations grow and consumer habits change, there is rising demand for food products that are safe, convenient, recognizable and easier to distribute. Sahel Capital’s first SCAF II investment was in Delifrost Caterers, a Nigerian company involved in packaged foods and cold-chain distribution. The African Private Capital Association reported that the investment was made alongside the fund’s first close and that Delifrost operates in integrated cold-chain distribution for packaged foods.

Branded packaged foods can support poverty reduction when companies source ingredients locally and work with farmers, suppliers and distributors. Instead of only selling raw agricultural products, local businesses can add value through processing, branding, storage and packaging. This can create more jobs across the value chain.

Insights From Terence Unogwemoh Egwaogie

The Borgen Project spoke with Terence Unogwemoh Egwaogie, a Caritas volunteer based in Austria, in an email interview about food systems, agribusiness and poverty reduction. Through his volunteer work, Egwaogie supports vulnerable people, including those experiencing homelessness and poverty. He said this work has developed his interest in food systems, community development and poverty reduction.

Egwaogie explained that West Africa has “enormous agricultural potential” because of its fertile land, growing population and high demand for food. He said investment in agribusiness can increase food production, create employment, reduce poverty and improve food security. His comments show why agribusiness is not only a business issue but also a development issue.

Countries such as Nigeria, Ghana, Côte d’Ivoire and Senegal are attractive for agribusiness growth because they have large agricultural markets, favorable climates and natural resources. Egwaogie also noted that some governments are introducing policies to encourage agricultural investment and improve food production. This is important because private investment often works best when supported by public policy, infrastructure and training.

Sustainable Packaging and Cold-Chain Logistics

Sustainable packaging is another important part of West Africa agribusiness opportunities. Packaging helps protect food during transport, preserve quality and extend shelf life. However, packaging can also create environmental problems if it depends heavily on non-recyclable materials. Egwaogie said sustainable packaging can reduce food waste, protect products during transportation and minimize pollution by encouraging recyclable or biodegradable materials.

Cold-chain logistics can also reduce food loss. FAO says cold chains help keep food fresher and more nutritious from farm to fork. This is especially important for perishable foods such as dairy, meat, vegetables and frozen products. In West Africa, better cold storage and transport can help food businesses reach more consumers while reducing spoilage.

Support for Smallholder Farmers

Agribusiness investment can also support smallholder farmers. Egwaogie explained that investment can provide farmers with improved seeds, equipment, affordable loans, organic fertilizers, training, storage facilities and better transportation. These forms of support can increase productivity, reduce post-harvest losses and improve farmers’ incomes.

However, agribusinesses in West Africa still face serious challenges. Egwaogie identified limited mechanized farming, inadequate storage and processing facilities, poor road infrastructure, limited access to finance, climate change and insufficient agricultural education as major barriers. These challenges show why investment alone is not enough. Agribusiness growth also requires infrastructure, skills development and better access to finance.

The World Bank’s recent work in Nigeria shows the importance of strengthening agricultural value chains. In March 2026, the World Bank approved a $500 million credit for Nigeria’s Sustainable Agricultural Value-Chains for Growth Project, which aims to increase smallholder farmer productivity, strengthen agricultural value chains, create jobs and improve food and nutrition security.

Inclusive Growth for Poverty Reduction

For agribusiness growth to reduce poverty, it must be inclusive. Egwaogie said agribusiness can create jobs and income-generating opportunities across the agricultural value chain, especially for young people, women and rural communities. This is important because poverty reduction depends not only on business growth but also on who benefits from that growth.

West Africa agribusiness opportunities in branded foods, sustainable packaging and food processing have the potential to support food security and economic development. Investment can help businesses scale, improve supply chains and create employment. However, the greatest impact will come when agribusinesses work with smallholder farmers, support local suppliers, reduce food waste and create opportunities for communities most affected by poverty.

Agribusiness alone cannot end poverty in West Africa, but it can form part of a wider solution. When investment is linked to local sourcing, sustainable packaging, cold-chain logistics, training and fair access to markets, the region’s food sector can become a stronger driver of poverty reduction.

– Josephine Dokpesi

Josephine is based in Luton, UK and focuses on Business and New Markets for The Borgen Project.

Photo: Unsplash

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Cassava Farming in Nigeria: A Billion-Dollar Export Industry

Vendor handling cassava at a traditional Nigerian market, highlighting cassava farming in Nigeria. Cassava farming in Nigeria is no longer just a subsistence story. It is becoming one of the most electrifying agricultural transformations on the continent, and the world is starting to notice.

Nigeria produces more cassava than any other country on earth, accounting for roughly 21% of global output, according to the Food and Agriculture Organization of the United Nations (FAO). For decades, that distinction meant little beyond feeding local communities. Now, driven by surging global demand, government investment and a surprising new wave of cultural attention, cassava farming in Nigeria is edging toward billion-dollar export territory, taking millions of people out of poverty with it.

A Root With Radical Potential

Cassava is drought-resistant, grows in poor soils and can feed millions in climate-uncertain conditions, qualities that have made it a staple across sub-Saharan Africa for generations. What has changed is who wants it, and why. Cassava has long been a poverty survival crop. Now it is becoming a poverty elimination crop.

Global food manufacturers are increasingly sourcing cassava starch and flour as a gluten-free wheat alternative. The global cassava starch market was valued at approximately $4.5 billion in 2022 and is projected to exceed $7 billion by 2030, according to market research firm Grand View Research. Nigeria, as the world’s largest producer, sits at the center of that growth curve.

According to the World Bank, nearly 40% of Nigeria’s population lives below the national poverty line, and the majority of those households depend on agriculture for survival. Cassava, as the country’s most widely grown crop, sits at the center of any realistic poverty-reduction conversation.

From Farm to Factory

The Nigerian Export Promotion Council (NEPC) has identified cassava as a priority non-oil export commodity, and with good reason. In 2021, Nigeria exported cassava products worth hundreds of millions of dollars, a figure the government is actively working to scale. The National Agricultural Growth Scheme, launched in 2022, earmarked significant funding specifically to expand cassava processing capacity and connect smallholder farmers to export markets.

Processing is the key variable. Raw cassava degrades quickly, but processed derivatives, starch, flour, ethanol and animal feed travel well and command strong prices. Companies like Psaltry International, based in Oyo State, have built industrial processing facilities that bridge the gap between rural farmers and international buyers. Psaltry reported supplying cassava starch to multinational food companies including Nestlé and Procter & Gamble, according to reporting by the International Finance Corporation (IFC), which provided the company with financing to expand.

The Influencer Effect: When Cassava Goes Viral

Perhaps the most unexpected chapter in this story is cultural. Cassava-based foods, fufu, tapioca pearls, cassava fries and gluten-free cassava tortillas have become a genuine trend in wellness and food communities across North America and Europe. Food content creators on platforms like TikTok and Instagram have driven millions of views on cassava flour recipes, with the grain-free baking community in particular embracing it as a pantry staple.

This is not trivial. When a food becomes a trend in wealthy consumer markets, demand signals travel fast. Brands like Otto’s Naturals, which sells cassava flour directly to consumers, have reported rapid growth in the U.S. market. That demand loop, viral content driving retail sales driving commodity demand, creates real downstream opportunity for cassava farming in Nigeria and the farmers at its source.

What Farmers Are Actually Earning

Poverty reduction, in practical terms, often comes down to a single crop yielding twice what it did last season. The critical question is whether export growth reaches smallholders, who represent the overwhelming majority of Nigeria’s cassava producers. The evidence is cautiously encouraging.

The International Institute of Tropical Agriculture (IITA), headquartered in Ibadan, Nigeria, has worked for decades to develop higher-yield cassava varieties and connect farmers to processing networks. Its TGx and TME series of improved varieties have helped farmers increase yields from roughly eight metric tons per hectare to more than 25 metric tons under optimal conditions, a transformation that can triple a household’s income.

Organizations like the Alliance for a Green Revolution in Africa (AGRA) have also stepped in with training programs that teach post-harvest handling, reducing the crop losses that historically eroded farmer earnings before cassava ever reached a processor.

The Road to a Billion Dollars

For cassava farming in Nigeria to fully realize its export potential, infrastructure remains the central challenge. Cold chain logistics, rural road access and reliable electricity for processing facilities are gaps that both government and private investors are beginning to close. The African Development Bank’s (AfDB) Technologies for African Agricultural Transformation program has committed funding specifically to address these bottlenecks across the continent, with Nigeria among the priority beneficiaries.

What was once dismissed as a poor person’s crop is becoming a global commodity, a wellness trend and an economic lifeline, all at once. Cassava farming in Nigeria is proof that the most transformative agricultural stories do not always begin in Silicon Valley. Sometimes they begin in the soil of Oyo State. What was once dismissed as a poor person’s crop is becoming a global commodity, a wellness trend and the most credible poverty-reduction tool in Nigeria’s agricultural arsenal.

– Nay Mohamad

Nay is based in Milan, Italy and focuses on Business and Good News for The Borgen Project.

Photo: Pexels

Oil and Poverty in Nigeria

Poverty in NigeriaNigeria is estimated to have a GDP of over $350 billion, making it one of the largest economies in Africa. A significant amount of that wealth is generated by the oil trade; Nigeria is home to one of the richest oil resource centers in the world, and recent statistics confirm it remains the largest oil producer in Africa, making up the overwhelming majority of the country’s exports and generating two-thirds of its total revenue.

Despite the wealth brought in by the oil trade, poverty remains endemic in Nigeria. More than 40% of the country’s population of 210 million is considered to be living in extreme poverty (that is, living below $3 per person per day), giving it the second-largest poor population in the world after India. While this is 10% less than the poverty rate in 1985, that decrease is not proportional to the considerable economic growth Nigeria has experienced in those years, with the country having seen an average of 3.89% in annual growth since 2011. Although the oil trade has elevated Nigeria economically, it may have exacerbated poverty rather than alleviated it.

The Resource Curse

One of the paradoxes of Nigeria’s economy is that the country’s abundance of natural resources has not translated into wealth for most of its citizens. Much of the wealth is generated from the export of oil and the leasing of oil fields to multinational corporations, with relatively little oil extracted for Nigeria’s own direct benefit. Prioritizing the oil trade has been detrimental to agricultural industries that could have capitalized on alternatives such as gold, timber and crops.

Oil spills have made Nigeria one of the worst areas affected by oil pollution, with nearly 500 incidents reported in 2025 alone. The impact has been disastrous for the country’s rainforests and rivers, as well as for communities dependent on natural resources. The Niger Delta has been the most heavily impacted, resulting in infertile farmlands, losses in vegetative biodiversity and declining fish populations, rendering local farmers and fishermen unable to support themselves.

Institutional Corruption

Corruption has been a long-standing issue in Nigeria’s governance and administration, and consequently much of the wealth generated by oil has not been invested into areas where it is most needed, such as public services, infrastructure and job creation. Manifestations of such corruption in the oil industry include fiscal leakages, where large amounts of revenue collected by state-owned entities go unreported; bribery, where government officials accept payments from oil companies in exchange for favorable deals and licenses; and negligence, where insufficient oversight and regulation enable further corruption.

Oil Bunkering

At the heart of the oil trade in Nigeria is a practice known as oil bunkering, which refers to the theft of crude oil from pipelines to be smuggled or illegally refined. This can occur in the form of an amateur operation or a highly organized enterprise practiced by professionals with the cooperation of corrupt officials. Bunkering is regarded as a profitable venture and is estimated to cost the country 200,000-300,000 barrels of oil per day, about 10% of Nigeria’s daily production. In addition to the loss in revenue that could otherwise be invested in alleviating poverty, oil bunkering contributes to greater instability and criminality that make these collective issues harder to address.

Ongoing Efforts

In recent years, several steps have been taken to address the complicated problems surrounding oil and poverty in Nigeria.

  • Economic Diversification: Dwindling oil prices have compelled the Nigerian government to decrease its dependency on oil and prioritize other forms of revenue. Industries identified for investment include agriculture, mining and manufacturing. In line with this objective, President Muhammadu Buhari pledged at COP26 for Nigeria to transition to renewable energy sources and attain carbon neutrality by 2060.
  • Compensation and Remediation: Local communities are seeking reparations and corrective action from entities responsible for environmental damage caused by oil spills. The most high-profile case at the time of writing was launched by residents of Bille and Ogale, near the Niger Delta, against Shell plc. For the 7,000 spills that Shell is alleged to have caused since 1958, the communities are seeking $1 billion in damages, $750 million of which would be used to clean up the environmental damage.
  • Activism and Awareness: Non-governmental organizations (NGOs) such as Amnesty International, ENACT Africa and Oxfam are working to raise awareness about the harms exacerbated by the oil trade in Nigeria and to advocate for urgently needed solutions. The Together Against Poverty (TAP) project, for example, is working to hold the Nigerian government accountable for its commitment toward poverty alleviation and to secure greater contributions from major international donors such as the European Union.

Looking Ahead

Some actions have led to improvements; for example, Nigeria’s investment in solar power has already led to lower living costs and improved quality of life on the local level. However, much more needs to be done to fully address the enormity of the problems surrounding the oil trade in Nigeria and the contributions it has made to poverty.

– Aled Warren

Aled is based in London, UK and focuses on Good News and Politics for The Borgen Project.

Photo: Flickr