Nigeria’s cost-of-living crisis deepens as election approaches

Monday 10 August 2026 - 11:00

By: Sahili Aya

Nigeria’s cost-of-living crisis deepens as election approaches

Nigeria’s cost-of-living crisis is putting increasing pressure on households as the country moves closer to its next election, with rising prices eroding the purchasing power of workers despite signs of stronger foreign investment.

For many Nigerians, higher salaries have failed to keep pace with the cost of everyday necessities. In Abuja, health-sector worker Grace Adama earns 135,000 naira a month, nearly twice the statutory minimum wage, yet says her income is quickly consumed by basic expenses.

Her experience reflects a broader frustration among households struggling to adjust to persistently high living costs.

Food prices remain a major concern

The pressure is particularly visible in food markets. A tracker cited by Reuters shows that the cost of preparing jollof rice, one of Nigeria’s best-known dishes, has more than doubled since 2023.

The increase illustrates how rising food and household expenses have affected purchasing power, particularly for lower- and middle-income families.

As consumers devote more of their income to essentials, discretionary spending becomes increasingly difficult, putting additional pressure on household budgets.

Economic gains yet to reach many households

Nigeria has also recorded positive developments on the investment front. Foreign capital inflows reached $23 billion last year, their highest level in six years.

However, stronger investment has yet to translate into an immediate improvement in living standards for many Nigerians.

A survey by SBM Intelligence found that 80% of Nigerians believe the country is moving in the wrong direction, underscoring the gap between some macroeconomic improvements and perceptions of everyday economic conditions.

Economic pressures could shape the political debate

With the next election approaching, the cost of living is likely to remain a central concern for voters.

For households facing higher food and other essential expenses, economic policy is not an abstract issue but a daily reality. The government's ability to convert economic reforms, investment and improved capital inflows into tangible gains for ordinary citizens could therefore become increasingly important in the political debate.