“Real GDP per capita has not recovered to the level it was at prior to the oil price-induced recession in 2016. The COVID-19 pandemic compounded this drop in economic activity, leaving millions more vulnerable,” the report added.
Nigerians Forced to Abandon Cars
The skyrocketing price of petrol has forced many Nigerians to abandon their cars.
A report by AFP details how the economic strain has led to lifestyle changes, with Nigerians turning to public transportation to cut costs. Emmanuel, a 72-year-old retired health worker, shared his experience with AFP.
“I parked my car at my son’s house. I use public transport now. It is not convenient, but it is what the economy demands,” he said.
Car dealerships have also felt the impact of the economic downturn. Many Nigerians are trading in their fuel-guzzling cars for more efficient vehicles.
“People are actually selling their big cars these days,” said Maji Abubakar, a car dealer in Abuja. However, the demand for such cars has significantly dwindled. “Even if you put them on the market, there isn’t much demand for them.”
Abubakar explained that the sale of cars with larger engines has plummeted.
“It has been more than a year since I sold a car with an eight-cylinder engine, and the major reason is the price of petrol,” he added.
Policy Impact and Public Response
President Tinubu’s decision to remove fuel subsidies was part of his administration’s effort to address Nigeria’s mounting debt burden. However, the consequences have been far-reaching.
While the policy aimed to curb excessive spending on subsidies, it has also placed immense pressure on millions of Nigerians, with many facing extreme economic hardship.
As petrol consumption plummets and inflation surges, the daily struggles of ordinary Nigerians highlight the challenging realities of the post-subsidy economy.
Many citizens continue to grapple with the rising cost of living, with no immediate end in sight.
by Segun Adeyemi | Pulse.ng
