About 141 million Nigerians have been projected to fall into abject poverty in 2026, as Nigeria’s poverty rate is projected to rise exponentially to 62 per cent this year, PricewaterhouseCoopers’ Nigeria Economic Outlook 2026 report reveals.

According to the report, poverty rate, which stood at 59% in 2024, rose to 61% (139 million people) in 2025 and expected to climb to 62% (141 million) in 2026.

This surge is attributed to persistent food insecurity, high energy costs, and a “consumer dilemma” where spending recovery is stifled by dwindling real income.

The firm estimates that most Nigerians would struggle to record income gains strong enough to offset rising prices in the near term, particularly as inflation continues to erode purchasing power.

“Poverty is projected to rise to 62 per cent (141 million people) by 2026, reflecting weak real income growth and lingering inflation effects,” PwC report noted.

While inflation is expected to ease gradually, the firm warned that the underlying cost structure of the economy would limit meaningful affordability gains for households.

The report noted that consumption patterns among low-income households were worsening the impact of rising prices. Poorer are more vulnerable to the devastating effects of increases in food prices.

PwC stated that high energy costs, logistics expenses and exchange rate pass-through effects would continue to keep the prices of food and essential goods high, even if headline inflation moderates slightly.

PwC cautioned that without targeted interventions such as job creation, productivity improvements, and effective social protection programmes, reducing poverty levels in Nigeria would remain a major challenge. 

The PwC report warned that rising poverty levels pose significant risks to Nigeria’s economic stability and growth prospects. A growing share of the population struggling to meet basic needs could weaken domestic consumption, constrain productivity growth and place additional pressure on public finances.

It stated that rising poverty could also weaken domestic consumption, limit productivity growth, and place additional pressure on public finances.