Nigeria’s economy worse than 1960 levels, says AfDB boss

The President of the African Development Bank (AfDB), Dr. Akinwumi Adesina, has issued a stark warning about Nigeria’s economic trajectory, revealing that the country is in a far deeper state of economic regression than many Nigerians realise.

He disclosed that with a current GDP per capita of just $824, Nigerians are now significantly poorer than they were at independence in 1960, when the figure stood at $1,847.

Dr. Adesina made these comments in a statement released on Thursday, following his keynote address at the 20th anniversary dinner of Chapel Hill Denham, an investment banking firm, held in Lagos.

“Today, Nigerians are worse off than they were 64 years ago,” Adesina declared, adding that while Nigeria remains Africa’s largest economy by GDP size, its economic structure is fundamentally flawed and unsustainable.

He attributed Nigeria’s deteriorating economic state to decades of policy missteps, institutional fragility, over-dependence on crude oil exports, and chronic underinvestment in critical sectors such as infrastructure, power, manufacturing, and innovation.

“Nigeria belongs in the league of developed nations. To get there, we must shift our mindset and pursue rapid economic growth,” he stated.

Drawing a stark comparison with South Korea—a country that had a lower GDP per capita than Nigeria in 1960—Adesina noted that South Korea now boasts a GDP per capita exceeding $36,000 due to deliberate industrial policies and long-term economic planning.

He stressed that Nigeria’s stagnation is not the result of a lack of potential but rather a failure to harness and mobilize its human and material resources.

“Underdevelopment should not be accepted as our destiny. We must break free from this pattern,” he asserted.

Outlining a roadmap for economic transformation, the AfDB chief identified five urgent priorities for Nigeria: universal access to electricity, development of world-class infrastructure, rapid industrialisation, innovation-driven growth, and a globally competitive agricultural sector.

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He emphasized the need for Nigeria to adopt bold, structural reforms, warning that superficial policy tweaks will no longer suffice.

“We need to invest in technology, infrastructure, and innovation. We must become Africa’s industrial powerhouse,” he said.

As an example of the scale and ambition required, Adesina pointed to the Dangote Refinery, describing it as a model for private sector-led, large-scale industrial initiatives.

He called on Nigerian policymakers to tap into the country’s vast pension funds, the expertise of its global diaspora, and capital markets to fund such transformative projects.

Importantly, Adesina stressed that any reform agenda must be anchored in strong institutions, consistent policies, and transparent governance. Without these, he warned, Nigeria risks missing out on global opportunities and failing its youthful and growing population.

“The Nigeria of 2050 must be deliberately shaped, developed, corruption-free, and a leader in Africa,” he concluded.

With sub-Saharan Africa representing 80% of the world’s 695 million extremely poor people in 2024, Nigeria’s place in that statistic raises pressing questions about the country’s current economic model and future direction.