Nigeria’s GDP per capita has dropped to $835.49 in 2025, reflecting a 4.73 percent decline from the previous year amid ongoing economic challenges. The decline shows persistent issues in household incomes and living conditions. This incomprehensible drop marks a 72.8 percent reduction from 2014 levels, raising concerns about poverty and potential brain drain.
The International Monetary Fund (IMF) has reported that Nigeria’s GDP per capita income has declined to $835.49 for the year 2025. This decline of 4.73 percent from the previous year indicates a further decrease in living standards amidst a worsening cost-of-living crisis. Based on an average exchange rate of N1,500 to a US dollar, Nigerians are earning about N1.25 million per year, though the naira’s recent rally has provided some relief.
Per capita income is a crucial indicator of economic health, reflecting individual income levels and serving as a benchmark for living standards overall. Since peaking at approximately $3,223 in 2014, Nigeria’s per capita income has markedly decreased by 72.8 percent, reaching its lowest point since 2004. This decline underscores significant economic challenges exacerbated by policy failures over the last decade.
The substantial drop in Nigeria’s GDP per capita signifies increasing economic distress for citizens, as it implies reduced purchasing power and heightened poverty levels. This situation can create negative repercussions for consumer demand and economic growth, compelling skilled professionals to seek employment opportunities abroad, thus aggravating the existing brain drain. Mitigating these trends is vital for Nigeria’s future economic stability and growth.
Original Source: businessday.ng
