Nigeria faces numerous challenges that hinder its progress, including corruption, inefficient state institutions, and armed bandits and militants. Despite its oil wealth, a large portion of the population lives in poverty, with rising living costs exacerbating the situation. Additionally, businesses face policy uncertainty and frequent power outages.
The government’s debt servicing obligations have consumed a significant portion of its revenue, limiting its ability to invest in other areas. In an attempt to attract investment and reform the foreign exchange market, President Bola Tinubu has initiated measures such as devaluing the local currency and raising borrowing costs. However, progress has been slow.
Despite these challenges, there are signs of improvement. The naira has recently strengthened due to the government’s efforts to attract investment and stabilize the foreign exchange market. However, decades of mismanagement have left Nigeria with a weak economy and limited resources to address these issues effectively.
