The inexorable escalating costs of living in countries including Angola, Nigeria, Kenya and Ethiopia may trigger social turmoil, the African Development Bank (AfDB) warns.
The continental bank is particularly concerned about the escalating prices of fuel and essential commodities that it sees as indicative of a potential catalyst for social unrest in these countries.
In its 2024 macroeconomic performance and outlook report, the AfDB projected a 3.8% growth in Africa’s economy but cautioned that currency depreciation or subsidy removal in the mentioned countries might trigger internal conflicts. The report highlighted that the removal of fuel subsidies in these nations had previously led to social unrest, with opposition to government policies potentially threatening to goad protests.
Furthermore, the AfDB warned of highly probable supply chain disruptions from geopolitical tensions in Eastern Europe and the Middle East. The El Nino phenomenon, according to the continental bank, could also exacerbate energy and food inflation, particularly in relation to Africa.
Nigeria is already grappling with a rising cost of living, attributed to the federal government’s policies such as petrol subsidy removal and currency floatation. Protests have erupted in few states, with prominent figures, including the Sultan of Sokoto and the Emir of Kano expressing concerns about the level of economic hardship, insecurity, and poverty that are currently rampaging the country.
In response to the growing challenges, the Nigeria Labour Congress (NLC) has announced a two-day nationwide protest scheduled for February 27 and 28 to address the hardship faced by Nigerians and the deteriorating security situation. The NLC has issued a 14-day ultimatum to the Federal Government, emphasizing the need for urgent action to address the pressing issues contributing to the country’s current state.
