Report Reveals 26.8% Of Nigeria’s Working-Age Jobless Amid Widespread Business Closure

In its latest Labour Force survey, the National Bureau of Statistics, NBS, shows that Nigeria’s unemployment rate stands at 26.8%.

This figure comprises a significant portion of the country’s working-age population.

Conversely nonetheless, the data reveals that 73.2% of the working-age population is employed, marking a decline from 75.6% in the third quarter of 2023. This downward trend raises concerns about the country’s labour market.

According to the NBS, employment-to-population ratio measures the number of employed individuals against the total working-age population.

The recently released figures highlight a dire economic situation in Nigeria, where widespread business closures, particularly among small enterprises, have exacerbated economic hardship.

Theliberationnews gathered that the country’s latest employment figures reveal a concerning trend with the proportion of self-employed individuals, particularly business owners, dropping from 86% in Q3 2023 to 84% in Q1 2024, according to the NBS.

This marks an alarming decline considering the fact that small businesses account for 86% of the country’s workforce.

The Association of Small Business Owners of Nigeria reports that approximately 8 million small businesses have shut down in the past 18 months, with many owners facing immense pressure, hospitalisation, or even death.

This development underscores the urgent need for economic revitalisation and support for struggling entrepreneurs.

The government’s policies, including the hike in fuel prices and devaluation of the naira, have exacerbated economic hardship for residents.

The perception of most Nigerians is that inspite of government’s assurances to address these challenges, the reality on ground tells a different story.

This is because the country’s inflation rate has surged to an unprecedented level with food prices increasing significantly.

However, experts in the country have urged the government to implement policies that support small businesses, such as income support programmes, to cushion the effects of these challenges.