Home Business Nigeria Ranked Third Poorest Country in West Africa by GDP Per Capita — IMF/World Bank Report Reveals Alarming Economic Decline

Nigeria Ranked Third Poorest Country in West Africa by GDP Per Capita — IMF/World Bank Report Reveals Alarming Economic Decline

by Joy Chinelo

Nigeria’s deepening economic crisis has once again come under global scrutiny, as new data from the International Monetary Fund (IMF) and the World Bank reveals that the country now ranks as the third poorest in West Africa by GDP per capita, and 12th poorest globally in 2025.

The report, published by Visual Capitalist on June 24, highlights Nigeria’s GDP per capita at just $807, placing it among the bottom 15 out of 50 countries surveyed. South Sudan leads the list as the poorest nation with a GDP per capita of $251, followed by Yemen, Burundi, the Central African Republic, and Malawi.

Despite once holding the title of Africa’s largest economy in total GDP, Nigeria’s per capita output has sharply declined — a reflection of worsening poverty and economic disparity. Analysts point to decades of mismanagement, corruption, and ineffective governance since the return to democratic rule in 1999 as key contributors.

Elite Capture and Wealth Inequality

According to the report, Nigeria’s economic wealth remains concentrated in the hands of a small political and business elite, leaving the majority of citizens to grapple with poverty, inflation, unemployment, and inadequate infrastructure.

“The system has been captured by a few,” said public affairs analyst Fehintola Dada. “Over 80% of the country’s wealth is controlled by a tiny political and economic elite, while the informal sector and general population remain under severe pressure due to weak institutions and crippling economic policies.”

Experts React: A Crisis of Leadership and Policy

Development economist Dr. Ikubolaje Adewale told Business Hallmark that the country’s dire position reflects a longstanding failure of leadership.

“The IMF data points to the dysfunction at the heart of Nigeria’s political leadership. With the exception of former President Obasanjo, who brought in technocrats focused on reform, no administration since 1999 has demonstrated a serious commitment to long-term development.”

Similarly, Dr. Olugbule Olusesan of the Centre for Public Policy Clinic attributed the economic decline to corruption, weak institutions, policy missteps, and misplaced priorities.

“Public funds meant for health, education, and infrastructure are routinely diverted. Governance remains weak, and efforts at economic diversification have failed to gain traction. How many corrupt officials have actually been convicted?”

Olusesan also noted the irony that countries like South Korea — which had a lower GDP per capita than Nigeria in the 1960s — have transformed into global economic powers, while Nigeria continues to regress.

GDP Per Capita: The Global Comparison

While the global average GDP per capita is projected to hit $14,213 in 2025, Nigeria’s figure is nearly 18 times lower. Despite representing 19% of the world’s population, Africa contributes only 3% to global GDP. This stark imbalance further illustrates the continent’s economic marginalization.

India, with a GDP per capita of $2,878, also appears on the list — ranking as the 50th poorest — despite being the world’s fourth-largest economy by total GDP.

Warning Signs for the Future

According to the report, factors such as chronic conflict, underdeveloped infrastructure, limited industrialization, and poor macroeconomic planning continue to stifle growth across the continent.

Former African Development Bank President Dr. Akinwumi Adesina echoed this sentiment in a recent lecture, noting that Nigerians are worse off today than they were in 1960:

“Our GDP per capita in 1960 was $1,847, compared to today’s $824. That decline tells a tragic story of missed opportunities, poor governance, and economic stagnation.”

The Way Forward

Analysts warn that unless Nigeria takes urgent steps to invest in inclusive growth, education, healthcare, infrastructure, and job creation, the country will continue to lag behind its global and regional peers.

GDP per capita may not capture every facet of national well-being, but it serves as a critical measure of average income and economic productivity. For Nigeria, it paints a troubling picture of a nation rich in resources but burdened by systemic failure.

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