Nigeria's Tinubu says economy stable despite cost-of-living crisis

Nigeria's President Bola Ahmed Tinubu (L) delivers a speech during the celebration of the 50th anniversary of the creation of the Economic Community of West African States (ECOWAS) at Eko Hotel in Lagos on May 28, 2025. [AFP]

Nigeria's president marked his first two years in office Thursday saying his reforms, which have caused the worst cost-of-living crisis in a generation are bearing fruit.

After coming to office in May 2023, Bola Ahmed Tinubu embarked on a deep economic reform programme, which the government and international financial institutions said was necessary to right the public finances of Africa's most populous country.

The reforms in the short term have seen the naira currency plunge and pushed up the price of fuel in the continent's top oil producer five-fold.

"Today, I proudly affirm that our economic reforms are working," Tinubu said in a statement.

"Despite the bump in the cost of living, we have made undeniable progress," he said, adding: "We have stabilised our economy and are now better positioned for growth and prepared to withstand global shocks".

Inflation hit 34 percent last year and the World Bank said earlier this month it remained "high and sticky". Tinubu said it has begun to "ease".

The measures Abuja took -- which included liberalising the battered naira and cutting fuel subsidies -- have come at a cost for many ordinary Nigerians, who are grappling daily with the worst cost-of-living squeeze.

Hardship levels have soared as the purchasing power slumped, with the World Bank estimating that nearly half of all Nigerians lived in poverty in 2024.