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Nigeria has the Second Lowest Cost of Living in the World Despite Economic Woes

Business Insider Africa

January 30, 2024 3:30 PM

In the complicated realm of global economics, Nigeria in 2024 has emerged as a fascinating paradox. The West African nation boasts the lowest cost of living index in Africa and the second lowest in the world. This is according to Numbeo, a data platform that provides insights into consumer prices, real property prices, and quality of life metrics.


- Nigeria faces a 28.92% inflation rate, but Numbeo ranks it as having Africa’s lowest cost of living index.
- This presents an economic anomaly.
- Nigeria’s current cost of living index stands at 19.0.


According to Numbeo’s updated cost of living index for 2024, Nigeria has Africa’s lowest cost of living and the world’s second lowest cost of living, second only to Pakistan, despite the country’s startling rate of inflation and weakening currency.

Nigeria's inflation which is currently at an alarming 28.92%, an 18-year high, and a 13-month consistent surge, has seemingly done little to raise its cost of living index to a global high.

Inflation is typically associated with a greater cost of living. However, Nigeria's reality calls into question this logic. The cost of living index, which takes into account factors such as housing, transportation, food, and healthcare, still places Nigeria as one of the countries with the lowest cost of living, presenting an interesting case study.

To collect data, Numbeo relies on user inputs and manually collected data from authoritative sources (websites of supermarkets, taxi company websites, governmental institutions, newspaper articles, other surveys, etc.). Manually collected data from established sources are entered twice per year.

With that said, Nigeria’s current cost of living index stands at 19.0. When compared to the highest, Bermuda there is a 114.8 disparity, as Bermuda has a cost of living index of 133.8.

Also when compared to Mozambique, which has the highest cost of living in Africa at 45.2, there is a 26.2 points difference.

Nigeria’s relatively low cost of living is despite the fact that the country’s latest food inflation rate accelerated to 33.93% on a year-on-year basis, marking a 10.18% increase compared to the rate recorded in December 2022 (23.75%).

According to a report by Business Day, a prominent news publication in Nigeria, “100% of respondents who participated in the publication’s poll are dissatisfied with the current cost of food, and 75% believe the government isn’t doing enough to address the issue''.

A recent report also shows that commodity prices in Nigeria are set to surge again, following the fall of the country’s currency to N1,420/$.

While Nigerians are generally frustrated with the current state of affairs in the country, Numbeo’s list shows that its living conditions are very cheap compared to the rest of the world.


https://africa.businessinsider.com/local/markets/nigeria-has-the-second-lowest-cost-of-living-in-the-world-despite-economic-woes/3pl9mh1

Hehehe.

Anything to convince APC and their supporters that they are doing well is ok .

This news will be used by their on line paid agents for days,just to make them sleep well.

The irony of this is that before the elections they don't believe in anything statistics,but they are now on line digging anything statistics to use as a propaganda to support the woeful performance of the present government .

In the voice of Tinubu,na statistics we go chop .

I saw a YouTube video of a Gambian guy that toured Lagos, and the guy was amazed at the low prices of everything, compared to Gambia.

He was converting the naira prices to the Gambian currency, and was just shouting in amazement at how cheap they were, from coke to food items, clothes etc.

The guy said that we are enjoying in Nigeria with all these cheap prices!

Interesting read. I am not suprised at Mozambique's figure. That country and Angola are extremely expensive to live in.

Topman7:
I saw a YouTube video of a Gambian guy that toured Lagos, and the guy was amazed at the low prices of everything, compared to Gambia.

He was converting the naira prices to the Gambian currency, and was just shouting in amazement at how cheap they were, from coke to food items, clothes etc.

The guy said that we are enjoying in Nigeria with all these cheap prices!

It is because naira is weaker than Gambian currency dalasi.

At official rate, 1 Gambian dalasi = 13.30 naira.
At black market rate almost 25 naira.

Same reason Lebanese flood/flock our country, when they carry our naira to their country they become big boys, they can buy alot of things at cheaper rate.

crossfm:
Hehehe.

Anything to convince APC and their supporters that they are doing well is ok .

This news will be used by their on line paid agents for days,just to make them sleep well.

The irony of this is that before the elections they don't believe in anything statistics,but they are now on line digging anything statistics to use as a propaganda to support the woeful performance of the present government .

In the voice of Tinubu,na statistics we go chop .

My friend the govt has barely been in power 6 months!

Haba.

Give them time.

Before the subsidy removal, I agree. Now, I don't think so. Our cost of living is now at par with Ghana unlike before when Ghana was more expensive to live in than Nigeria

VeeVeeMyLuv:
It is because naira is weaker than Gambian currency dalasi.

At official rate, 1 Gambian dalasi = 13.30 naira.
At black market rate almost 25 naira.

Same reason Lebanese flood/flock our country, when they carry our naira to their country they become big boys, they can buy alot of things at cheaper rate.

This is a very unsatisfactory explanation.

VeeVeeMyLuv:
It is because naira is weaker than Gambian currency dalasi.

At official rate, 1 Gambian dalasi = 13.30 naira.
At black market rate almost 25 naira.

Same reason Lebanese flood/flock our country, when they carry our naira to their country they become big boys, they can buy alot of things at cheaper rate.

But wages will likely be much lower in Gambia. Nigeria's is just over $2000 USD while Gambia is around $700 USD.

This is matter of "when you know you are being lied to face to face"

Garri @ 2k per paint plastic means Nigeria has second lowest living cost right

Lolzzzz.. Nigeria way cost of living wan kill the living

Nigeria cost of living is so cheap, yet people cannot afford to buy the cheap stuff. Yet over 143 million Nigerians are living in poverty. Yet most families cannot afford milk and common egg. Yet most people can't afford to eat what they like to their satisfaction. It's so cheap yet the people are buying second cloth, pot, pant, cars, phone, electronics, PC, generator, cars. If there was second hand food they will buy. Cheap my ass

Something dey worry all of una wey write this report.

Hi

The issue is that wages and salary is low in Nigeria

The figures are still dismal (with an inflationary rate of 28.92%) for a country that has a low per capita income, despite it's large natural and human resources.

Paraman:
The issue is that wages and salary is low in Nigeria

exactly, compared to countries where their minimum wage is between 100k and 150k of which they can still save part of it despite the despite the cost things but hers in Nigeria minimum wage self no fit last an individual beyond two weeks

Thanks God name checkers association has been banned here. Whoever that authors the above nonsense is from or induced by""""well I won't talk".

Doing everything to legitimize illegitimacy. Hypocrisy is a virus 🦠🦠

BigBlackPreek:
exactly, compared to countries where their minimum wage is between 100k and 150k of which they can still save part of it despite the despite the cost things but hers in Nigeria minimum wage self no fit last an individual beyond two weeks

Minimum wage in Nigeria can't even last one week

Nay sayers will never agree.

This is why they think they can japa with millions in Naira, only to find out that all the millions in Naira will not last them a month outside.

Dey play you hia. You go learn by tulasi

Life has never been difficult in Nigeria, except for the lazy who have forgotten their ancestral homes.

When you compare with global prices of commodities you see that this almost true.things are high globally but people wanto see it in the local perspective.

Trash statistics. Distribution of wealth is the real issue. A nation of 100 dubious billionaires amidst 300 million people living below N200 a day!

It is so because the Naira has depreciated so fast and prices are yet to catch up in real terms.

When I rented my 3bedroom in Akute in 2020, I paid 400k which was about $900 at the time.

My rent has been increased to 550k starting June 1,2024. That is about $360 in todays money

I am paying 40% in dollar terms today.

Low cost of living based on dollar terms

Compare the Minimum wages of all the Countries involved to get a more truer picture

Topman7:
Nigeria has the Second Lowest Cost of Living in the World Despite Economic Woes

Business Insider Africa

January 30, 2024 3:30 PM

In the complicated realm of global economics, Nigeria in 2024 has emerged as a fascinating paradox. The West African nation boasts the lowest cost of living index in Africa and the second lowest in the world. This is according to Numbeo, a data platform that provides insights into consumer prices, real property prices, and quality of life metrics.


- Nigeria faces a 28.92% inflation rate, but Numbeo ranks it as having Africa’s lowest cost of living index.
- This presents an economic anomaly.
- Nigeria’s current cost of living index stands at 19.0.

While Nigerians are generally frustrated with the current state of affairs in the country, Numbeo’s list shows that its living conditions are very cheap compared to the rest of the world.

https://africa.businessinsider.com/local/markets/nigeria-has-the-second-lowest-cost-of-living-in-the-world-despite-economic-woes/3pl9mh1

Erm...a sponsored report perhaps?

Insider publishes original reporting and aggregates material from other outlets. As of 2011, it maintained a liberal policy on the use of anonymous sources. It has also published native advertising and granted sponsors editorial control of its content. The outlet has been nominated for several awards, but has also been criticized for using factually incorrect clickbait headlines to attract viewership.[2][3]

Source: https://en.wikipedia.org/wiki/Business_Insider

Topman7:
My friend the govt has barely been in power 6 months!

Haba.

Give them time.

Tell the increasingly poor Nigerians, those who have been kidnapped, those who have been killed that the govt has barely been in power 6 months and should give them time!

Low cost of living but overwhelming majority live in abject poverty!

True.
For example, what is the cost of a big chicken in Nigeria?
Last time I checked it was about N2,800.
That's a "whopping" $1.87
Just imagine that!

That's why anytime I get to Naija, I have a field day.

Mindlog:
Tell the increasingly poor Nigerians, those who have been kidnapped, those who have been killed that the govt has barely been in power 6 months and should give them time!

But many of you are japa-ing to America, the headquarters of insecurity.

Do you know how many people are shot dead in America every year?

Over 70,000.

Low cost of living but overwhelming majority live in abject poverty!

And YOU are not part of the ''overwhelming majority''?

How so?

By magic?

You're special abi?

Everyone else is starving, except you, abi?

Mr Special.

Idiot.

Kushites:
But many of you are japa-ing to America, the headquarters of insecurity.

Do you know how many people are shot dead in America every year?

Over 70,000.



And YOU are not part of the ''overwhelming majority''?

How so?

By magic?

You're special abi?

Everyone else is starving, except you, abi?

Mr Special.

Idiot.

In as much as you struggle with psychosis, I will still engage you without pay.

First and foremost, I don't live in the US but live in Cambridge, UK.

So tell me how many people have been kidnapped in the UK in the past one year?

How many have been killed by bandits in the UK in the past one year?

Under APC government, NBS released data that 133 million Nigerians live in multidimensional poverty but because you have unapproved access to an internet enabled phone from your in-patient psychiatric bed, you are freely expressing your out of touch with reality.

Topman7:
My friend the govt has barely been in power 6 months!

Haba.

Give them time.

....and within that 'barely 6 months' dollars moved from 750 - 1515 naira /$.
Fuel 197 - 650/ litres
50kg bag of rice 34k - 60k
Kidnapping and banditary moved from core north to federal capital territory.
and you are saying 'Give more time'?

More time = more shege!
Fuel

Topman7:
I saw a YouTube video of a Gambian guy that toured Lagos, and the guy was amazed at the low prices of everything, compared to Gambia.

He was converting the naira prices to the Gambian currency, and was just shouting in amazement at how cheap they were, from coke to food items, clothes etc.

The guy said that we are enjoying in Nigeria with all these cheap prices!

Forget that. What determines whether things are cheap or expensive is the minimum wage.
Our minimum wage is #30k ($20) per month and many employers and state governors don't even pay up to this.

Minimum wage means that you should be able to survive in a society with that salary. But you and I know that those who earn #30k today live a miserable life because that money cannot do anything for them.

Tomorrow, we still wonder why people steal from their offices. The funny thing is that if you ask them how they survive, they say, Na God! But they steal at work to survive.