Atedo Peterside, founder of Stanbic IBTC Bank, has criticised President Bola Tinubu’s economic reforms, arguing that the policies have disproportionately benefited wealthy Nigerians while worsening the financial conditions of millions of low-income households.
Speaking during an interview on Arise News TV, the investment banker and economist said the administration’s fuel subsidy removal and foreign exchange reforms have produced contrasting outcomes for different income groups.
According to Peterside, while wealthy Nigerians with investments in financial markets have recorded improved returns, ordinary workers continue to struggle with rising living costs and declining purchasing power.
Peterside Says Reforms Favour Wealthy Nigerians
“The rich are getting richer, the poor are getting poorer,” Peterside said.
He argued that the success of the government’s economic reforms should be assessed not only through macroeconomic indicators but also through their impact on household welfare.
Peterside explained that Nigerians with substantial investments in the stock market are more likely to have benefited from the reforms than workers who depend primarily on salaries.
“If you ask a rich man, he’ll tell you it’s working because he is getting richer. In fact, if you ask a very rich man, he’ll tell you the reforms are fantastic,” he said.
He acknowledged that his own investment income had increased but maintained that improvements in the financial circumstances of wealthy Nigerians did not necessarily reflect the broader economic reality.
“My concern is for the 140, 130 million Nigerians who are poor, who are getting poorer effectively,” Peterside said.
He attributed the widening economic disparity partly to the government’s failure to introduce adequate social protection measures alongside its reforms.
“The government carried out all these reforms but never put in place adequate safety nets for the very poor,” he said.
Poverty varies significantly across regions
Presenting official poverty data during the interview, Peterside highlighted significant differences in poverty levels across Nigeria’s geopolitical zones.
He said approximately 12 states and the Federal Capital Territory recorded poverty rates below 50%, with many of those states concentrated in the Southwest.
By contrast, he identified the Northwest, Northeast, North Central and South-South as regions experiencing particularly high poverty levels.
“High poverty in Nigeria is largely a zonal problem,” he said.
Peterside argued that policymakers who spend most of their time in relatively prosperous cities such as Lagos and Abuja may underestimate the severity of hardship in other parts of the country.
He maintained that the effectiveness of economic reforms ultimately depends on whether they improve living standards across income groups and regions.
Stock Market Gains Contrast Household Hardship
Peterside’s remarks come amid concerns that improvements in Nigeria’s financial markets have yet to translate into meaningful gains for ordinary households.
In May, it was reported that Nigeria’s stock market had surged 348% during Tinubu’s first three years in office, with market capitalisation rising from approximately N30.38 trillion to N160.09 trillion.
However, a June analysis by Nairametrics highlighted the widening disconnect between investor returns and consumer welfare, noting that rising asset prices have coincided with weakened purchasing power and higher household expenses.
Similarly, the Centre for the Promotion of Private Enterprise warned that Nigeria’s macroeconomic recovery had yet to deliver substantial improvements in living standards.
On social protection, Nairametrics reported in October that the Federal Government had disbursed N658.9 billion to 10.46 million vulnerable households, although the World Bank identified gaps in coverage, payment adequacy and consistency.
