Poverty Reduction Sample

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Poverty Reduction in Rural Areas of Nigeria

Executive summary

As one of the highly-populated countries in Africa, Nigeria has a population of about 178.5 million. Nigerian population accounts for the 47 percent of the West Africa’s population. In Africa, Nigeria is the largest exporter of oil in Africa and also has the largest reserves of natural gas in Africa. Being a large reserve of both natural and human resources, the country has a high potential of becoming a prosperous economy characterized by rapid economic growth that can significantly reduce poverty and improve the standard of people through improved accessibility of services such as healthcare, infrastructure and education. Nigeria forms one of the fast-growing economies in the region, with a GDP of around $568.5 million (World Bank, 2015).

Notably, in the last five years, poverty in Nigeria has declined by 2.3 percent. It is estimated that the number of Nigerians living below 1.25 Purchasing Power Parity (PPP) poverty line declines by 0.5 percent every year since 2010. The rapid economic growth has been an important aspect of reduction of poverty in the country. However, poverty reduction has been slowed down by a number of factors such as the rapid population growth by 3 percent annually. By 2016, there would an increase of Nigerian population by 67 million compared to 61 million in 2010. Other important factors responsible for slowing down poverty reduction include traditional challenges of proliferation, waste, safety and cost beset poverty alleviation in rural zones, limiting the growth and spread of new approaches to activities such as agriculture.

This thesis examines the current trends in rural poverty reduction and establishes ideal solutions within the context of Nigeria rural zones. The study uses qualitative research paradigm to examine the current trends in rural poverty reduction in Nigeria. This study uses secondary data from over 20 sources within the last seven years such National Bureau of Statistics (NBS), Central Intelligence Agency, Office for National Statistics (Europe) Central, Bank of Nigeria publications, International Fund for Agricultural Development (IFAD), World Bank publications, National Bureau of Statistics, Central Bank of Nigeria, Eurostat figures, Action Aid Nigeria, United Nations Development Programme, EU Employment Situation and Social Outlook, International Labour Organization, World Population Prospects, United Nations and Office for National Statistics.

This study also uses comparative analysis/ cross country studies between Nigeria and Europe, with particular focus on Lithuania. Based on the analysis of secondary data and comparative analysis, this study presents recommendations to poverty reduction in rural areas of Nigeria.


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