Nigeria's economy is under immense strain as hunger protests lead to widespread violence and curfews across multiple states.
Over the past five days, Nigeria has experienced significant turmoil due to hunger protests, leading to severe economic repercussions. Security alerts have intensified, particularly in the North West, where states like Kaduna, Plateau, and Bauchi have seen extensive property destruction and shop looting as violent elements hijack the protests.
In the capital, Abuja, and other northern regions, rioters were arrested, some bearing Russian flags. A similar incident occurred in Kano State, where the police arrested a tailor responsible for mass-producing the flags. The Russian Embassy in Nigeria has denied any involvement.
Chief of Defence Staff, General Christopher Musa, declared that displaying Russian flags in Nigeria constitutes treason, promising a crackdown on the perpetrators.
As violence continues, Bauchi, Kaduna, and Plateau states have imposed 24-hour curfews. Previously, Borno, Kano, Katsina, Jigawa, and Zamfara had enacted similar measures to prevent chaos. These curfews have further exacerbated Nigeria's economic woes, with the Association of Small Business Owners of Nigeria (ASBON) estimating a loss of N600 billion over the past five days.
The Centre for the Promotion of Private Enterprise warned of potential daily losses of N400 billion due to the protests. Investors are increasingly wary, with the Nigeria Exchange Limited recording a N92 billion loss at the end of Monday's trading session. The Nigeria Eurobond also faced a significant sell-off amid the protests and uncertainties.
Despite President Bola Ahmed Tinubu's call for protest suspension in his Sunday broadcast, businesses in Abuja are operating with minimal activity. Skeletal operations were observed in Wuse Market, Banex Plaza, Dutse Market, and Utako Market. Banks in the capital also reported limited operations.
Fuel shortages persist in Abuja, Nasarawa, and Niger States, with long queues at dispensing stations. The Independent Petroleum Marketers Association of Nigeria attributes these shortages to the ongoing protests disrupting truck movements.
Financial Analyst Gbolade Idakolo emphasized the need for government action to address protesters' demands and reduce food prices, urging tangible measures rather than mere promises.
Muda Yusuf, Director of the Centre for the Promotion of Private Enterprise, stressed that prolonging the protests would further damage the economy. He called for immediate suspension of the demonstrations to prevent further economic degeneration. Dr. Uju Ogunbunka, President of the Bank Customers’ Association of Nigeria, echoed these concerns, highlighting the severe impact on private establishments and core economic activities.
As the protests continue, Nigeria's economy faces a critical juncture, with urgent calls for dialogue and action to restore stability and confidence.
