Published in Data Dive
More than the case was about two years ago, when we dived into Nigeria’s outbound migration, there is a greater urgency to escape now than then. The high cost of living, cases of killing, and the casualties from kidnapping fuel desperation to leave the country.
February 12th, 2024
More than the case was about two years ago, when we dived into Nigeria’s outbound migration, there is a greater urgency to escape now than then. The high cost of living, cases of killing, and the casualties from kidnapping fuel desperation to leave the country.
In this timely throwback, we point to often-overlooked facts to help you make clear decisions to stay and succeed in the country or leave for the better.
First, we explain that the present welfare figures, as poor as they are, may not be your own reality, due to your personal income or the place you live in Nigeria. That’s the way it is around the world.
Next, we estimate that if you earn above N465,000 monthly income as a single person, or you and your spouse each earn above N465,000 in Nigeria, you can access the benefits those who travel abroad seek right here in Nigeria for your 2-3 children.
Lastly, we establish that Nigeria’s poor (general) welfare figures only speak of what is present. On the other hand, Nigeria’s wealth figures speak of what is possible – the opportunities many leave behind to escape, which others come in and explore for untold prosperity.
Enjoy the evergreen conversation.
Besides the poor and vulnerable who are left without a voice or a choice on whether to leave or stay in the country, several middle-class Nigerians do not feel any urgency to japa (flee the country in search of greener and safer pastures).
Armed with a global view, they see Nigeria as a place in the global village with its peculiar problems and promise, like everywhere else. Their resolve to stay in fatherland rather than leave for a farther land emanates from one or more of the following:
pragmatism about the cost and benefit of leaving and staying.
sheer pessimism about the often untold vicissitudes of life in foreign lands, or
a sense of patriotism and mission for country.
On the pragmatic point, the moment an adult earns more than N465,000 monthly income in Nigeria, she is not affected by those adverse data on Nigeria’s human capital development!
In fact, she can afford the basic amenities that the average person in high-income countries like the US, the UK, Canada, Australia, and New Zealand afford, World Bank data shows.
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Equally, a socially responsible and financially responsive couple that each earns over N465,000 can afford a decent education and health needs of a family of 5.
There is a need to remember that the depressing figures of Nigeria’s stunted human capital development actually describe the lot of about 45% of the population (95 million out of 211.4 million Nigerians), who receive a monthly income of less than N38,173. Going by Nigeria’s poverty line as of 2019, the income ceiling over the poor is lower, at N11,450.
The rest of the population, who receive a monthly income between N94,000 and N307,000, also encounter some of these maladies of the Nigerian economic situation.
However, a Nigerian at home that earns above Four hundred and Sixty Thousand Naira (N463,738) monthly already earns what the average person in high-income countries earns. She may consider it better to live in Nigeria and enjoy a cheaper cost of living.
This Nigerian could afford the nutritional, educational, health, and adult survival expectations in high-income countries.
Among this high-income group (over N463,738 earnings per month), human capital development index (HCI) is 71%. And among the Upper middle income group in Nigeria (N149,623 – N463,738), the index is 56%.
The 36% average HCI score for all the income groups in the country for the year 2020 shows that “a child born in Nigeria just before the year 2020 will be 36% as productive when she grows up as she could have been if she enjoyed complete education and full health. (See the first part of this series for the expected score of your own income level for the 5 sub-indices on health, education and adult survival outcomes).
Again, just as one’s location in the world contributes to the human capital outcomes of that child or adult, one’s location in Nigeria also affects the income, and in turn, the human development outcomes.
For instance, as of 2020, there was 85% chances of a 15 year old child surviving till age 60 all over the world. However, this average score does not define the reality in every region of the world.
Those in North America, Europe and Central Asia, East Asia and Pacific, Middle East & North Africa, and Latin America & Caribbean all have better adult survival rate than the world average.
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Likewise, Urban areas in Nigeria offer more social amenities, greater economic possibilities and income than the rural areas, and in turn, better health, education, and survival outcomes.
To see hope in Nigeria, there is a need to understand the figures that economists present.
Socioeconomic figures measure two different but linked aspects of human well-being. The first is the wealth of nations (GDP, GDP growth, Inflation, Interest rate, profits, etc.), and the second is the welfare of societies (income inequality, social security, social infrastructure, inclusion, environmental hygiene, etc.)
Human development indices relate more to the level of income inequality in a country than its average income level.
Thus, many of Nigeria’s negative human development ratings are due more to the large population who live on extremely low incomes, sometimes lower than the average in low-income countries.
When these poor welfare figures are rolled out and compared with those in other countries, it can lead to immediate conclusions that the whole country is poor, unhealthy, and poorly educated and that other countries are simply better than Nigeria.
However, Nigeria’s poor developmental indices (of inequality in wealth and welfare) accurately describe the lot of about 45% of its 211.4 million population that lives on less than N38,173 income per month.
Worse still, since the poverty line in Nigeria as of 2019 was N137,430 per annum, this means Nigeria has over 95 million persons living on less than N11,450 per month in 2022.
Yet, Nigeria is classified as a low-middle income country (better than a low-income country) because its average gross national income per capita falls within that range (with the average income of citizens at N93,898 per month (or between N38,210 and N149,587).
Yet, the problem is that Nigeria’s median and modal personal income falls way below the country’s global income grouping.
To illustrate this, assume that the sum of the salaries of the 10 staff of Company A is N50 million per year. The average income of each staff in that Company would be N5 million per year. This is what is possible.
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More than the case was about two years ago, when we dived into Nigeria’s outbound migration, there is a greater urgency to escape now than then. The high cost of living, cases of killing, and the casualties from kidnapping fuel desperation to leave the country.
