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Poverty reduction strategies in Nigeria: Rescuing the youth through microfinance loans

Author: 
Amin Zaigi Ngharen and Christiana Enubi Akogwu
Subject Area: 
Social Sciences and Humanities
Abstract: 

Nigeria has experienced a spiraled rise in income, increased inequality and poverty levels in the last couple of years. It was not surprising that Nigeria missed the 2015 Millennium Development Goals (MDG) poverty target by a wide margin. Available statistics from recent surveys by the Nigerian Bureau of Statistics indicates that about 70% of Nigerians live in poverty. This is in spite of the insistence by publicists who keep shouting that the economy is growing. This paper agrees that the economy is growing only that it is doing so in reverse gear. The paper reviews poverty alleviation strategies of the past that were poorly targeted and concentrated more on tricycles, hair palming and sewing machines and why they failed to reduce poverty. The paper therefore suggests that a realistic, poverty reduction strategy should target the youths and do so anchoring on inclusive, redistributive nature using microfinance loans.

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