The African Development Bank (AfDB) has warned that rising prices of fuel and other commodities could trigger social unrest in Nigeria, Ethiopia, Angola and Kenya.
The AfDB made the warning in its macroeconomic performance and outlook for 2024 in which it projected Africa’s economy to grow higher than the 3.2 percent recorded in 2023. It projected that growth on the continent will rebound to 3.8% in 2024.
However, the bank cautioned that surging fuel and commodity prices, exacerbated by currency depreciation or subsidy removal in Nigeria, Angola, Kenya, and Ethiopia, pose a significant risk of internal conflicts.
It said “Internal conflicts and violence could also result from rising prices for fuel and other commodities due to weaker domestic currencies and reforms.
“For instance, the removal of fuel subsidies in Angola, Ethiopia, Kenya and Nigeria and the resulting social costs has led to social unrest driven by opposition to government policy.”
In Nigeria, rising cost of living has already led to protests in some states, with citizens expressing discontent over the government’s policies, including the removal of petrol subsidies and the floating of the naira. The protest over increasing hardship started in Minna, Niger State on February 5, with many other states holding similar protests after.
The Sultan of Sokoto recently voiced concerns about the economic hardship in the country, warning that citizens’ agitation, anger, and hunger could be a tipping point if not addressed promptly.
“To make matters worse, we are faced with the rising level of poverty amongst our people, lack of normal sources of livelihood for the common man to have even if it is one good meal a day,” the Sultan said.
Similarly, the Explainer reported that the Nigeria Labour Congress (NLC) has announced a two-day nationwide protest, between February 27 and 28, over economic hardship faced by its members.
Speaking in a press conference after an emergency meeting of the National Executive Council (NEC) of the union on Friday, the NLC President, Joe Ajaero, said the protest will begin a week after the expiration of the 14 day ultimatum it issued to the Federal Government which will expire on February 23.
Also, the AfDB said the rise of geopolitical tensions in Eastern Europe and the Middle East in addition with the El Nino phenomenon, may trigger supply chain disruptions, which could aggravate energy and food inflation across the world with Africa more vulnerable to these shocks.
