Inequality in
Nigeria worsened between 2004 and 2013 but improved in 2016 using either the
Gini coefficient or Theil. Inequality as measured by the Gini worsened from
0.356 in 2004 to 0.41 in 2013 but improves to 0.391 in 2016. Using Thiel,
inequality worsened from 0.217 in 2003 to 0.395 in 2013 but improved to 0.31 in
2016.
With respect to
consumption shares (and using consumption as a proxy for income), in 2004, the
bottom 10% (poorest of the poor) of the population consumed 2.56% of goods and
services, while the top 10% (super rich) consumed 26.59% of all goods and
services. The richest 10% were responsible for 26.59% of national expenditure
or income in 2016. This increased to 33.72% in 2013 but decreased to 31.09% in
2016.
The top 20%
were responsible for 42.40% of national income/expenditure in 2004. This
increased to 48.28% in 2013 but declined to 46.63% in 2016.
While no agreed
standard definition of the Nigerian Middle class exists, for the purpose of
this report we have classified Decile 01-03 as the lower class, Decile 04-07 as
the middle class and Decile 08-10 as the upper class. Accordingly, the upper
class was responsible for 58.39% of national income/expenditure down from
59.42% in 2013. The share of the upper class in national income had been
rising between 2004 and 2013 before reducing in 2016. The middle class on the
other hand accounted for 30.26% of national income/expenditure in 2016, higher
than 29.14% in 2013. The share of the middle class had been declining between
2004 and 2013 in favor of the higher class but that reversed in 2016. Finally,
the lower class accounted for 11.35% of national income/expenditure in 2016
lower than 11.43% in 2013.
The biggest
gainers of income/expenditure shares between 2013 and 2016 has therefore been
the middle class, while the lower-class share remained constant while the
high-class shares reduced. Download
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