Economic Crisis: A Breeding Ground For Insecurity In Nigeria

Nigeria, Africa’s most populous nation and largest economy is experiencing a serious economic crisis due to surging inflation and a rapidly declining currency.

Between January 2023 and February 2024, the country’s official exchange rate fell by 66%, from 462 Naira to 1700 Naira per US dollar.
In January 2024, inflation hit a devastating 29.9%, the highest level in decades, due to food price hikes and the removal of fuel subsidies in May 2023. This harsh reality forces approximately 46% of the population into poverty creating a breeding ground for insecurity.

Implications of the Current Economic Hardship

Economic hardships are often associated with civil disorder and high crime rates such as kidnapping, armed robbery and looting.
Criminal activities have been fueled by the crisis, with threat actors seeking to exploit the situation through kidnap for ransom. In some high-risk farming communities, food production has been hampered further exacerbating food insecurity. The Armed Conflict Location and Event Data Project (ACLED) recorded at least 690 abduction incidents between January 2023 to February 2024 with flashpoints being Borno, FCT, Kaduna, Katsina and Zamfara.

The victims are usually freed after ransoms have been paid. It is also worth noting that the perpetrators are rarely arrested. Within the first few weeks of March 2024, there have been mass abductions in Borno, Sokoto and Kaduna.

Also, since the beginning of the year, there has been a growing trend of widespread looting of trucks and warehouses in areas like FCT, Kaduna and Niger as the food inflation and the cost of living crisis worsened across the country. Armed robbery attacks have been on the rise mainly in the southern region. Regarding social upheaval, economic downturns have led to anti-government protests and strikes further grinding the weak economy to a halt. Last month, members of the Nigeria Labour Congress (NLC) protested nationwide over economic hardships putting extra pressure on the government to address the crisis.

Hard Times Ahead?

There are clear indications that poverty has been a major factor in Nigeria’s insecurity problem as issues like kidnapping for ransom have grown to be a profitable enterprise. With criminality and social upheaval on the rise, the Nigerian government’s immediate response to the crisis and long-term initiatives to address food sustainability and economic stability will be critical in preventing more upheaval and safeguarding citizens’ well-being. For businesses, staying informed and secure is of utmost importance. It is no longer a luxury but a necessity in this ever-evolving security landscape. At Bulwark Intelligence Solutions, we provide intelligence analysis on current and developing security threats, capabilities, operations, trends, tactics, and procedures, giving decision-makers the insights needed to counter security threats affecting their operating environment. With Bulwark Intel 360, our Open Source Intelligence Analysis application, we provide individuals and businesses with real-time location-specific interactive flash alerts on incidents, analysis and advisory on critical developments in low to high-risk environments. Safeguard your operations, assets, and employees with ourup-to-the-minute security alerts. Don’t miss out on this opportunity to be part of the elites who receive crucial security alerts. Sign up for our Bulwark Intel 360 today!