At -16.02% CAGR, Nigeria's GDP per capita is shrinking fast, signalling deep economic strain on its population despite being a top 4 African economy.
Angola recorded 8.28% CAGR, showing that smaller economies can drive significant per capita progress when policies and investments align with citizen welfare.
With 8.23% CAGR, Algeria continues to transform national wealth into measurable benefits for its people.
Ethiopia’s 6.86% annual growth in GDP per capita highlights how consistent development efforts can raise living standards even in densely populated, developing nations.
A modest 2.52% CAGR for South Africa might not sound like much, but in a mature economy, this reflects resilience and relative stability in per capita income.
Egypt has a -1.41% CAGR, showing mild contraction, but far less severe than Nigeria’s economic shrinkage.
Despite being among the top 4 economies by size, Nigeria ranks low in GDP per capita, revealing a disconnect between total wealth and individual prosperity.
With the highest nominal GDP and highest per capita GDP, South Africa showcases balanced growth and better wealth distribution.
Countries like Ethiopia and Nigeria have huge populations, which dilutes their GDP and drags down per capita figures.
Though fifth in total GDP, Morocco performs better in GDP per capita, highlighting efficiency in wealth distribution.
This proves that a country’s economic “size” doesn’t always translate to individual opportunity, wealth, or standard of living.
Economies like Nigeria and Ethiopia must focus not just on increasing GDP but on ensuring that economic growth improves lives at the grassroots level.
From an average of 4.33% in 1981–2001 to just 1.58% in 2002–2024, Nigeria’s capital expenditure as a percentage of GDP has more than halved.
The early 2000s marked a major turning point. After peaking at 9.1% in 1999, capital spending nosedived, rarely surpassing 2% in the last two decades.
Recent figures show Nigeria’s capital expenditure hovering around 1–2% of GDP.
The data suggests a move away from infrastructure investments, potentially prioritising recurrent expenditure such as salaries and overheads.
Low capital spending can slow infrastructure development, limiting productivity, economic expansion, and foreign investment attractiveness.
If Nigeria is to achieve sustainable growth, there needs to be a renewed focus on capital investments to drive industrialisation, improve public services, and create jobs.
Economic services still receive the largest share of capital expenditure (47% on average), which has declined over time, raising concerns about long-term infrastructure development.
Spending on administration has risen, now accounting for a quarter of total capital expenditure (25%), highlighting a stronger focus on governance and institutional processes.
Social community services (such as education and healthcare) have seen growth in allocation, reaching around 12-19% in recent years, signalling a shift toward social development.
Transfers, which are funds allocated to specific entities or programmes, have fluctuated but occasionally spiked.
