Some Nigerian households are spending as much as 120 per cent of their monthly income on food and borrowing to feed their families until the next payday, Finance Minister and Coordinating Minister of the Economy Taiwo Oyedele has disclosed.

Speaking at Chatham House in London, Oyedele said a government survey showed food costs now exceed earnings for a section of households, leaving them no option but to take loans, lean on relatives or slash other essential spending.

“In fact, there was a survey we did that shows that up to 120 per cent of household income is spent on food. Like how do you spend 120 per cent of your income? You borrow food before the end of the month,” he said.The revelation sharpens the picture of Nigeria’s “working poor” — people with jobs who still cannot afford basic necessities. The minister noted that the poverty rate remains above 50 per cent even though unemployment stands at about five per cent. “That tells you something. As a policymaker, you don’t sit back and say we don’t have unemployment. You have working poor,” Oyedele stated.

He linked the strain to stubborn food prices that are not falling as fast as headline inflation. Food inflation stood at 19.6 per cent in September. “Headline inflation is falling faster than the price of a basket of tomatoes, gari, and beans. And this widens inequality,” he said. “Macroeconomic stability means little to a mother who still cannot afford food.”

Oyedele also noted that Nigeria has no taxes on fuel, underlining that the pressure on household budgets stems from deeper structural problems rather than fuel levies.

He attributed persistent food inflation to low agricultural yields, seasonal production patterns, post-harvest losses, weak storage and logistics, high transport costs and insecurity in farming communities. Tomato losses of up to 60 per cent after harvest illustrated the scale of waste, he said.Government responses, according to the minister, include investment in agricultural technology, irrigation to enable year-round farming, improved storage facilities, rural roads and better security for farming areas. Access to finance for smallholder farmers and small businesses is also being expanded.

In the short term, the administration is providing direct support through a cash transfer programme that has reached more than 10 million households. Payments are made digitally and beneficiaries are verified with National Identification Numbers to reduce leakage.

Oyedele said policy is now prioritising agriculture and non-tradable services, which together employ 81.4 per cent of working Nigerians. The aim is to grow those sectors faster than the overall economy so that incomes rise and the need for cash transfers declines over time.The minister’s remarks highlighted the gap between improving macroeconomic indicators and the daily reality facing many families. While overall inflation has eased, the cost of basic food continues to outstrip earnings for a significant number of households, forcing difficult trade-offs and raising the risk of deeper indebtedness among the most vulnerable