Inequality and Regional Poverty in Nigeria: A Decomposition Analysis from Foster-Greer-Thorbecke Index

Abstract This study examined inequality and regional poverty in Nigeria using the Nigeria Living Standard Survey – NLSS (2019), and adopted decomposition analysis of the Foster-Greer-Thorbecke Index. It was therefore found by the study that in this regard, inequality and regional poverty is more in the Northern Nigeria with North West having the greatest head count ratio or poverty incidence, poverty gap or poverty intensity and poverty severity. This is followed by the North East, and North Central. Going southern part of the country, it was found by the study that inequality and regional poverty is more in South West, followed by South-South, and least in the South East. The study therefore recommends that there is urgent need for national policies geared towards reduction of poverty incidence in all the geopolitical regions of the country. This could come through employment creation, increased investment in infrastructure, increased development and support of informal sector businesses, among other social investments that could increase incomes through increased employment.