In its Article IV statement, the IMF warned that Nigeria’s price caps on fuel and electricity might cost up to 3% of GDP in 2024. The fund stressed the importance of implementing a cash transfer program for vulnerable households before addressing fuel and electricity subsidies, crucial for the 8% of food-insecure Nigerians. Nigeria’s economy is projected to grow by 3.2%, facing several challenges, mainly inflation, currency depreciation, and policy tightening.