‘We Are Just Earning to Pay Rent’— Onitsha Traders Groan Under Tinubu’s Economic Reforms

Traders in the Onitsha Main Market say they are struggling to stay afloat following harsh economic policies introduced under President Bola Tinubu’s administration.

One of the traders, Tochukwu Alfred, explained that before May 2023, he could stock a minimum of 200 bags of rice regularly.

However, two years into the Tinubu administration, Alfred now stocks just 110 to 120 bags.

He told THE WHISTLER that he operates in a shared business space with an annual rent of N1.3m, where he sells food items including beverages and other non-perishables.

He said the business has shifted from profit-making to just survival.

“If you compare the situation with what you are selling, you will realise that we are just earning to pay for rent and expenses,” he lamented.

According to him, the cost of doing business has risen sharply while customers now buy far less than they used to.

“People sometimes reduce what they intend to buy because of the cost of living. Before now, people bought in large quantities, now people get half of it,” he said.

His story reflects a broader struggle among traders in Onitsha, many of whom are dealing with the ripple effects of national policies.

These policies include the removal of fuel subsidies, the unification of the naira exchange rate, and new tax regimes introduced under President Tinubu’s administration.

Tinubu had floated the naira in June 2023 shortly after assuming office. That move caused the naira to fall sharply from about N465/$ to N750/$ at the official exchange window.

While the government said the policy would close the gap between the official and black market exchange rates, critics argued it lacked fiscal stability and planning.

Also, the removal of fuel subsidies in August 2023, spiked inflation from 28.9 per cent by the end of 2023, to 34.8 per cent by December 2024.

Chuks Igwe, a phone and gadget dealer at the Emeka Ofor Plaza, said his business has never seen this level of inflation in over 20 years.

He said sales have dropped significantly, with customers now unable to afford basic gadgets.

“For the past two years, we have never witnessed the kind of inflation we are witnessing now and it has reduced the purchasing power of customers,” he told THE WHISTLER.

He noted that cheaper phones that used to cost N65,000 are now selling between N110,000 and N150,000.

Igwe, who has about 20 staff members to pay and loans to offset, said his business is barely surviving.

Traders who sell non-essential goods also said they are feeling the pinch. Ifeanyi Okugo, who sells men’s suits from China, described the current season as the “worst” for his business.

He said many days pass without any sale at all. “To eat is a problem, and it is worse for those of us selling suits. Is it not when someone eats that you will sell clothes?” he asked.

Okugo said things were better before the Tinubu administration, noting that with N4m, he could import enough goods. However now, the same amount brings in far fewer items.

He said a suit that used to cost N40,000 now sells for between N90,000 and N100,000.

“So, as a traditional Igbo man, if I used to drink three bottles of alcohol, I now drink one bottle to help meet my bills including shop rent, and family welfare. I have also cut down food to two square meals,” he added.

For older traders like Obagelli Nkem, who sells children’s footwear, the challenge is slightly different.

She said she is not an importer, but the importers now sell to wholesalers and retailers at nearly the same price.

“Some shoes we used to buy N3,000 and sell N4,000–N5,000 when you buy them now, they say it is N7,000,” she said.

She further noted that price hike makes it difficult to convince customers to buy.

“So, when you tell someone a pair of shoes is N10,000, they would not buy. Before you sell one, it would take time, some would even expire in your shop,” she said.

When THE WHISTLER met her at around 4 p.m., she had only made two sales the entire day.

“All I just do now is sell and eat. It is really affecting me because I know certain things I have been doing before. I cannot do them again,” she admitted.

Beyond federal policies, many traders also blamed the state government for worsening their situation. They said that under Governor Charles Soludo, tax rates have increased steeply.

A trader named Kingsley, who deals in face caps, said the tax he used to pay annually was N7,400. But under Soludo, he paid N17,400 in 2024 and was told that 2025 taxes could exceed N39,000.

“Soludo is using tax money to kill people in this town,” he told THE WHISTLER.

“We are asking him to reduce the amount of tax, it is too much. I know he is seeking money to develop the state, but it is not from the traders he would lay all the burden on,” he added.

Some traders acknowledged improvements made by the Soludo administration, including road projects and attempts to regularise tax collection and stop illegal levies by touts.

However, their primary demand remained a reduction in tax amounts.

The state government had set 2024 stallage fees at N30,000 for traders in government markets and N17,500 for those in private markets. This is a hike from 2023 rates of N12,200 and N7,400 respectively.

Okugo said the real problem is the multiple taxes, some of which traders barely understand.

“I do not even sell at the measure of tax they demand,” he said.

“The truth is that the various taxes they demand from us, both the ones I am aware of and not, you must pay, or else they would come to carry your goods, and you will still pay penalty fees,” he lamented.

He added, “The one I just paid last week is N12,000 (they said it is the local government and ANSIPPA), then you will pay the state. If they say you pay, you pay, otherwise you prepare for a penalty.”

Though ANSIPPA is not a tax agency, many traders like Okugo do not understand the roles of different government bodies.

The Anambra State Internal Revenue Service (AIRS) is the one in charge of collecting official fees, including stallage and sanitation levies.

This confusion, traders said, makes it hard to track how their money is used or to demand accountability.

Meanwhile, the state’s Internally Generated Revenue (IGR) has risen.

Under Governor Soludo, monthly IGR increased from N1.5bn in Q2 2023 to around N5bn by Q4 2024.

By Q1 2025, it averaged about N4.9bn monthly, totaling N14.8bn.

Still, traders insist that while the state is collecting more, they are earning less.

They called on both the federal and state governments to review economic policies that are making it harder for small businesses to survive.

“We really need support,” Igwe, the gadget dealer said.

“And that the people at the helm of the affair take necessary decisions economically to change things so that the people can have money to purchase what they want to and have a better life,” he added.

‘We Are Just Earning to Pay Rent’— Onitsha Traders Groan Under Tinubu’s Economic Reforms is first published on The Whistler Newspaper