Literacy is useful at the individual level in inculcating humanistic etiquettes and manners. The human
benefits from literature are related to factors such as the improved self-esteem, empowerment,
creativity and critical reflection that participation in adult literacy programmes and the practice of
literacy may produce. Benefits human derive from literacy apart from ability to read and write or
numerate include improved health, increased political participation and so on. Nigeria is the most
populous nation in sub-Saharan Africa and has estimated population of 158.4 million. Understanding
the need for a literate society, the country has been involved with many activities aimed at providing
access to literacy. However, there is disparity in access to literacy between urban and rural
communities in Nigeria. The social and economic dimensions of providing education for the population,
within the context of prevailing national circumstances of dwindling financial and other resources in the
face of developments needs are heavy and investments in health, education and water supply have
been focused largely on the cities. Despite phenomenal growth of the formal educational systems and
the interest shown to non-formal education in the past decades, some members of the population are
still found to be non-literate in Nigeria. Statistics of the 2006 census summary also reflect that a high
percentage of rural dwellers including women do not have formal education. For the facts enumerated
above, this study discusses the socio-economic need of rural literacy in the face of challenges that
determined the rural people assessing educational opportunities. The paper also established the
relationship that exists between rural and urban communities and concludes that for sustainable
development of the rural communities, literacy must be able to attend to the livelihood and
improvement skills of the people in the rural areas.