More than half of Nigerians enter each month unsure whether their income will cover basic expenses, underscoring mounting pressure on household finances, according to the PiggyVest Savings Report 2025.
The report shows that income levels remain low across a large share of the population. About 30 percent of Nigerians earn less than N100,000 monthly, making it the largest income band, while 28 percent report no income, up from 20 percent in 2023. Although 42 percent now earn above N100,000, including 5 percent earning N1 million or more, the gains at the upper end have not significantly improved overall financial stability.
Household spending remains concentrated on essential items, with food accounting for the largest share of expenses for 72 percent of respondents. Transport, housing, utilities and other basic services also take up a substantial portion of income, leaving little room for discretionary spending.
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Most respondents report monthly spending below N200,000, closely aligned with income levels. A smaller share spend above N500,000, while very few exceed N1 million in monthly expenses
The report added that family obligations continue to add to financial strain, as many Nigerians support extended relatives alongside personal expenses. The burden is more pronounced among certain groups, particularly those with higher family responsibilities.
The structure of income further limits resilience. A majority of Nigerians rely on a single source of income, reducing their ability to absorb economic shocks. While 40 percent of baby boomers report multiple income streams, this compares with 30 percent of millennials and 26 percent of Gen Z.
PiggyVest disclosed that as a result of this savings capacity has weakened sharply. The share of Nigerians saving monthly declined from 64 percent in 2023 to 40 percent in 2025, while those who do not save more than doubled to 53 percent. Among non-savers, 57 percent cite insufficient income as the primary constraint.
Only four in ten Nigerians have any form of emergency savings, leaving a majority without a financial buffer against unexpected events such as medical bills, job loss, or urgent repairs. Even among those with savings, most can cover only a limited period of expenses.
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The report links weak savings levels to broader economic conditions, including inflation, declining purchasing power and income volatility. As more income is directed toward basic needs, the capacity to set aside funds has narrowed, reinforcing financial vulnerability.
Borrowing remains limited and largely informal. About 82 percent of respondents report no outstanding debt, while those who borrow tend to rely on friends, family, and cooperatives. Loan sizes are typically small, with most borrowers taking less than N100,000, reflecting both constrained access to formal credit and cautious borrowing behaviour.