Three in five Nigerians earn below N100,000 monthly or have no income, according to the 2025 savings report by Piggyvest.
The report, seen on Wednesday, highlights growing income pressures as rising living costs continue to strain households across the country.
Piggyvest said nearly 60 percent of Nigerians either have no income or fall within the lowest income brackets, while only six percent feel secure and confident about their financial situation.
“On paper, the economy is stabilising… On the ground, however, the strain hasn’t let up,” the report stated.
“Across income, savings, spending, debt, and financial satisfaction, a consistent pattern emerges: Nigerians are adapting with resilience, but within increasingly narrow margins.
“In 2025, nearly 3 in 5 Nigerians report either having no monthly income or earning below N100,000 monthly, after a significant decline in 2024.”
The report noted that although earnings have increased in nominal terms, this has not translated into improved purchasing power due to inflation.
Commenting on the findings, Odun Eweniyi, co-founder and chief operating officer of Piggyvest, said the rise in earnings does not reflect real financial improvement.
“While nominal earnings have increased, the naira has lost a lot of its value in the last two years. Inflation peaked above 33 percent in 2024. So people are earning more and affording less,” she said.
Piggyvest also revealed that income distribution remains uneven, with younger Nigerians, particularly Gen Z, more likely to earn below N100,000 or have no income, while higher earnings are concentrated among older demographics.
The report further highlighted gender disparities, noting that women are more likely to fall within lower income bands.
A financial analyst, Dsione Oseni-Elamah, warned that wage inequality could have broader economic implications.
“If formal structures continue to undervalue female labour, women will remain relegated to domestic or informal roles where skills are underutilised. This results in massive human capital loss and overall economic inefficiency,” she said.
The fintech added that most Nigerians rely on a single source of income, leaving households vulnerable to economic shocks.
“Roughly two-thirds of Nigerians rely on a single income source,” the report said.
“Many who depend on a single income describe feeling squeezed by rising prices and increasingly unstable living costs.”
On spending patterns, the report identified food and groceries as the biggest expense for most Nigerians, followed by transportation, housing, and utilities.
It also noted that more than half of income earners support extended family members, a trend often described as “black tax”.
“Family responsibility continues to be a defining feature of the financial landscape,” the report added.
The report further showed that savings culture is weakening, with about half of Nigerians not saving at all, while only four in 10 have emergency funds.
Eweniyi attributed the trend to deepening economic pressure.
“What we’re seeing at scale is that even people with the discipline and intent to save are being forced to redirect those funds toward the basics,” she said.
“These aren’t discretionary expenses you can cut.”
Among those who save, the report said the primary goal is building emergency funds, reflecting widespread financial uncertainty.
On debt, Piggyvest said about one in five Nigerians is currently in debt, with borrowing largely driven by necessity rather than consumption.
Damilola Arogundade, treasury and investments lead at the firm, said financial decisions are often shaped by immediate needs.
“For many Nigerians, financial decisions are driven by immediacy rather than long-term planning,” he said, noting that this results in “rational short-termism”.
The report also found that most borrowers rely on informal sources such as friends and family, indicating limited access to formal credit.
Joshua Chibueze, co-founder of Piggyvest, said borrowing is often triggered by timing gaps between income and expenses.
“Income tends to come slowly and in small portions, but major expenses arrive all at once,” he said.
“When rent becomes due, when a business needs urgent capital, many Nigerians turn to borrowing not out of choice, but because there’s simply no room to wait.”
Despite the challenges, the report noted that Nigerians continue to show resilience by adopting coping strategies such as budgeting, side hustles, and reliance on informal support systems.
However, it warned that financial satisfaction remains low, with more than half of Nigerians uncertain whether their income will cover basic needs each month.
“Financial satisfaction emerges not only from income, but also from stability, predictability, and the ability to absorb shocks,” the report said.
“Most respondents are navigating a persistent tension between doing their best within tight margins and feeling uncertain about the future.”
Piggyvest added that improving financial resilience would require not only economic reforms but also systems that support savings and stability, stressing that “financial progress is not measured only by numbers, but by confidence.”
