Nearly 60% of Nigerians earn below N100,000 or have no income — Report

About three in five Nigerians earn less than N100,000 monthly or have no income at all, according to the Piggyvest Savings Report 2025.

The finding highlights growing income pressures as rising living costs continue to strain households.

In the report, obtained by TheCable on Wednesday, Piggyvest stated that nearly 60 percent of Nigerians either have no income or fall within the lowest income brackets.

The fintech company added that only 6 percent of Nigerians feel secure and confident about their financial situation, pointing to a widening disconnect between economic reforms and everyday realities.

“On paper, the economy is stabilising… On the ground, however, the strain hasn’t let up,” the report said.

“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 while incomes may have increased nominally, purchasing power has not improved due to persistent inflation.

Speaking on the findings, Odun Eweniyi, co-founder and chief operating officer (COO) of Piggyvest, explained that higher earnings do not necessarily translate to better financial wellbeing.

“While nominal earnings have increased, the naira has lost a lot of its value in the last two years. Inflation peaked above 33% in 2024. So people are earning more and affording less,” she said.

The report also highlighted disparities in income distribution, noting that younger Nigerians, especially Gen Z, are more likely to earn below N100,000 or have no income, while higher earnings are concentrated among older age groups.

Gender inequality was also evident, with women more likely to fall into lower income brackets.

Dsione Oseni-Elamah, a financial analyst cited in the report, warned of the broader economic consequences of wage inequality.

“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 report further revealed that most Nigerians rely on a single source of income, making households more vulnerable to financial shocks.

“Roughly two-thirds of Nigerians rely on a single income source,” Piggyvest stated.

“Many who depend on a single income describe feeling squeezed by rising prices and increasingly unstable living costs.”

In terms of spending, food and groceries account for the largest share of expenses, followed by transportation, housing, and utilities.

More than half of income earners also support extended family members — a trend commonly referred to as “black tax”.

“Family responsibility continues to be a defining feature of the financial landscape,” the report noted.

“Savings culture also appears to be weakening, with about one in two Nigerians not saving at all, while only four in 10 have emergency funds.”

Eweniyi said this trend reflects deeper economic strain.

“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 manage to save, the primary goal is building emergency funds, reflecting widespread financial uncertainty.

On borrowing, the report found that although only about one in five Nigerians is currently in debt, most borrowing is driven by necessity rather than consumption.

Damilola Arogundade, treasury and investments lead at Piggyvest, 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.

This leads to what he described as “rational short-termism”, where essential needs take priority over savings and investments.

The report also found that most borrowers rely on informal sources such as friends and family, due to limited access to formal credit.

Joshua Chibueze, co-founder of Piggyvest, explained that borrowing often arises from 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 these financial challenges, the report noted that Nigerians continue to show resilience through budgeting, side hustles, and informal support systems.

However, overall financial satisfaction remains low, with more than half of Nigerians uncertain each month about meeting basic needs.

“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.”

The report concluded that while Nigerians are adjusting their spending and seeking financial buffers, real progress will require systems that promote savings and stability.

“Financial progress is not measured only by numbers, but by confidence”.