More than half of Nigerians find it hard to save, as citizens spend 72 per cent of their monthly earnings on food and groceries, according to a new report by online saving and investment platform Piggyvest.

This is as respondents surveyed reported a nominal increase in income, reflecting a deepened cost-of-living crisis in Africa’s most populous economy.

“Fifty-three percent of Nigerians do not save. This represents a continued decline in the share of Nigerians who save, extending a three-year downward trend,” the report, which curated responses from over 26 thousand Nigerians, found.

Africa’s most populous nation has grappled with stubborn inflation following currency reforms and subsidy removals, with food prices rising faster than overall consumer inflation for much of the past year.

For millions of households, income growth has lagged price pressures, forcing a tilt toward basic consumption and away from discretionary spending or asset accumulation.

The erosion of savings weakens household resilience, limits participation in capital markets and constrains the pool of long-term domestic funds available for lending and investment in an economy seeking to grow its private-sector.

“When savings decline broadly, households become more fragile, the economy loses a critical source of domestic capital, and inequality widens, not just between rich and poor, but even within the same income brackets,” Odun Eweniyi, co-founder and COO of Piggyvest, said.

The report also found that three in 10 Nigerian adults earn less than N100,000 monthly, leaving more than 50 percent of them unsure each month that their income will cover their basic expenses.

More concerning is that just 5 percent of Nigerians surveyed reported earning N1 million and above, a recovery from 2 percent reported in 2024.

“Although nominal incomes rose in 2025, many Nigerians still reported feeling financially strained. This is because rising nominal income hasn’t kept pace with the actual cost of living.”

Across age brackets, the GenZs between the ages of roughly 14 and 29 years old are the most likely to report having no income or earning below N100,000 due to being in an early stage in the labour market and, for some, ongoing schooling or unstable employment, the report said.

“Millennials are more evenly distributed across income ranges, and Gen X and Boomers are the most likely generations to appear in the higher income categories.”

The report also found that three in five Nigerians spend less than N100,000 every month, excluding emergencies.