By Dickson Pat
Nigerians have seen over 70% surge in food expenses while transport expenses have surged more than 40% due to the country’s rising inflation, according to report.
This was contained in the 2024 Piggyvest Savings report which surveyed over 10,000 Nigerians across diverse age groups, gender and income levels.
According to the report, 87% of Nigerians observed that the national inflation rate went from 25.08% in 2023 to 32.15% in 2024.
The firm said, “Nigerians have become more acclimatised to rising expenses due to incessant inflation.
“These pressures are particularly challenging for those in lower income brackets, who must contend with reduced purchasing power and the added weight of high living costs”.
The report revealed that nearly nine in 10 Nigerians noticed an increase in their general expenses in the past year.
A breakdown showed that their expenses on food and groceries rose by 76 per cent while expenses on transport rose by 42%.
According to the report, expenses on utility rose by 35% while clothing and upkeep rose by 30%.
Expenses on childcare rose 27% while housing and rent followed by 21%.
Melody who is a student based in Abakiliki, lamented, “My expenses have gone up transportation, feeding, even the cost of textbooks in school so it’s affecting me, and sometimes I’m really running out of cash”.
The report revealed that the income of most Nigerians has been eroded.
It said more than 6 in 10 Nigerians don’t have emergency funds, which allows them to take care of emergencies without incurring debt. According to the findings, 44 per cent of Nigerians no longer have emergency savings.
Over four in 10 Nigerians in debt are indebted to their family and friends. Specifically, of every 100 Nigerians in debt, 45 are indebted to a friend or family member.
“Borrowing from friends and family is a sign of the resourcefulness of Nigerians and the strong community bonds and high trust within these communities. Still, it does not have the same impact as institutionalised credit facilities.
“This form of borrowing also makes it difficult to transmit monetary policy successfully”, Head of Insights, Stears Inc. Fadekemi Abiry said.
