Nigeria simultaneously exists in two states: the country that it should be — abundant, vibrant, and youthful, and the Nigeria that is — one with inflation rapidly eating into your small savings, and where young people are harassed by the police for having a sense of style.

It’s only in Naija that being fashion-forward can get you arrested. God forbid someone dresses to impress!

Gosh.

Anyway, according to data from The Central Bank of Nigeria, inflation peaked in February 2024 at 32%, the highest it had been in decades. Now, it’s stabilised to a relatively more tame 23%—as of June 2025. This doesn’t mean things are more affordable; it just means things aren’t climbing in price as fast as last year.

This inflation is disrespectfully rocking everyone, and it’s even more dire because Nigerians do not earn that much to start with. In this study, only 14% of Nigerians earn ₦250k and above.

Now, if you approach Google and search for anything related to personal finances, approximately three billion results will appear (sarcasm), much like your mother when you’re trying to sneak out of home (not sarcasm), and in almost every single one, ‘budgeting’ will feature.

In theory, it’s an excellent idea; analysing and dissecting your monthly income into neat little plastic containers (like vegetable soup) to be frozen for later down the month, doesn’t that sound perfect?

Well, unfortunately for us in Nigeria, they (the power holding companies) take more electricity than they give, so your nicely portioned budget has melted into a soggy mess, and there’s hardly anything you can do but eat it all at once before it goes bad.

Or are we being a bit pessimistic?

Maybe there are some young Nigerians who have hacked this budgeting thing? What was that? You want us to find out for you? We’re amazing, interesting, witty and make the best articles? We should look for two young Nigerians and ask them about their spending habits to satisfy your curiosity?

Well, it’s a good thing we can read minds, because that’s exactly what we went and did.

Meet our ₦aira Navigators

Elijah: A 24-year-old living alone in Lagos, working a 9-5 as IT support staff, while freelancing as a digital designer, and earning between ₦230k to ₦500k monthly. We discussed the three most important things in his life (can you guess?), and how his money revolves around them, why he does not save, and how the lack of pickles in his home is a severe recession indicator.

Mubarak: A 21-year-old student living with his parents in Mowe, while working part-time as a software developer, and earning around ₦150k monthly. He talks about ‘trying’ to budget, how he might have a bright future as Father Christmas (he’s a big gifter), the first time he bought shoes for himself, and how he manages to balance his undying love for shawarma in T-Pain’s Nigeria.

Their Stories

The Sum Total

Once again, we are confronted with what we want Nigeria to be, and the reality that befalls us.

Elijah and Mubarak pull us back into the reality of many young Nigerians: budgeting is a nice idea, and it can be a fun thing to think about…

But is it realistic for the average Nigerian who earns less than 100k monthly — if she’s even fortunate enough to land a job?

Our hot take? 

Yes, budgeting is both possible and important at all stages of wealth. 

Money is liquid; it needs direction, or it will free-flow until there is nothing left. This structure is what will build the foundation for a life that you are in control of and feel secure in.

The notion that budgeting only works for the wealthy or those who make “enough” money enables a wider culture of instant gratification. Of course, nationwide poverty and high inflation are destabilising, but, in a roundabout way, they might now be the prompt young Nigerians need to spend less recklessly.

“You’d better buy it now, next week it will cost more.” 

Dearest, do you even need it now? The country is unstable, but must you follow suit?

Saving is another part of financial literacy that many young Nigerians neglect, so we’ll leave you with this: while investments build wealth, savings give you the leeway to manoeuvre in tight situations.

Saving money won’t make you rich, but it gives you something only rich people can afford: options.

Anyway, all we can do is try, which is why you’re getting The ₦aira Navigation Index fresh out of the oven.

So hot it might burn your tongue, but take it easy, dear. One step at a time.

The ₦aira Navigation Index