Halimoh-cpu/An-Analysis-of-Inflation-on-the-Purchasing-Power-and-Savings-Behaviour-of-Nigerian-Salary-Earners

Final Data Analysis Project — Seeding Africa Data Analysis Scholarship Institution: FEMTECH Information Technology Institute Researcher: Olatunji, Halimoh Temidayo Date: June 2026 # An-Analysis-of-Inflation-on-the-Purchasing-Power-and-Savings-Behaviour-of-Nigerian-Salary-Earners ## Final Data Analysis Project: Seeding Africa Data Analysis Scholarship Institution: ## FEMTECH Information Technology Institute Researcher: ## Olatunji, Halimoh Temidayo ## Date: June 2026 # Research Objectives # Objective ### 1 Assess the current purchasing power of Nigerian salary earners and how inflation has affected their ability to meet basic financial needs ### 2 Identify the specific expenditure categories most severely impacted by inflation ### 3 Examine the extent to which inflation has reduced savings capacity and altered financial planning behaviour ### 4 Determine whether inflation impact differs significantly by income level, gender, and employment sector ### 5 Evaluate financial coping strategies currently adopted and recommend the most effective approaches # Research Questions ### To what extent has inflation reduced the purchasing power of Nigerian salary earners? ### Which expenditure categories have been most severely affected by inflation? ### How has inflation reduced the savings capacity and altered the financial planning behaviour of salary earners? ### Does the impact of inflation differ significantly by income level, gender, and employment sector? ### Which financial coping strategies are currently being adopted and how effective are they? # Key Findings at a Glance ### Purchasing Power Decline Rate 49.7%, Nearly 1 in 2 salary earners affected. ### Spending 70%+ of Salary on Essentials 70.86%, Virtually nothing left for savings. ### Debt Rate 40.5%, Borrowing to cover basic expenses. ### Stopped or Reduced Saving 57.28% Savings crisis confirmed. ### Completely Stopped Saving 27.1%, Nothing left at month end. ### Depleted Savings Completely 39.32%, Largest single debt status group. ### Genuinely Financially Stable 20.16%, Only 1 in 5 respondents. ### Most Affected Expenditure, Food & Groceries, 3.8/5, Second Most Affected Transportation …