COVID-19 Pandemic and Financial Well-Being: Insights from Nigerian Households

Abstract

This study assesses the level of awareness of coronavirus disease 2019 (COVID-19) pandemic and the extent of the government’s preparedness in Nigeria. It examines the impact of COVID-19 pandemic on the income level of households in Nigeria, the prices of goods and services as well as financial resilience of households. This is done with a view to providing appropriate interventions for vulnerable households. The study employs survey methodology conducted in April 2020. The random survey sample was obtained through the use of questionnaires administered online. The population of this study is made up of all the households who are resident in Nigeria and must have stayed within the country at least since the past six months; this is to ensure that the members of the population stayed in Nigeria at least three months before the outbreak of the pandemic and periods during the pandemic. The survey results showed that income declined significantly for almost half of household participants. Although 41.7% of household participants have income for precautionary motive which is set aside in the advent of emergency, a significant majority indicated that such emergency funds decreased significantly during the lockdown. Majority of the respondents affirm that the crisis will likely have an adverse effect of the coronavirus pandemic on their financial and economic well-being.