A stark new report set to be launched next week exposes the profound financial vulnerability at the heart of Nigeria’s economy, revealing that 42% of the nation’s informal sector workers lack the savings to survive for more than one month without income.
The findings, from the second edition of Nigeria’s Informal Economy Report by Moniepoint Microfinance Bank, highlight the precarious existence of millions of small business owners, traders, and artisans who form the backbone of the country’s employment landscape.
The official launch of the comprehensive study is scheduled for October 17, 2025, at the Abuja Continental Hotel. The event has garnered significant institutional support, with endorsements from the Federal Ministry of Industry, Trade and Investment and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).
A Nation Running on Informality
The report underscores the indispensable role of the informal sector, which accounts for over 80% of employment in Nigeria. For millions locked out of the formal job market, this sector serves as the primary bulwark against poverty, driving the majority of daily economic activity. However, this new data reveals the thin line these operators walk between sustenance and destitution.
“The Informal Economy Report is a robust and important study that examines the informal market more closely and curates fresh insights into its realities,” said Babatunde Olofin, Managing Director of Moniepoint Microfinance Bank, in a statement. “We believe its key outputs will serve ecosystem players and government well in policy direction and execution.”
Bridging the Data Gap for Policy and Inclusion
Designed as a critical tool for evidence-based decision-making, the report aims to shed light on the realities of a sector that has long been influential yet poorly understood in formal data sets. Its insights are expected to guide policymakers, regulators, and financial institutions in crafting targeted interventions to strengthen, formalize, and secure these vital enterprises.
The upcoming launch event is expected to draw a high-profile audience, including senior government officials, regulators, lawmakers, industry leaders, trade associations, academics, and civil society organizations. The agenda will feature keynote addresses, panel discussions, and detailed presentations of the report’s findings, with a collective focus on forging strategies for a more inclusive and sustainable economic future.
This second edition builds upon the success of the inaugural report, which was widely commended by government bodies, including the Federal Ministry of Industry, Trade and Investment and SMEDAN, as well as leading business associations for providing credible data and actionable recommendations.
The launch of the 2025 report marks a significant step in the ongoing effort to integrate the informal economy into the mainstream, ensuring that the engines of Nigeria’s daily livelihood are not left behind in the nation’s growth narrative.
