FINANCIAL LITERACY AND SAVING HABIT OF THE VULNERABLE IN NIGERIA: POST-PANDEMIC EXPERIENCE

Abstract

One set of people who suffered more during the coronavirus pandemic in Nigeria was the poor and vulnerable. This is because the lockdown introduced by the government hindered the flow of their daily income. The motivation for the study is that despite the N-power introduced by the government to alleviate poverty through payment of the stipulated sum to the poor and vulnerable, these people were also the hardest hit during COVID-19. Hence, an urgent need to find out if the financial literacy they have acquired post-COVID has improved their savings attitude. A survey research design was employed. The data was obtained through a 5-point regulated questionnaire that was distributed to 2500 vulnerable people across Nigeria, out of which 204 were returned. The dependent variable, saving habit, was measured by the ability to pay bills on time and the ability to respond to urgent financial needs. Predictor variable financial literacy was measured as a construct of financial knowledge, financial attitude, and financial behaviour. Evidence obtained after the test of the hypothesis disclosed the presence of affirmative and substantial effects amid financial literacy and savings habits of the vulnerable in Nigeria in the post-COVID period. This implies that the vulnerable have learned to save and plan for unforeseen circumstances.