Nigerians are increasingly postponing major purchases, including cars, homes and household appliances, as high living costs and elevated borrowing rates continue to constrain household finances, the Central Bank of Nigeria (CBN) has said.
The finding was contained in the latest CBN Household Expectations Survey, which showed that buying conditions for motor vehicles, consumer durables, buildings and landed property remained weak.
According to the survey, buying conditions stood at 28.7 points for motor vehicles, 28.9 points for consumer durables and 30.0 points for buildings and landed property.
The CBN said readings below the 50-point threshold indicated that consumers generally considered the prevailing conditions unfavourable for major purchases.
Consumers’ willingness to make such purchases was even weaker, with motor vehicles recording 18.7 points, buildings and landed property 19.2 points and consumer durables 24.4 points.
The outlook for major purchases also remained negative.
House purchases recorded an outlook index of minus 56.9, while cars and motor vehicles stood at minus 56.3.
Household appliances and other durable goods recorded minus 36.8, investment intentions stood at minus 35.7, while rent recorded minus 24.6.
The findings suggest that despite a recent moderation in inflation, households continue to prioritise essential expenditure, leaving limited disposable income for discretionary purchases and long-term investments.
“The Buying Conditions Index for major purchases remained below the 50.0 threshold throughout the review period, indicating that a majority of respondents considered the prevailing environment unfavorable for purchases of consumer durables, vehicles, and buildings or landed properties,” the report stated.
The CBN, however, said expectations across most spending categories could improve modestly over the next six months, although current consumer sentiment remained subdued.
The survey showed a modest easing in consumers’ perception of price pressures, with the Consumer Sentiment Index for average prices of selected items declining to 24.3 points in July from 28.9 points in June.
Despite the decline, households remained concerned about inflation and borrowing costs.
Consumer Outlook Index readings for expected price changes stood at 23.3 points over the next three months and 25.0 points over the next six months.
The survey further showed that 63.4 per cent of households believed the Nigerian economy would deteriorate if inflation accelerated beyond its current pace.
On lending rates, 35.6 per cent of respondents expected bank lending rates to increase over the next three months, while 57.2 per cent preferred interest rates to decline.
At the same time, 46.5 per cent of respondents acknowledged that higher interest rates could be necessary to contain inflation.
Food remained the biggest spending priority for households, followed by household goods, education, transportation, electricity and water.
The spending pattern indicates that households are continuing to prioritise necessities over discretionary purchases amid pressure on disposable income.
Nigeria’s headline inflation eased marginally to 15.91 per cent in June 2026 from 15.93 per cent in May, according to the National Bureau of Statistics (NBS).
