How Early Financial Education Can Shield Nigerian Kids From Inflation’s Worst Effects

Fadekemi Ajakaiye

As Nigeria’s inflation rate climbed to 34.80% in December 2024, financial experts are calling on parents to introduce money management concepts to children at increasingly younger ages, warning that delayed financial education could leave the next generation unprepared for economic realities.

According to an International Monetary Fund report, more than half of Nigerian adults have limited financial literacy and capability, particularly in financial planning, with about two-thirds of respondents showing low-to-medium ability to spend and manage risks prudently.

A 2023 Enhancing Financial Innovation and Access (EFInA) survey further reveals that 28.8 million adult Nigerians remain completely excluded from the financial system, underscoring the urgent need for foundational financial education that begins in childhood.
This urgency is reflected in everyday family expenses, with the cost of school uniforms, private lesson fees, and textbook costs continuing to climb.

Financial educators argue that children who witness these pressures without understanding the underlying economic principles develop anxiety around money rather than competence.

To address this challenge, child development specialists recommend introducing basic money concepts as early as age three, with investment and planning principles by age 10.

This approach represents a shift from traditional Nigerian parenting, where discussions about money were often considered inappropriate for children.

This shift in thinking has already sparked innovative responses from the private sector.

“The response from schools was overwhelming when we started sharing financial literacy resources. Many requested additional copies because children were so engaged with learning about money,” explains Mojisola Fagbohunlu, Head of Marketing at Sycamore Group, whose company has distributed educational comic books to schools and churches since 2024.

The comic series, “Ore and The Secret of Saving,” evolved from physical distribution to include digital downloads after schools requested additional copies.

Sycamore subsequently created physical activations, including a recent Children’s Day event at Ikeja City Mall that drew hundreds of families.
As pointed out by Nimi Akinkugbe, Founder of “Money Matters with Nimi,” in the past, Nigeria’s educational challenges have made early financial education particularly crucial.

“With financial literacy not yet embedded in our school curriculum, the onus is on parents, teachers and guardians to be proactive about introducing our children and youth to basic money skills as early as possible,” she said.

These insights reflect how the conversation around children’s financial education is shifting from academic discussion to practical necessity, particularly crucial given Nigeria’s evolving economic landscape.
As Nigeria approaches its target of reducing financial exclusion and works toward the long-term goal of increased formal inclusion, early financial education, such as that being advanced by Sycamore, represents both a social responsibility and an opportunity for economic inclusion.

The stakes could not be higher. With inflation eroding purchasing power and millions of adults still excluded from the financial system, Nigeria cannot afford another generation unprepared for economic realities.
Every child who learns to save today and who grasps the difference between wants and needs before adolescence represents a step toward breaking the cycle of financial exclusion that has trapped millions of Nigerian families.

The question for Nigerian parents and policymakers is no longer whether to discuss money with children, but how quickly and systematically they can integrate financial literacy into the fabric of childhood education.

In a country where economic pressures are mounting and financial inclusion remains elusive, teaching children about money is a national imperative that could determine whether the next generation thrives or merely survives.