Financial and economic experts have urged Nigerians, particularly low-income earners, to prioritise regulated and low-risk investment options as a way of protecting their income amid the country’s prevailing economic challenges.

They stated this in separate interviews in Ibadan on Friday.

An agricultural economist at the University of Ibadan, Oyo State, Prof. Wale Oni, said Nigerians must pay close attention to regulatory oversight when choosing investment vehicles to avoid falling victim to fraudulent schemes.

Mr Oni, who is also a member of the Nigerian Economic Society (NES), Oyo State branch, said investments monitored by the Securities and Exchange Commission (SEC) and the Central Bank of Nigeria (CBN) were generally safer.

He said, “Whatever investment you want to get into, the oversight responsibility of SEC and CBN is very important.”

Drawing from over two decades of personal investment experience, Mr Oni advised Nigerians to consider low-risk instruments such as treasury bills and money market funds, noting that such options currently offer returns of about 16 per cent on average.

According to him, money market investments allow flexibility, as investors can start with relatively small amounts and decide whether to receive interest quarterly or compound returns over time.

“The low-risk money market investments can be started with as little as ₦5,000 or ₦10,000, depending on the institution,” he said.

The don stated that investors should avoid high-risk options, especially in uncertain economic conditions.

Mr Oni also advised investors on the implications of recent tax regulations, explaining that withholding tax now applies either to upfront interest payments or at maturity.

He further highlighted government bonds, Sukuk and other fixed-income instruments as viable options, particularly for long-term investors and those seeking faith-compliant investments.

“For anybody who is just trying to build assets, low-risk investments should be the priority,” Mr Oni said.

Also speaking, a financial consultant, Tunji Adepeju, said there were several investment opportunities suitable for low-income earners, stressing the need for diversification.

Mr Adepeju said options such as stocks, mutual funds and government bonds remained relevant, though returns on some instruments might take time to materialise.

“Mutual funds are attractive because investors can withdraw either part or all of their funds at any time and still earn interest on the balance,” he said.

The financial consultant stated that average returns range between 14 and 15 per cent.

Mr Adepeju also identified real estate, agriculture and small-scale businesses as long-term investment opportunities, warning that such ventures require close monitoring to avoid losses.

“If you set up a business and you are not readily available, you may discover that those in charge are not acting in your interest,” he said.

Mr Adepeju also advised Nigerians to explore value addition in agriculture, noting that processing farm produce often yields higher returns than selling raw crops.

“At this point in time in Nigeria, it is advisable to have more than one source of income,” he said.

Meanwhile, a financial expert and treasury accountant, Pelumi Ukot, urged Nigerians to conduct due diligence before investing, especially in the current unstable economic climate.

Mrs Ukot said potential investors should follow business trends, demand financial records and monitor the performance of companies they intend to invest in.

“Ensuring good returns depends on the level and status of the business in question. Investors must constantly follow up and ask relevant questions,” she said.

Mrs Ukot also warned against unregulated schemes, stressing that funds lost to fraudsters were often difficult to recover.

“It is important to invest in a truly legitimate way to avoid falling prey to fraudsters,” the financial expert said.

 (NAN)