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Democracy flourishes where citizens are secure economically and civic freedoms are upheld; however, entrenched poverty and shrinking civic space continue to undermine democratic consolidation. This study examines the relationship between poverty, shrinking civic space, and democratic governance in Nigeria’s Fourth Republic (1999-2026). While Nigeria has sustained a democratic system for over two decades, persistent socioeconomic deprivation and institutional weaknesses have constrained citizen participation and curtailed civic freedoms, posing significant challenges to democratic consolidation. Structural Functionalist theory, which conceptualises poverty as a dysfunction within the socioeconomic subsystem that undermines the effective functioning of political and civic subsystems, was adopted as a framework. The study relied on secondary data sourced from government reports, books, newspapers and peer-reviewed journal articles published between 1999 and 2026. Data were analysed using the qualitative content analysis method. Findings indicate that poverty constrains political participation, increases citizens’ vulnerability to patronage and clientelism, and interacts with insecurity to restrict civic engagement. The study further finds that unequal access to information, education and digital resources limits citizens’ ability to exercise civic freedoms and hold public authorities accountable. These conditions collectively weaken institutional accountability and democratic responsiveness. The study concludes that poverty and shrinking civic space are mutually reinforcing constraints on democratic governance. It recommends strengthening socioeconomic inclusion and social protection, protecting civic freedoms, improving security, expanding access to information and digital resources, and enhancing institutional transparency and accountability to promote inclusive and sustainable democratic governance in Nigeria.