BREAKING: Nigeria’s Inflation Rate Drops to 22.97%

Nigeria’s inflation rate has dropped further in May 2025, settling at 22.97%, the National Bureau of Statistics (NBS) announced Monday.

The figure represents a drop from the 23.71% recorded in April.

Food inflation, a major driver of the consumer price index, also edged lower to 21.14% in May, from 21.16% in the previous month. The NBS attributed the decline primarily to base-year effects stemming from its updated inflation calculation methodology.

However, on a month-on-month basis, food inflation rose slightly to 2.19%, compared to 2.06% in April. This uptick was driven by slower declines in the prices of essential staples such as yam, cassava tuber, maize, flour, and sweet potatoes.

The average annual rate of food inflation for the 12 months ending May 2025 was 29.80%—4.26 percentage points lower than the 34.06% recorded in the comparable period of the previous year.

The headline inflation rate on a month-on-month basis came in at 1.53%, a drop from the 1.86% seen in April 2025. This indicates a deceleration in the rate of price increases between April and May. The 12-month average inflation rate ending in May stood at 27.55%, reflecting a 1.51 percentage point decrease from May 2024’s 29.06%.

Urban areas recorded an inflation rate of 23.14%—a drop of 13.20 percentage points compared to 36.34% in May 2024. On a month-to-month basis, urban inflation climbed to 1.40% in May, from 1.18% in April. The 12-month average urban inflation rate fell to 29.30%, down from 31.07% a year earlier.

In rural areas, inflation was recorded at 22.70% in May 2025, down 9.12 percentage points from 31.82% in May 2024. Rural inflation on a monthly basis declined significantly to 1.83% in May, from 3.56% in April. The 12-month average rural inflation stood at 25.56%, compared to 27.27% in May 2024.

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