The National Bureau of Statistics (NBS) has reported a further deceleration in Nigeria’s inflation rate, with the Headline Inflation at 22.97% in May 2025, which marks a decline from April’s rate of 23.71%, and a significant drop of 10.98% points year-on-year (YoY) from the 33.95% recorded in May 2024.
The CPI increased to 121.35 in May 2025, with a monthly gain of 1.83%. On a month-on-month (MoM) basis, the inflation rate eased to 1.53%, down from 1.86% in April, signalling a slower rise in the average price level.
Food inflation, a major driver of overall inflation, also moderated. Year-on-year, it fell to 21.14% in May 2025 from 40.66% in the same period last year, an improvement of 19.52 percentage points. The twelve-month average food inflation rate was 29.80%, compared to 34.06% in May 2024.
Core inflation, which strips out food and energy prices, stood at 22.28% in May 2025, down 4.76% from the 27.04% recorded in May 2024.
The average CPI for the twelve-month period ending May 2025 rose by 27.55%, reflecting a 1.51% decrease from the 29.06% recorded in the same period of the previous year.
Analysts view the decline as a sign of improving price stability, though concerns remain around food supply chains and exchange rate volatility.
