Nigeria Inflation Rate Falls to 24.48% After Data Adjustment
2025-02-18 10:09
By
Luisa Carvalho
1 min. read
Nigeria's inflation rate dropped to 24.48% in January 2025, from December’s 34.80%, following the rebasing of the CPI index by the country's statistical office to more accurately reflect changes in consumption patterns.
The National Bureau of Statistics (NBS) clarified that the decline in the rebased inflation rate does not reflect a decrease in the general price level, attributing the drop to the new base year (2024) being closer to the current period.
Rebased food inflation, which constitutes more than 50% of Nigeria’s old inflation basket, was 26.08% year-on-year in January, down from 39.84% in December when the old methodology was applied.
Similarly, the rebased core index which excludes the prices of volatile agricultural produce and energy stood at 22.59% on year in January, down from 29.28% in the month before.
The broader trend shows that inflation has climbed sharply as a result of moves by President Bola Tinubu to end costly subsidies and devalue the local naira currency.