Nigeria Inflation Rate Slows to 4-Month Low in July

Nigeria’s annual inflation rate eased for the second month to 15.43% in July 2026, the lowest since March, compared to June's 15.91%. The continued relative stability in the naira helped to contain inflationary pressures. Price growth softened for some CPI items, including transportation (15.5% vs 15.6%); miscellaneous goods & services (15.6% vs 17.3%); restaurants & hotels (21.8% vs 23.6%) and clothing & footwear (4% vs 6.4%). However, food inflation, the largest component of the inflation basket, accelerated for the sixth month to 20.31% from 17.52% in June. Higher prices were also seen for housing & utilities (12.6% vs 11.2%). Meanwhile, the core inflation rate, which strips out the volatile prices of agricultural produce and energy, also moderated for the second month to the lowest since May 2022 at 14.97%, down from June's 15.92%. On a monthly basis, the CPI rose by 1.57% in July, after a 1.66% increase in the previous month.

The annual inflation rate in Nigeria was little changed at 15.91% in June 2026, compared to May's six-month high of 15.93%, helped by the relative stability of the naira, despite strong inflationary pressures linked to the Middle East conflict. Food inflation, the largest component of the inflation basket, quickened for the fifth month to 17.52% from 16.96% in May. Prices also advanced faster for housing & utilities (11.19% vs 9.79%). Meanwhile, prices slowed a bit for some items, including transportation (15.62% vs 17.09% in May); clothing & footwear (6.39% vs 6.79%); miscellaneous goods & services (17.31% vs 17.78%); restaurants & hotels (23.63% vs 24.04%)and alcoholic beverages & tobacco (2.94% vs 3.89%). The core inflation rate, which strips out the volatile prices of agricultural produce and energy, eased to 15.92% from a four-month high of 16.82% in May. On a monthly basis, the CPI rose by 1.66% in June, the least in five months, after a 1.75% advance in May.

The annual inflation rate in Nigeria rose for a third straight month to 15.93% in May 2026, marking the highest since last November, from 15.69% in the previous month. Food inflation, the largest component of the inflation basket, accelerated for the fourth month to 17.8% from 16.6% in April, alongside transport costs, up 17.1% from 16%, partly driven by the continued pass-through of the March fuel price shock linked to the Middle East conflict. Prices also continued to increase for health (18.7% vs 18.9%), restaurants and accommodation services (24% vs 27.9%), and personal care, social protection and miscellaneous goods and services (17.8% vs 18.5%). In contrast, inflation notably softened for information and communication (7.4% vs 8.4%). Meanwhile, the core inflation rate, which strips out the volatile prices of agricultural produce and energy, rose to 16.82% from 15.86% in the month before. On a monthly basis, the CPI went up by 1.75% in May, easing from a 2.13% gain in April.