Nigeria Inflation Rate Hits 2020-Lows

The annual inflation rate in Nigeria fell further to 14.63% in September 2026 from 15.39% in August, reaching the lowest level since October 2020. This marked the fourth consecutive month of slowing price growth, helped by the relative stability of the naira currency. Prices slowed down for several categories, including education (9.77% vs 10.72%); health (10.95% vs 12.80%); recreation & culture (3.98% vs 4.59%); furnishings & household equipent (3.62% vs 7.66%) and housing & utilities (15.98% vs 16.94%). However, food inflation remained stubbornly high at 19.59%, little changed from 19.57% in August. Prices also rose faster for restaurants & hotels (19.38% vs 18.57%); tarnsportation (12.63% vs 12%) and miscellaenous goods & services (13.54% vs 12.66%). Meanwhile, the core inflation rate also moderated for the fourth month to the lowest since January 2021 at 12.95%, down from August's 13.29%. On a monthly basis, the CPI rose by 0.06%, after a 0.71% increase in the prior month.

The annual inflation rate in Nigeria eased slightly to 15.39% in August 2026 from 15.43% in July, marking the lowest since March and the third straight month of slowdown. The relative strength of the naira provided support. Food inflation, the largest component of the inflation basket, fell to 19.57% from 20.31% in July, marking the first monthly decline in seven months. Price growth also softened for other CPI items, particularly transportation (12% vs 15.5% in July); restaurants & hotels (18.6% vs 21.8%); miscellaneous goods & services (12.7% vs 15.6%) and clothing & footwear (1.9% vs 4%). Conversely, prices picked up for housing & utilities (16.9% vs 12.6%). Meanwhile, the core inflation rate, which strips out the volatile prices of agricultural produce and energy, also moderated for the third month to the lowest since March 2021 at 13.29%, down from July's 14.97%. On a monthly basis, the CPI rose by 0.71% in August, the least in seven months, after a 1.57% increase 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.