Nigeria’s headline inflation rate has fallen sharply to 24.48% year-on-year in January 2025, marking a significant drop from the 34.80% recorded in December 2024.
This development was announced by the National Bureau of Statistics (NBS), with Statistician-General Adeyemi Adeniran confirming the figures during a press briefing in Abuja on Tuesday.
According to Adeniran, the Consumer Price Index (CPI)—which tracks the rate of price changes in goods and services—declined significantly following a recent rebasing of the inflation measurement template.
“Urban inflation is currently at 26.09%, while rural inflation stands at 22.15%,” Adeniran disclosed, emphasizing that the rebased CPI now aligns with global best practices for assessing inflation trends.
CPI Rebasing and Its Impact on Inflation Data
CPI rebasing involves updating the reference year used to measure inflation, ensuring that the goods and services in the calculation reflect current consumer spending patterns.
According to the latest NBS report, the rebased food inflation rate for January 2025 was 26.08% year-on-year, a considerable reduction from the 39.84% recorded in December 2024. Additionally, the core inflation index, which excludes volatile agricultural and energy prices, was pegged at 22.59% during the period under review.
“The rebased CPI provides a more accurate picture of inflationary trends, reflecting the true cost of living and consumption behaviors in Nigeria,” the NBS noted in its report.
CBN’s Commitment to Curbing Inflation
Meanwhile, Yemi Cardoso, Governor of the Central Bank of Nigeria (CBN), has reiterated the apex bank’s commitment to stabilizing inflation and strengthening economic resilience.
“Tackling inflation amid persistent economic shocks requires sound policies and synergy between monetary and fiscal authorities to sustain investor confidence and economic stability,” Cardoso stated at the Monetary Policy Forum 2025 in Abuja.
He further emphasized that the CBN’s strategic focus includes transitioning to an inflation-targeting framework, restoring purchasing power, and implementing measures to ease economic hardship.
