Nigeria Inflation rate has dropped to 18.02% in September down from 20.12 % in August according to the latest National Bureau of Statistics data.
NBS in its monthly inflation report said the Food inflation rate in September 2025 was -1.57%, down by 3.22% compared to August 2025 (1.65%).
It attributed the decrease to the drop in the average prices of Maize (Corn) Grains, Garri, Beans, Millet, Potatoes, Onions, Eggs, Tomatoes, Fresh Pepper etc.
It added that the average annual rate of food inflation for the twelve months ending September 2025 over the previous twelve-month average was 24.06%, which was 13.47% points lower compared with the average annual rate of change recorded in September 2024 (37.53%).
“The food inflation rate in September 2025 was 16.87% on a year-on-year basis. This was 20.9% points lower compared to the rate recorded in September 2024 (37.77%). The significant decline in the annual food inflation figure is technically due to the change in the base year.”
It went on to state that headline inflation rate eased to 18.02% relative to the August 2025 headline inflation rate of 20.12%.
“Looking at the movement, the September 2025 headline inflation rate showed a decrease of 2.1% compared to the August 2025 headline inflation rate. In addition, on a year-on-year basis, the headline inflation rate was 14.68% lower than the rate recorded in September 2024 (32.70%).”
“This shows that the headline inflation rate (year-on-year basis) decreased in September 2025 compared to the same month in the preceding year (i.e., September 2024), though with a different base year, November 2009.
However, on a month-on-month basis, the headline inflation rate in September 2025 was 0.72%, which was 0.02% lower than the rate recorded in August 2025 (0.74%). This means that in September 2025, the rate of increase in the average price level was lower than the rate of increase in the average price level in August 2025.”
Lukman Otunuga, Senior Research Analyst, FXTM, had forecasted that the biggest macro event for Nigeria will be September’s CPI report easing to 18.8% year-on-year from 20.1% in August.
“A combination of softer food prices and a strengthening naira may have tamed prices pressures. Further signs of cooling price pressures may pave the way for further rate cuts by the CBN in November to stimulate economic growth,” he had said.
