Inflation Drops 0.52 % to 23.71% in April in Latest NBS Consumer Index Report
The National Bureau of Statistics (NBS) has released its latest Consumer Price Index (CPI) report, revealing a decline in Nigeria’s headline inflation rate to 23.71% in April 2025.
This represents a 0.52 percentage point decrease from the 24.23% recorded in March, offering a modest respite to consumers who have been grappling with rising cost-of-living pressures.
According to the NBS report, the decline in inflation can be attributed to a reduction in the prices of staple food items, including maize flour, wheat grain, dried okro, yam flour, soya beans, rice, bambara beans, and brown beans.
The food inflation index, which measures the rate of change in food prices, dropped by 0.53 percentage points to 21.26% in April from 21.79% in March.
The report also noted that the Consumer Price Index (CPI) rose to 119.52 in April 2025, reflecting a 2.18-point increase from the preceding month. On a year-on-year basis, the headline inflation rate was 9.99% lower than the rate recorded in April 2024 (33.69%).
This indicates a significant decrease compared to the same month in the preceding year, although the base year used for calculations has changed to November 2009 = 100.
The food inflation rate on a year-on-year basis stood at 21.26% in April 2025, marking a 19.27 percentage point reduction compared to 40.53% in April 2024.
The NBS attributed this sharp decline to the change in the base year used for calculations. On a month-on-month basis, food inflation was recorded at 2.06% in April 2025, a slight drop of 0.12% from 2.18% in March 2025.
The decline in inflation is expected to have a positive impact on consumer spending and economic growth. With prices of staple food items decreasing, consumers are likely to have more disposable income to spend on other goods and services, which could boost economic activity.
The NBS report has provided a glimmer of hope for consumers and businesses in Nigeria, who have been struggling with the effects of high inflation.
As the economy continues to evolve, it remains to be seen whether the decline in inflation will be sustained, and what impact it will have on the overall economic landscape.
