Nigeria’s inflation rate declined to 22.97% in May 2025, down from 23.71% in April, marking the second consecutive monthly drop, according to the latest Consumer Price Index (CPI) report released by the National Bureau of Statistics (NBS).
The decline is attributed to stability in the foreign exchange market, reduced energy costs, and improved agricultural output. Food inflation slightly eased to 21.14%, while core inflation excluding volatile items—fell significantly to 22.28% from 23.39% in April.
In response, Minister of Finance Wale Edun and CBN Governor Olayemi Cardoso met at the Central Bank headquarters to strengthen coordination between fiscal and monetary policies. Their discussions focused on consolidating price stability and ensuring macroeconomic reforms deliver real economic benefits.
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The month-on-month inflation rate also slowed to 1.53%, down from 1.86% in April, reflecting a moderation in the pace of price increases.
Major contributors to headline inflation were food and non-alcoholic beverages (9.20%), restaurants and accommodation services (2.97%), and transport (2.45%).
Experts say the downward trend is encouraging but stress the need for sustained policy alignment to anchor inflation expectations and drive inclusive growth.
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