Nigeria’s headline inflation rate eased to 14.45 per cent in November 2025, according to the latest Consumer Price Index report released by the National Bureau of Statistics (NBS). The figure marks the eighth consecutive month of slowing inflation, falling from 16.05 per cent in October 2025, as price pressures moderated in the economy.
The trend followed a revision of the base year used in the inflation calculation and adjustments to the weighting of items in the price index. Analysts said the decline offers some relief to households and businesses after a prolonged period of high living costs.
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The NBS report showed that the Consumer Price Index rose to 130.5 points in November 2025, up from 128.9 in October, but the year‑on‑year inflation rate decreased by 1.6 percentage points. On a month‑on‑month basis, the index indicated a small rise in average prices, suggesting that while inflation is easing overall, everyday costs continue to increase for many Nigerians. The slowdown in food inflation contributed to the reduction, with food prices rising at a slower pace than in previous months.
Impact on households and spending power
Economists said the sustained disinflation trend has provided a sense of relief to many households that have been grappling with high costs of goods and services. After inflation peaked near 35 per cent in late 2024, the prolonged easing has helped ease pressure on household budgets, particularly for essential items. Business owners and families told reporters that lower inflation has made it easier to plan spending and maintain some purchasing power.
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However, analysts cautioned that the falling headline rate does not signal the end of cost-of-living challenges. Some sectors of the economy continue to face price volatility, and the month‑on‑month rise in the Consumer Price Index indicates that prices have not stabilised fully. Economists warned that external factors, including exchange‑rate fluctuations and supply chain disruptions, could still affect price levels in the coming months.
Policy response and outlook
The Central Bank of Nigeria (CBN) has maintained its key monetary policy rate in recent policy meetings, emphasising the need to balance inflation control with broader economic stability. Policymakers said they are monitoring price movements closely to determine the appropriate policy stance as the economy moves into 2026. Some economists called for continued fiscal support and structural reforms to complement monetary policy efforts, arguing that lowering inflation further could help attract investment and support business growth.
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Despite the positive trend, experts urged caution on expectations for rapid improvement in living standards. They said that while headline inflation has eased, many Nigerians still face challenges with affordability and disposable income, especially for food and transport costs. The NBS data showed that inflation remains above the government’s target range, and sustained policy support will be needed to maintain and deepen the disinflation trend.
