The National Bureau of Statistics (NBS) announced on Monday, November 17, that Nigeria’s headline inflation rate fell to 16.05 per cent in October 2025 from 18.02 per cent in September.
According to the NBS’s October Consumer Price Index (CPI) report, this marks the lowest annual inflation reading since 2017.
“In October 2025, the Headline inflation rate eased to 16.05 % relative to the September 2025 headline inflation rate of 18.02 %,” the agency stated.
The NBS further noted that on a year-on-year basis the figure is 17.82 percentage points lower than the 33.88 per cent recorded in October 2024.
Naijaonpoint reports that when compared with previous data, the easing trend is significant. In September, the inflation rate stood at 18.02 per cent, a decline from August’s 20.12 per cent.
By dropping to 16.05 per cent in October, the rate improved by approximately 1.97 percentage points month-on-month.
This consistent moderation gives policy-makers and households a glimmer of relief after inflationary pressures mounted in earlier months.
The NBS underscored that the decline stems from improved supply of goods, especially agricultural produce, and relative stability of the exchange rate, which have combined to soften price pressures.
These effects, along with the base-year changes in the CPI and tighter monetary policy, are said to be improving inflation dynamics.
While 16.05 per cent is the lowest level in over eight years, inflation remains far above the government’s target of single-digit rates. Rising costs in transport, energy, and housing continue to weigh on many households.
Economists caution that improved numbers must be matched with sustained policy discipline to ensure the gains stick.
Given the current trajectory, experts are watching closely to see whether inflation will continue to fall into 2026. The favourable base effect from 2024’s elevated inflation, together with harvest season supply boosts, may help.
However, risks such as supply disruptions, currency shocks, or energy cost rises could derail progress.
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