Nigeria’s inflation rate increased to 23.1% in February 2025, driven by rising transport and food costs. This follows a January inflation rate of 24.48% after rebasing. Analysts express skepticism towards achieving the targeted 15% inflation rate in 2025, emphasizing ongoing adjustments in the economy and measures by the Central Bank of Nigeria to stabilize the naira.
In February 2025, Nigeria’s headline inflation rose to 23.1%, primarily driven by increased transport costs due to heightened gasoline prices and elevated consumer spending, according to data from the National Bureau of Statistics (NBS). This figure marks an increase from the previously reported 24.48% in January following recent rebasing efforts. The NBS noted that food inflation specifically reached 23.51% as households faced higher costs across food, transportation, and energy sectors.
Analyst Samuel Onyekanmi from Norrenberger projected a slight rise in inflation influenced by seasonal buying trends associated with festivals. He also highlighted that achieving the targeted 15% inflation rate in 2025 seems unlikely, although there may be potential in subsequent years if 2025 proves to be a test for economic stability.
In response to ongoing price shocks since President Tinubu took office, the Central Bank of Nigeria (CBN) has undertaken various measures to stabilize the foreign exchange market, resulting in a recent strengthening of the naira. Despite these efforts, the Nigerian economy is still adjusting to significant price changes, as reflected in the latest inflation data.
The latest inflation data from Nigeria indicates a persistent upward trend, with February’s rate reaching 23.1%. Factors such as increased transportation costs and elevated food prices contribute significantly to these figures. Analysts suggest that while the targeted inflation rate of 15% may be challenging to achieve by 2025, there are hopes for future stability as the economy continues to adapt to recent changes.
Original Source: thecondia.com
