Nigeria’s inflation rate has decreased to 20.12% in August 2025, a 1.76% drop from the 21.88% recorded in July 2025, according to the National Bureau of Statistics (NBS). The month-on-month headline inflation rate stood at 0.74% in August, while the food inflation rate was 1.65% on a monthly basis.
Compared to the same period last year, the inflation rate has decreased by 12.03%, from 32.15% in August 2024. The NBS noted that the headline inflation rate has decreased on a year-on-year basis, despite having a different base year. The Consumer Price Index (CPI) rose to 126.8 in August, reflecting a 0.9-point increase from the preceding month.
The decrease in inflation rate is a positive development, but there are still concerns about the rising cost of living in Nigeria. The Federal Government has been urged to introduce measures to cushion the effect of the rising cost of living for Nigerians. Recently, the Director-General of the World Trade Organization (WTO), Ngozi Okonjo-Iweala, called on the government to put social safety nets in place for poor Nigerians affected by economic reforms.
Okonjo-Iweala commended the government’s efforts to stabilize the economy, stating that the President and his team have worked hard to achieve this goal. However, she emphasized the need for growth and social safety nets to support those affected by the reforms. The WTO boss noted that the next step is to grow the economy and provide support to those who are feeling the pinch of the reforms.
The decrease in inflation rate is a significant development, and the government’s efforts to stabilize the economy are noteworthy. However, the rising cost of living remains a concern, and the implementation of social safety nets is crucial to supporting those affected by economic reforms. As the government continues to work on growing the economy, it is essential to prioritize the needs of poor Nigerians and provide them with the necessary support to weather the hardship.
