Nigeria’s Inflation Rate Rises to 24.23% in March 2025 Amid Rising Food Prices

By Abiola Olawale

Key Economic Indicator Shows Persistent Challenges

Nigeria’s headline inflation rate surged to 24.23% in March 2025, marking a significant increase from February’s 23.18%, according to the latest report from the National Bureau of Statistics (NBS). This 1.05 percentage point rise represents the first inflation increase since the NBS rebased the Consumer Price Index (CPI) earlier in the year.

Food Prices Drive Inflation Spike

The NBS report attributes the inflation surge primarily to escalating food and beverage prices, which continue to strain household budgets across the nation. The food inflation rate alone reached 21.79% year-on-year in March 2025.

“Looking at the movement, the March 2025 Headline inflation rate showed an increase of 1.05% compared to the February 2025 Headline inflation rate,” the NBS stated in its report.

Month-on-Month Comparison Reveals Accelerating Trend

The month-on-month inflation rate showed an even more dramatic increase, with March’s 3.90% figure representing a 1.85 percentage point jump from February’s 2.04%. This acceleration suggests worsening price pressures in the economy.

Sector-Specific Impacts

The NBS breakdown reveals significant contributions from various sectors:

• Food and non-alcoholic beverages: 9.28%
• Restaurants and accommodation services: 2.99%
• Transport: 2.47%
• Housing, water, electricity, gas, and other fuels: 1.95%
• Education services: 1.44%
• Health: 1.40%

Food Inflation Shows Concerning Trend

The month-on-month food inflation rate increased by 0.50 percentage points, rising from 1.67% in February to 2.18% in March 2025. This persistent upward movement in food prices continues to challenge Nigerian consumers.

For more details, read the original report.