Nigeria’s Inflation Rate Eases to 22.22% in June 2025 Amid Food Price Adjustments

The National Bureau of Statistics (NBS) has reported a decline in Nigeria’s headline inflation rate to 22.22% in June 2025, down from 22.97% in May 2025. The bureau attributed this drop primarily to a reduction in food inflation. The month-on-month headline inflation rate, however, rose slightly to 1.68% in June, compared to 1.53% in May, indicating a higher rate of increase in price levels despite the overall year-on-year decrease.

On a year-on-year basis, the headline inflation rate for June 2025 was significantly lower by 11.97 percentage points than the 34.19% recorded in June 2024. This drop reflects an easing of inflationary pressures compared to the same period last year. NBS noted that the difference in base year calculations contributed to the observed changes, with November 2009 serving as the benchmark.

Food inflation, a major driver of headline inflation, fell to 21.97% in June 2025 from a staggering 40.87% in June 2024. This marked a sharp 18.90 percentage point drop. However, the month-on-month food inflation rose to 3.25% in June from 2.19% in May, driven by the rising prices of staples like tomatoes, crayfish, ground pepper, and plantain flour.

Core inflation—which excludes food and energy—was reported at 22.76% in June 2025, down from 27.4% in June 2024. This indicates a broader easing of inflation outside volatile sectors. Yet, the month-on-month core inflation rose to 2.46% from 1.10% in May, hinting at underlying price pressures in other sectors.

The average twelve-month inflation rate stood at 24.14% for the year ending June 2025, slightly up from 24.06% in June 2024. Despite the easing year-on-year figures, analysts suggest that inflationary trends remain concerning due to persistent monthly increases in prices, especially in food and non-agricultural items.

Source: The sun