Nigeria’s inflation rate continued its downward trend in October 2025, posting one of the most significant drops in recent months.
Fresh data released by the National Bureau of Statistics shows that headline inflation eased to 16.05 percent, a notable decline from the 18.02 percent reported in September.
The new figures also show a major year-on-year improvement, with the October inflation rate standing at 17.82 percent, far below the 33.88 percent recorded in the same month last year.
Although the base year has changed to November 2009, the Bureau emphasized that the outcome still reflects a meaningful slowdown in overall price increases nationwide.
The NBS reported that on a month-by-month basis, headline inflation climbed slightly to 0.93 percent in October from the 0.72 percent recorded in September. This indicates that prices rose faster between September and October, even as the yearly trend shows a broader cooling of inflation.
Urban and rural inflation trends also point toward improving conditions. Urban inflation dropped significantly to 15.65 percent year-on-year, while rural inflation settled at 15.86 percent, both reflecting sharp declines from 2024 figures.
However, monthly urban inflation rose to 1.14 percent, while rural inflation slowed to 0.45 percent compared to the previous month.
Food inflation, one of the most sensitive indicators affecting Nigerian households, recorded a major improvement. The annual rate fell to 13.12 percent, down from the 39.16 percent seen last year. Month-on-month food inflation stood at minus 0.37 percent, driven by rising prices of items like onions, oranges, pineapples, vegetables and meat products.
The News Chronicle learned that the shift in base year played an important role in shaping the new food inflation pattern, although improved market supply and fewer shocks also contributed.
The latest inflation report aligns with projections earlier made by Nairametrics, which estimated that October’s figure would fall within a moderated range. Analysts attribute the improvement to better forex conditions, more stable energy prices and reduced pressure on food supply chains.
Nigeria’s economic observers say the continued slowdown could strengthen purchasing power and support economic recovery efforts as the year draws to a close.
