The Nigerian government is planning to rebase its Consumer Price Index and Gross Domestic Product by 2025 to improve the accuracy of economic policies and strengthen investor confidence.
This update was shared in a statement on the Ministry of Finance’s official X (formerly Twitter) account after a meeting between the Statistician General of the Federation, Adeyemi Adeniran, and Minister Wale Edun on Thursday.
The ministry also announced that the validation and official launch of the rebased CPI and GDP are set to take place in early 2025.
“The Statistician-General of the Federation, Prince Adeyemi Adeniran, and his team met with the Honourable Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, at Finance HQ earlier today to present a comprehensive update on the ongoing rebasing of the Consumer Price Index (CPI) and Gross Domestic Product (GDP).
“Set for validation and launch in early 2025, these updated frameworks are expected to strengthen Nigeria’s economic management systems and solidify its position as a leading economic force in Africa,” the Ministry said.
It highlighted that the rebasing of the Consumer Price Index and Gross Domestic Product will yield important economic benefits for Nigeria.
It pointed out that the updated data will offer a clearer and more reliable picture of the economy, which is expected to strengthen investor confidence and encourage more informed investment decisions.
Additionally, the ministry noted that the rebasing exercise will improve global comparability by aligning Nigeria’s economic indicators with international standards, ensuring that the country’s data is more consistent and comparable on the global stage.
“The rebasing of the CPI and GDP promises substantial economic benefits, including enhanced policy accuracy through more precise fiscal and monetary data, increased investor confidence with a clearer and more reliable depiction of the economy, and improved global comparability by aligning Nigeria’s economic indicators with international standards,” the statement added.
There has been ongoing discussion about rebasing Nigeria’s Gross Domestic Product data to better reflect the informal sector, which is believed to contribute around 60% of the country’s economic activity, yet remains only marginally captured in the current GDP figures.
Rebasing the GDP and inflation data involves revising the methodology used to calculate these indicators, a move aimed at improving the accuracy of economic measurements and policy decisions.
Under the current methodology, Nigeria’s GDP has significantly declined in dollar value, causing the country to drop from its previous position as the largest economy in Africa to 4th place.
