Nigeria’s inflation rate surged to 24.23% in March 2025, up from 23.18% in February, according to the latest figures released by the National Bureau of Statistics.
The sharp increase reflects the continued strain on household incomes amid rising food prices and broader economic pressures.
The NBS report attributes the spike to rising costs of both food and non-food items. Month-on-month, the headline inflation rate jumped to 3.90% in March, significantly higher than February’s 2.04%, suggesting a faster pace of price increases.
Core inflation — which excludes volatile items such as food and energy — also rose to 24.43% year-on-year, while month-on-month, it climbed to 3.73% from 2.52%.
Food inflation remains a key driver. The NBS recorded a 21.79% year-on-year increase in food prices, with staples such as ginger, garri, ofada rice, fresh pepper, and potatoes leading the surge. On a monthly basis, food inflation rose by 2.18%, up from 1.67% in February.
Urban and rural inflation rates also showed a notable divergence. Urban inflation stood at 26.12% year-on-year, with a month-on-month rise of 3.96%. Rural inflation was lower at 20.89% annually, but still saw a 3.73% monthly increase.
The inflation surge comes ahead of the planting season, raising concerns over continued food supply challenges driven by insecurity, poor logistics, and rising transportation costs. A late-March spike in petrol prices and a weakening naira could further exacerbate price pressures in coming months.
Analysts say the inflation data may prompt the Central Bank of Nigeria to consider additional monetary tightening to curb inflation. However, favourable base effects and the NBS’s recent rebasing of inflation weights may help moderate future readings, offering a glimmer of relief.
