Abuja: Nigeria’s headline inflation rate has witnessed a slight decline, dropping to 15.39 percent in August, according to the National Bureau of Statistics (NBS). The announcement was made through the Consumer Price Index (CPI) and Inflation Report for August, which was released in Abuja on Tuesday.
According to News Agency of Nigeria, the report highlights that the August headline inflation rate marks a decrease of 0.04 percent compared to July’s rate of 15.43 percent. On a month-on-month basis, the headline inflation rate in August was 0.71 percent, showing a notable reduction of 0.86 percent from the 1.57 percent recorded in July. This indicates that the rate at which average prices increased in August was lower than the previous month.
The year-on-year analysis reveals that the headline inflation rate for August stood at 15.39 percent, a considerable decrease from the 23.14 percent recorded in August 2025. The three major contributors to the year-on-year headline inflation were food and non-alcoholic b
everages at 6.16 percent, restaurants and accommodation services at 1.99 percent, and transport at 1.64 percent. Conversely, the least contributors included recreation, sports, and culture at 0.05 percent, followed by alcoholic beverages, tobacco, and narcotics at 0.06 percent, and insurance and financial services at 0.07 percent.
The report further states that the CPI increased to 146.3 in August, reflecting a 1.0-point increase from the 145.3 recorded in July. The food inflation rate in August was 19.57 percent on a year-on-year basis, a drop from the 25.30 percent recorded in August 2025. On a month-on-month basis, the food inflation rate was 1.02 percent, representing a significant decrease of 4.55 percent compared to July’s 5.56 percent.
The NBS attributes the reduction in food inflation to changes in the average prices of palm oil, carrots, pepper, onions, cassava flour, beef, tam flour, and water yam, among others. The core inflation, excluding volatile agricultural produce and energy prices, stood a
t 13.29 percent year-on-year in August, showing a decline of 9.64 percent compared to the 22.93 percent recorded in August 2025. Month-on-month, the core inflation rate was -0.06 percent, a decrease of 0.21 percent compared to July.
The report details that the inflation rate of sub-indices for August on a month-on-month basis saw energy at -0.36 percent, farm produce at 1.35 percent, services at 0.12 percent, goods at 0.45 percent, and imported food at 0.91 percent. On a year-on-year basis, the urban inflation rate was 15.88 percent, while the rural inflation rate was 14.23 percent. Month-on-month, urban inflation was 0.28 percent, and rural inflation was 1.79 percent.
State-wise, Lagos recorded the highest year-on-year all-items index inflation rate at 23.68 percent, followed by Zamfara at 22.56 percent and Enugu at 22.06 percent. Sokoto experienced the lowest rise at 2.11 percent, followed by Kebbi at 3.72 percent and Jigawa at 3.81 percent. On a month-on-month basis, Rivers led with 6.92 percent, followe
d by Osun at 5.61 percent and Kano at 5.59 percent. Anambra, Bauchi, and Borno recorded declines in month-on-month inflation.
Food inflation year-on-year was highest in Adamawa at 38.85 percent, with Zamfara and Bayelsa following closely. Borno, Jigawa, and Kebbi recorded the slowest rise. Month-on-month, the highest food inflation was in Katsina, Rivers, and Osun, while Taraba, Borno, and Bauchi saw declines.