Nigeria Headline Inflation Eases to 15.39 Percent in August

Nigeria's headline inflation rate decreased to 15.39 percent in August 2026, down from 15.43 percent in July, according to the National Bureau of Statistics. This represents the third consecutive monthly decline since inflation peaked at 15.93 percent in May and a significant moderation from the 23.14 percent recorded in August 2025.

The decline was primarily driven by a sharp slowdown in food inflation, which fell to 19.57 percent year-on-year from 20.31 percent in July. On a monthly basis, food inflation dropped from 5.56 percent to 1.02 percent. However, farm produce inflation surged to 21.99 percent year-on-year, the highest rate of the year. Coronation Asset Management Limited attributed these agricultural spikes to insecurity in the North-West, North-Central, and North-East zones, recurring flooding, and increased input costs following 2023 policy shifts on petrol subsidies and foreign exchange.

Regional disparities remain stark, with Lagos recording the highest headline inflation at 23.68 percent and Sokoto the lowest at 2.11 percent. While urban inflation stood at 15.88 percent, rural inflation accelerated to 14.23 percent from 13.77 percent. Core inflation, excluding volatile energy and agricultural prices, moderated to 13.29 percent year-on-year and turned negative on a monthly basis at -0.06 percent. Despite the disinflationary trend, the National Bureau of Statistics reported that 36.3 million people faced crisis or worse levels of food insecurity in August, the highest among 17 monitored African countries.