In December 2024, Nigeria’s inflation rate rose for the fourth consecutive month, from 34.60% in November to 34.80% year over year.
Significant price hikes for food and non-alcoholic beverages, as well as increased demand throughout the holiday season, are to blame for this surge.
With significant price increases for basics including yam, sweet potatoes, beer, corn, rice and fish, food inflation dropped marginally from 39.93% in November to 39.84% in December.
According to the National Bureau of Statistics (NBS), headline inflation in December was 2.44% month over month, which was 0.20% lower than the rate in November.
This ongoing inflationary tendency comes after President Bola Tinubu implemented economic reforms in 2023 to boost growth and strengthen public finances, including devaluing the naira and eliminating fuel subsidies.
The cost of living has increased in spite of these steps, and the Central Bank of Nigeria’s 2024 inflation target of 21.40% has been greatly surpassed.
In light of these difficulties, the administration expects inflation to drop to 15% by 2025, helped along by a decline in petroleum product imports and continuous economic reforms.
