LAGOS — Nigeria’s headline inflation rate continued its downward trajectory in February 2026, marking the eleventh consecutive monthly decline, according to the latest Consumer Price Index (CPI) report released by the National Bureau of Statistics (NBS) on Monday.
The annual inflation rate slowed marginally to 15.06%, down from 15.10% in January. This represents a significant cooling from the 26.27% recorded in February 2025, a cumulative drop of 11.21% over the past year. The sustained year-on-year decline is largely due to “base effects.”
Despite the cooling headline figure, Food inflation surged to 12.12% in February, up sharply from 8.89% in January.
The NBS identified staple items—specifically beans, cassava tubers, yam, and vegetable oil—as the primary drivers of this spike. This upward pressure on food prices contributed to a 2.01% increase in month-on-month inflation, reversing the brief deflationary dip seen in January.
core inflation which excludes volatile agriculture produce eased 15.88% year on year. The Dangote Refinery helped stabilize transport and logistics costs. Simultaneously, the Naira’s 4.3% appreciation during the month, which saw it average ₦1,355.34/$ on the official window, helped curb the impact of imported inflation.
Urban inflation for the month stood at 16.20%, while rural inflation was recorded at 13.92%.
In late February, the central bank of Nigeria slashed its interest rate by 50 base point to 26.5%, citing months of disinflation.
However, the month-on-month surge and the stubbornness of food prices remain a concern. As the government continues to implement fiscal reforms aimed at boosting agricultural output, the divergence between headline moderation and rising food costs will likely remain the focal point for policymakers in the second quarter of the year.
