The Central Bank of Nigeria (CBN) has projected that Nigeria’s inflation rate will ease to 12.94 percent in 2026, supported by falling fuel and food prices. The projection is contained in the apex bank’s 2026 macroeconomic outlook released on Wednesday. According to the report, Africa’s most populous economy is expected to expand by 4.49 percent next year.
The CBN attributed the anticipated growth to sustained gains from broad-based structural reforms alongside a gradual easing of monetary policy.
“Headline inflation is projected to moderate to an estimated average of 12.94 percent in 2026, driven by declining food and premium motor spirit (PMS) prices,” the apex bank said.
The outlook follows recent reductions in fuel prices across the country, triggered by an ongoing price war in Nigeria’s downstream oil sector. Dangote Refinery recently slashed its gantry petrol prices in a bid to outcompete marketers, pushing pump prices to between N739 and N910 per litre nationwide.
Meanwhile, data from the National Bureau of Statistics showed that Nigeria’s food inflation declined to 11.08 percent in November 2025.
