Nigeria’s inflation will drop to 23% by 2025 – IMF

The International Monetary Fund, IMF, says Nigeria’s inflation will drop to 23 per cent in 2025 from 33.2 per cent in March 2024.

The Washington-based bank disclosed this on Tuesday during its Global Economic Outlook at the International Monetary Fund/World Bank Spring Meetings.

Division Chief of the IMF Research Department, Daniel Leigh, said the impact of Nigeria’s economic reforms, including two exchange rate adjustments, contributed to the surge in the inflation rate to 33.2 per cent in March.

He, however, noted that Nigeria’s economic growth is expected to rise from 2.9 per cent last year to 3.3 per cent in 2024.

“Inflation has increased, reflecting the reforms, the exchange rate, and its pass-through into other goods from imports to other goods.

“We see inflation declining to 23 per cent next year and then 18 per cent in 2026”, he said.

Recall that the latest consumer price index and inflation report by the National Bureau of Statistics showed that food inflation soared to 40.01 per cent in March.

Nigeria’s inflation will drop to 23% by 2025 – IMF