The Central Bank of Nigeria (CBN) has released its latest survey, revealing that while Nigerians continue to perceive inflation as high, there is growing optimism that price pressures will ease over the next six months. The findings come amid ongoing efforts to stabilise the economy through monetary tightening and broader reforms.
According to the survey, the Inflation Expectations Index stood at 44.8 points in May 2026, reflecting persistent concerns among businesses and households about rising prices. However, respondents expressed a more moderate outlook for the near future, with expectations dropping to 26.2 index points over the next six months. This suggests a gradual improvement in sentiment, even as current conditions remain challenging.
The survey highlighted notable differences in inflation perceptions across demographic groups. Rural households recorded a higher perception of inflation at 74.8%, compared with 71.5% among urban households. Lower-income earners and rural communities felt the impact of rising prices more acutely, underscoring the uneven burden of inflation across Nigeria’s diverse population.
Businesses also reported stronger cost pressures during the review period, with 69.5% indicating higher expenditure, versus 61.0% of households. Despite these challenges, both groups anticipate a gradual decline in inflation over the medium term. Business respondents, in particular, expressed greater optimism about the pace of moderation, suggesting that confidence in recent economic policies is building.
The CBN survey comes as Nigeria continues to grapple with inflationary pressures, particularly in the food sector. The National Bureau of Statistics (NBS) attributed the rise in food prices to increases in the cost of key staples, including millet, yam flour, fresh ginger, beef, garri, beans, tomatoes, wheat grain, soybeans, and plantain. These items are among the Top 10 Most significant contributors to household food expenditure in the country.
In related developments, the Nigeria’s Food Beverage sector has faced headwinds from rising input costs and supply chain disruptions. Meanwhile, the Uk Work Visa trend continues to draw skilled workers away from Nigeria, potentially impacting local labour markets. The Imf Urges Nigeria to maintain fiscal discipline and implement structural reforms to achieve long-term stability. On the currency front, the Naira Settles N1,361/$ in recent trading, reflecting ongoing adjustments in the foreign exchange market.
The apex bank has maintained a tight monetary policy stance aimed at containing inflationary pressures and stabilising the economy. While the survey indicates that inflation remains a major concern for Nigerians, the growing expectation of easing price pressures suggests that confidence in the effectiveness of these policies is gradually taking hold.
