The Presidency has expressed confidence that Nigeria’s inflation rate will soon fall to a single digit, a development it says will improve living conditions for citizens.
Special Adviser to the President on Economic Matters, Tope Fasua, stated this on Tuesday on Channels Television’s The Morning Brief in reaction to the National Bureau of Statistics (NBS) reporting that headline inflation dropped to 20.12 per cent in August 2025, compared to 21.88 per cent recorded in July.
Fasua noted that the decline in inflation has already begun to affect food prices in the markets.
Responding to former Vice President Atiku Abubakar’s recent criticism that Nigerians were dying of hunger, Fasua dismissed the remark as political.
“Former vice president, Atiku Abubakar, merely made a political statement which is expected at this time, because he’s trying to see how he can wangle himself back into the presidency, and I don’t comment on political things.
“He doesn’t have to commend the current government for the achievement, but the rest of us just need to stick with the black and white.
“A 20.12 inflation is still large in many quarters because what it says is that prices are still increasing in some quarters, but not as they used to be. It is rebasing. The rebasing came in about six years after it ought to have been done. Our concern should be that our statistics and data should be much more on point and frequent.
“So the rebasing was done, and it gave us the true picture of where we are. So, for every emotional reason, somebody believes that we should still be around 30 per cent. Well, that is their own cup of tea. The most important thing is that the rebasing was done several months back, and what we are seeing is then consistent drop in inflation.
“Inflation does not increase forever, not in any country. We have Ghana next to us, with inflation up to 40 per cent. Today, their inflation is trending down to a single digit.
“Nigeria’s inflation will get to a single digit as well; it’s a matter of time.
“Pakistan’s economy experienced inflation of up to 40 per cent some two years ago. Today, they are battling deflation, which is even a bigger issue because when there is no incentive for people to produce more goods themselves, everything goes down again.
“Nigeria’s inflation will certainly go to a single digit. Besides, that’s not the only positive thing we can see,” he noted.
Fasua also pointed to the recent stability of the naira and rising crude oil prices as further indicators of progress.
“Yesterday, the naira traded at some point, N1,497/$1. For the first time in like eight months, we have clocked the N1,400 region, and that’s remarkable,” he said.
“And if we look at why the inflation is reducing, for anybody that cares to know, of course, crude is one of our key drivers of inflation. The exchange rate is also another key driver. The exchange rate has stabilised, and it’s actually via market forces.
“The crude prices are also increasing. A very respected source I respect in the agriculture sector, told me that for the first time in 26 years, this year, we did not have the usual recourse around tomato prices soaring and shortages. Some farmers are even complaining that the government is now crashing food prices to make it affect their businesses negatively.
“Nigerians, including these farmers, are enjoying the drop in food prices because they are much more stable.”
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