The Central Bank of Nigeria released its July 2025 Inflation Expectations Survey Report, indicating that fewer respondents viewed inflation as high and that most respondents expected inflation to remain broadly stable over the next month and the next three months, with a more mixed picture over a six-month horizon. The share of respondents who perceived inflation as high fell to 66.2% in July 2025 from 71.0% in June, driven largely by households (63.4% versus 69.5% in June). Perceived high inflation was lower in rural areas (60.0%) than urban areas (65.1%) and lowest among small businesses (65.0%), compared with medium (71.3%), micro (74.1%) and large firms (82.1%). Respondents identified energy costs (including PMS, diesel and electricity), the exchange rate and transportation as the top three drivers of inflation. On expectations, the overall sample most commonly expected inflation to remain the same in the next month (55.1%) and the next three months (42.3%), while the largest share over the next six months expected a decrease (35.0%). On spending, 76.7% of businesses and 60.7% of households reported higher expenditure in the current month, and the overall sample continued to skew towards expecting higher expenditure over the next month (66.0%), three months (62.0%) and six months (58.0%).
Central Bank of Nigeria 2025-09-01
Central Bank of Nigeria publishes July 2025 inflation expectations survey showing lower high-inflation perception and stable near-term outlook
The Central Bank of Nigeria's July 2025 Inflation Expectations Survey Report shows a decline in the perception of high inflation, with 66.2% of respondents viewing it as high, down from 71.0% in June. Energy costs, exchange rates, and transportation are identified as key inflation drivers. Most respondents expect inflation to remain stable in the short term, while a decrease is anticipated over six months.