Nigeria to revise inflation reporting after artificial spike expected in December

Nigeria’s National Bureau of Statistics (NBS) has announced plans to revise its inflation reporting methodology following expectations of an artificial spike in the December inflation figure, a rise officials say will not reflect actual price pressures in the economy.

According to the NBS, the anticipated jump in headline inflation is linked to a recent rebasing of the Consumer Price Index (CPI), which updated the reference base year and adjusted the weighting of goods and services to better reflect current consumption patterns. While the rebasing is intended to improve accuracy over the long term, it is expected to create a temporary distortion in year-on-year inflation data for December, making the figure appear unusually high.
Economists and policymakers have noted that the projected increase is largely technical rather than economic, driven by changes in statistical comparisons rather than a sudden surge in prices. To prevent misinterpretation by investors, policymakers and the public, the NBS said it will revise how inflation data are calculated and presented, including providing clearer explanations around the adjusted figures.

The statistics agency, working alongside the Central Bank of Nigeria (CBN), said the revision will help ensure inflation data more accurately reflects underlying price movements and supports informed economic decision-making. Authorities stressed that maintaining transparency and credibility in official data remains a priority, particularly as Nigeria continues to grapple with inflationary pressures and broader economic reforms.
The revised approach to inflation reporting is expected to guide market expectations and policy discussions in the coming months, especially ahead of key monetary policy decisions.