The World Bank has dismissed Nigeria’s short-term aim of achieving single-digit inflation, warning that the goal is unrealistic amid persistently high consumer price growth.
The World Bank has warned that the Nigerian government’s ambition to attain single-digit inflation in the short term may be overambitious, saying that the current macroeconomic environment poses significant obstacles.
According to the Bank, Nigeria remains among a handful of African countries still grappling with elevated consumer price inflation, and this reality undercuts the feasibility of a swift return to low inflation levels.
Meanwhile, inflation in Nigeria stood at 20.12 per cent in August 2025, down from 21.88 per cent in July, but still far above desired levels. Mathew Verghis, the World Bank Country Director for Nigeria, urged the government to redouble efforts, saying, “The first priority is to bring inflation down so that people can start feeling the benefits of these reforms to a greater extent.”
To realize meaningful gains for citizens, the Bank says the country must also reduce interest rates, lay stronger foundations for job creation, and support sectors capable of absorbing labour.