Follow Us on Google DiscoverNigerians continue to perceive inflation as high despite recent improvements in macroeconomic conditions, although many expect price pressures to moderate over the next six months.
The survey showed that the Inflation Expectations Index stood at 44.8 points in May 2026, reflecting persistent concerns over rising prices among businesses and households.
However, respondents expressed optimism that inflationary pressures would gradually ease, with expectations moderating to 26.2 index points over the next six months.
What the report is saying
The CBN survey revealed that perceptions of high inflation remained widespread across businesses and households during the review period.
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- The proportion of businesses perceiving inflation as high increased from 65.9% in April to 68.4% in May.
- Among households, the share of respondents reporting high inflation rose from 68.8% to 72.8% over the same period.
- Large businesses recorded the highest perception of inflation at 72.5%, while medium-sized businesses reported the lowest at 64.0%.
The survey also highlighted differences in inflation perceptions across demographic groups, with rural households and lower-income earners feeling the impact of rising prices more strongly.
More Insights
The CBN survey identified several factors influencing inflation expectations and consumer sentiment across the country.
Rural households recorded a higher perception of inflation at 74.8%, compared with 71.5% among urban households.
- Households earning below N70,000 per month reported the highest perception of inflation at 73.9%.
- Energy costs, interest rates, insecurity, and exchange rate movements were identified as the four major drivers of inflation perceptions.
- About 92.3% of respondents said they closely follow CBN communications and interest rate decisions through social media, radio and television broadcasts, and online news platforms.
The survey also found that businesses experienced stronger cost pressures during the review period, with 69.5% reporting higher expenditure compared with 61.0% of households.
Despite these challenges, both households and businesses expect inflation to gradually decline over the medium term, with business respondents expressing greater optimism about the pace of moderation.
The findings suggest that while inflationary pressures remain a major concern for Nigerians, confidence is growing that recent economic policies could help stabilise prices.
What you should know
The CBN survey comes as Nigeria continues efforts to curb inflation through monetary tightening and broader economic reforms.
- Nairametrics earlier reported that Nigeria’s headline inflation rate increased to 15.69% in April 2026 from 15.38% recorded in March.
- Urban inflation was 15.40% year-on-year, while rural inflation stood higher at 16.36%.
- Food inflation rose to 16.06% year-on-year, although significantly lower than the 24.68% recorded in April 2025.
The 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.
The apex bank has maintained a tight monetary policy stance aimed at containing inflationary pressures and stabilising the economy.
