In a move to strengthen Nigeria’s economic outlook, the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, and the Governor of the Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, met in Abuja on Monday to discuss enhanced coordination between fiscal and monetary policies.
The strategic meeting, which took place at the CBN headquarters, came on the same day the National Bureau of Statistics (NBS) published fresh data showing that Nigeria’s inflation rate declined for the second consecutive month.
According to the NBS Consumer Price Index (CPI) report, headline inflation dropped to 22.97 percent in May 2025, down from 23.71 percent in April, and notably lower than 24.23 percent recorded in February.
Economic analysts attribute this consistent downward trend to increased foreign exchange stability, a reduction in energy prices, and improved agricultural output, all of which have contributed to easing pressure on the prices of goods and services.
The meeting between Edun and Cardoso, two key figures in the nation’s economic management team, was aimed at consolidating these recent gains and developing strategies to ensure that positive macroeconomic indicators translate into real improvements for Nigerians.
A statement issued after the meeting noted that the two officials reviewed “ongoing policy reforms and examined how closer coordination between fiscal and monetary levers can help stabilise prices, restore investor confidence, and unlock new pathways for private-sector-driven growth.”
According to reports, the discussions also focused on how to deepen the current reform momentum and make sure the benefits reach various segments of the population through sustained improvements in economic performance.
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The CPI data provided further insight into sectoral movements in inflation. Food inflation, the most closely watched indicator for everyday consumers, declined marginally by 12 basis points, falling from 21.26 percent in April to 21.14 percent in May.
Core inflation, which excludes prices of volatile items such as farm produce and energy, also dropped significantly by 110 basis points, from 23.39 percent in April to 22.28 percent in May.
Month-on-month, the headline inflation rate in May stood at 1.53 percent, representing a 0.33 percentage point decline from the 1.86 percent recorded in April.
The NBS report highlighted the major sectors contributing to inflation in May. These included food and non-alcoholic beverages (9.20 percent), restaurants and accommodation services (2.97 percent), and transport (2.45 percent).
On the other hand, the sectors with the least contribution were recreation, sport, and culture (0.07 percent), alcoholic beverages, tobacco and narcotics (0.09 percent), and insurance and financial services (0.11 percent).
“Furthermore, on a month-on-month basis, the Headline inflation rate in May 2025 was 1.53%, which was 0.33% lower than the rate recorded in April 2025 (1.86%).
“This means that in May 2025, the rate of increase in the average price level is lower than the rate of increase in the average price level in April 2025,” the NBS report stated.
