The World Bank has cautioned that Nigeria’s target of achieving single-digit inflation in the short term is unrealistic, citing persistent structural weaknesses in the economy. In its latest Africa’s Pulse report released on Tuesday, the Bank noted that Nigeria remains among a few African nations still struggling with high consumer price inflation despite recent policy adjustments.
According to the report, Nigeria alongside Angola, Ethiopia, Ghana, Malawi, Sudan, Zambia, São Tomé and Príncipe, and Zimbabwe will continue to experience double-digit inflation through 2025. The Bank said that while 37 of Africa’s 47 economies are expected to stabilize with single-digit inflation by 2026, Nigeria’s inflationary pressures are likely to persist.
It attributed the sustained rise in prices to ongoing currency depreciation, elevated food and energy costs, and widespread supply bottlenecks. The World Bank emphasized that unless these structural challenges are addressed, the Federal Government’s inflation reduction strategy will remain difficult to achieve in the near term.
