Ongoing economic reforms are strengthening Nigeria’s resilience, cushioning external shocks and sustaining growth momentum, even as inflation recorded a marginal increase in March due to global pressures, JUSTICE OKAMGBA writes Nigeria’s push toward achieving a single-digit inflation rate seems to remain on track, despite the slight uptick in price levels recorded in March, driven largely by external pressures, including the ongoing crisis in the Middle East and related global headwinds.
Governor of the Central Bank of Nigeria, Olayemi Cardoso, recently expressed confidence that the country will attain a single-digit inflation rate, even as headline inflation rose marginally to 15.38 per cent in March from 15.06 per cent in February. According to him, the economy’s resilience and its ability to withstand global shocks reflect the positive outcomes of ongoing financial sector reforms spearheaded by the apex bank, as well as broader efforts aimed at strengthening the economy.
Inflation is widely regarded globally as a major impediment to economic growth and a significant burden on citizens, particularly those with limited incomes. For Nigeria, however, the reforms implemented over the past two years have strengthened economic fundamentals, positioning the country to better absorb shocks and navigate challenging external conditions.
There is growing recognition both locally and internationally that Nigeria’s economic reforms have enhanced investor confidence. The country is increasingly seen as better equipped to manage external pressures, with improved resilience attributed to deliberate policy actions.
Speaking at the just-concluded International Monetary Fund/World Bank Spring Meetings in the United States, Cardoso noted that the spillover effects from the Middle East crisis, which contributed to the modest increase in inflation in March, have been relatively contained.
He explained that the economy’s capacity to manage these pressures demonstrates the effectiveness of ongoing reforms, including exchange rate stabilisation, stronger foreign reserves, and a more robust monetary policy framework. Cardoso said, “We are not relenting on continuing to build resilience and also to stay the course with respect to something we have constantly been talking about, and that is bringing down inflation to single digits.
In spite of all that is going on, we will stay that course.” Data released by the National Bureau of Statistics, under the leadership of the Statistician-General of the Federation and Chief Executive Officer, Prince Adeyemi Adeniran, showed that Nigeria’s headline inflation rate increased to 15.38 per cent in March 2026, up from 15.06 per cent in February.
The March figure represents the first increase recorded in 12 months, following a steady decline that began in April 2025. According to the NBS, “The Headline inflation rate rose to 15.38 per cent, up from 15.06 per cent in February 2026 and stood 27.35 per cent in the same month of the preceding year (March 2025).” The bureau further indicated that the headline inflation rate rose by 0.32 percentage points compared to the February 2026 figure.
On a month-on-month basis, inflation stood at 4.18 per cent in March, representing a 2.17 percentage point increase from the 2.01 per cent recorded in February. In response to the emerging pressures, President Bola Tinubu directed economic managers to implement measures aimed at cushioning the impact of the Middle East crisis on Nigerians.
The CBN has maintained that its policy interventions are beginning to yield results, with structural reforms gradually permeating the broader economy. These reforms, the bank noted, are helping to stabilise the naira and ease lending rates, even as inflation trends downward over the medium term.