Nigeria's inflation slows to 15.39% in August, but state rates vary widely

Nigeria's headline inflation fell to 15.39% in August 2026, down slightly from 15.43% in July and 7.75 points below the 23.14% recorded in August 2025. Month-on-month inflation slowed to 0.71% from 1.57%, with food inflation easing to 19.57% YoY, core inflation dropping to 13.29%, and energy inflation rising to 4.69%. The CPI rose to 146.3 from 145.3, showing prices still increased but at a slower pace.

State-level data reveals wide disparity: Lagos recorded the highest rate at 23.7%, followed by Zamfara (22.6%) and Enugu (22.1%), while Abia posted 14.3% (below national) and Sokoto the lowest at 2.1%. Overall, 26 states and the FCT were below the national average, with 10 states above it. This means an 18% investment return beats inflation in Abia but falls short in Lagos, showing that beating national inflation does not guarantee preserving personal purchasing power.

Investors should look beyond the headline figure and consider the inflation rate affecting their actual expenses. Setting return targets with a margin above personal inflation—rather than merely matching the national rate—is essential to protect purchasing power in high-inflation states like Lagos.

With Lagos inflation at 23.7%, will you aim for returns well above 18% to protect purchasing power, or adjust your spending and investment strategy?

SOURCE: https://nairametrics.com/2026/09/20/why-18-returns-make-you-richer-in-abia-but-poorer-in-lagos/