Taiwo Oyedele: Single-digit inflation could save Nigeria $10B

Finance Minister Taiwo Oyedele announced that achieving single-digit inflation in Nigeria could save the government more than $10 billion. Speaking at the IMF meetings in Thailand, he noted that lower inflation and interest rates would alleviate pressure on public finances.

Oyedele highlighted the need for closer collaboration between monetary and fiscal authorities as the Central Bank of Nigeria (CBN) prepares to implement inflation targeting as part of its reform program. He credited the CBN's management of the foreign exchange environment for stabilizing the naira and supporting its appreciation.

Oyedele stated that reducing inflation to single digits would create conditions for interest rates to decrease, thereby reducing the government's fiscal burden. Despite a marginal easing of Nigeria's headline inflation rate to 15.39% in August 2026, household perceptions of high prices remain significant, with 77.2% of households perceiving inflation as high in September 2026.

The IMF and World Bank have also raised Nigeria's economic growth forecasts for 2026 to 4.2% and 4.3%, respectively.