Nigeria's inflation rises to 15.38% in March amid energy price shock

Nigeria’s annual inflation rate rose unexpectedly to 15.38% in March, as higher energy-related costs linked to the Middle East war added to price pressures in Africa’s largest economy, according to official data released on Wednesday by the National Bureau of Statistics.

The headline rate increased from 15.06% in February, while markets had expected it to ease to 13.8%. On a monthly basis, consumer prices rose 4.2% in March.

The official data also showed food inflation at 14.31% and core inflation, which excludes food and energy, at 16.21%, pointing to persistent underlying price pressures despite earlier signs of easing.

The inflation pickup comes as the war in the Middle East continues to disrupt global commodity markets.

In a joint statement on April 13, the heads of the International Energy Agency, the International Monetary Fund and the World Bank said the conflict had pushed up oil, gas and fertilizer prices and was hitting energy-importing economies especially hard.

The pressure has been amplified by continued disruption around the Strait of Hormuz, a critical route for global energy shipments, increasing the risk of imported fuel and input costs feeding further into domestic prices in countries such as Nigeria.