The benchmark interest rate in Nigeria was last recorded at 27.50 percent. This dataset provides - Nigeria Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Real interest rate (%) in Nigeria was reported at 1.233 % in 2023, according to the World Bank collection of development indicators, compiled from officially recognized sources. Nigeria - Real interest rate - actual values, historical data, forecasts and projections were sourced from the World Bank on July of 2025.

Nigeria NG: Real Interest Rate data was reported at 5.817 % pa in 2017. This records a decrease from the previous number of 6.685 % pa for 2016. Nigeria NG: Real Interest Rate data is updated yearly, averaging 1.569 % pa from Dec 1970 (Median) to 2017, with 47 observations. The data reached an all-time high of 25.282 % pa in 1998 and a record low of -43.573 % pa in 1995. Nigeria NG: Real Interest Rate data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Nigeria – Table NG.World Bank.WDI: Interest Rates. Real interest rate is the lending interest rate adjusted for inflation as measured by the GDP deflator. The terms and conditions attached to lending rates differ by country, however, limiting their comparability.; ; International Monetary Fund, International Financial Statistics and data files using World Bank data on the GDP deflator.; ;

Key information about Nigeria Short Term Interest Rate

• Nigeria Short Term Interest Rate: Month End: NIBOR: 3 Months was reported at 27.36 % pa in Feb 2025, compared with 28.35 % pa in the previous month.
• Nigeria Short Term Interest Rate data is updated monthly, available from Jan 2010 to Feb 2025.
• The data reached an all-time high of 29.16 % pa in Dec 2024 and a record low of 0.36 % pa in Nov 2020.
• Short Term Interest Rate is reported by reported by Financial Markets Dealers Association.
• The cash rate (Policy Rate: Month End) was set at 27.50 % pa in Feb 2025.
• Nigeria Exchange Rate against USD averaged 607.75 (USD/NGN) in Jun 2023.

Interest rate spread of Nigeria slipped by 3.13% from 6.37 % in 2022 to 6.17 % in 2023. Since the 38.90% surge in 2020, interest rate spread sank by 31.39% in 2023. Interest rate spread is the interest rate charged by banks on loans to prime customers minus the interest rate paid by commercial or similar banks for demand, time, or savings deposits.

Nigeria NG: Interest Rate Spread data was reported at 8.027 % pa in 2017. This records a decrease from the previous number of 9.370 % pa for 2016. Nigeria NG: Interest Rate Spread data is updated yearly, averaging 5.767 % pa from Dec 1970 (Median) to 2017, with 47 observations. The data reached an all-time high of 11.064 % pa in 2010 and a record low of 0.317 % pa in 1985. Nigeria NG: Interest Rate Spread data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Nigeria – Table NG.World Bank.WDI: Interest Rates. Interest rate spread is the interest rate charged by banks on loans to private sector customers minus the interest rate paid by commercial or similar banks for demand, time, or savings deposits. The terms and conditions attached to these rates differ by country, however, limiting their comparability.; ; International Monetary Fund, International Financial Statistics and data files.; Median;

Interest rate spread (lending rate minus deposit rate, %) in Nigeria was reported at 6.172 % in 2023, according to the World Bank collection of development indicators, compiled from officially recognized sources. Nigeria - Interest rate spread (lending rate minus deposit rate, %) - actual values, historical data, forecasts and projections were sourced from the World Bank on June of 2025.

Lending interest rate (%) in Nigeria was reported at 14.01 % in 2023, according to the World Bank collection of development indicators, compiled from officially recognized sources. Nigeria - Lending interest rate - actual values, historical data, forecasts and projections were sourced from the World Bank on June of 2025.

Key information about Nigeria Policy Rate

• Nigeria cash rate (Policy Rate: Month End) was set at 27.50 % pa in Feb 2025, compared with 27.50 % pa in the previous Jan 2025.
• Nigeria Policy Rate averaged 12.00 % pa and is updated monthly, available from Dec 2006 to Feb 2025.
• The data reached an all-time high of 27.50 % pa in Feb 2025 and a record low of 6.00 % pa in Aug 2010.

• In the latest reports, Nigeria Short Term Interest Rate: Month End: NIBOR: 3 Months was reported at 28.35 % pa in Jan 2025.
• Nigeria Exchange Rate against USD averaged 607.75 (USD/NGN) in Jun 2023.
• Its Real Effective Exchange Rate was 82.03 in Jan 2025.

Forecast: Bank Lending Interest Rate in Nigeria 2024 - 2028 Discover more data with ReportLinker!

Lending Rate in Nigeria decreased to 17.96 percent in March from 18.35 percent in February of 2025. This dataset provides - Nigeria Lending Rate- actual values, historical data, forecast, chart, statistics, economic calendar and news.

Nigeria NG: Lending Interest Rate data was reported at 17.580 % pa in 2017. This records an increase from the previous number of 16.867 % pa for 2016. Nigeria NG: Lending Interest Rate data is updated yearly, averaging 16.849 % pa from Dec 1970 (Median) to 2017, with 47 observations. The data reached an all-time high of 31.650 % pa in 1993 and a record low of 6.000 % pa in 1977. Nigeria NG: Lending Interest Rate data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Nigeria – Table NG.World Bank.WDI: Interest Rates. Lending rate is the bank rate that usually meets the short- and medium-term financing needs of the private sector. This rate is normally differentiated according to creditworthiness of borrowers and objectives of financing. The terms and conditions attached to these rates differ by country, however, limiting their comparability.; ; International Monetary Fund, International Financial Statistics and data files.; ;

Description of variables lnRGDP = Log of Real Gross Domestic Product INR = interest rate lnFDI = Log of Foreign Direct Investment INR_FDI = interaction between interest rate and foreign direct investment lnGDI = Log of Gross Domestic Investment lnLAB = Log of Labour force participation rate lnOPEN = Log of index of openness lnELEC = Log of electricity consumption per capita lnEXR = Log of real exchange rate

Nigeria’s inflation has been higher than the average for African and Sub-Saharan countries for years now, and even exceeded 16 percent in 2017 – and a real, significant decrease is nowhere in sight. The bigger problem is its unsteadiness, however: An inflation rate that is bouncing all over the place, like this one, is usually a sign of a struggling economy, causing prices to fluctuate, and unemployment and poverty to increase. Nigeria’s economy - a so-called “mixed economy”, which means the market economy is at least in part regulated by the state – is not entirely in bad shape, though. More than half of its GDP is generated by the services sector, namely telecommunications and finances, and the country derives a significant share of its state revenues from oil.

Because it got high

To simplify: When the inflation rate rises, so do prices, and consequently banks raise their interest rates as well to cope and maintain their profit margin. Higher interest rates often cause unemployment to rise. In certain scenarios, rising prices can also mean more panicky spending and consumption among end users, causing debt and poverty. The extreme version of this is called hyperinflation: A rapid increase of prices that is out of control and leads to bankruptcies en masse, devaluation of money and subsequently a currency reform, among other things. But does that mean that low inflation is better? Maybe, but only to a certain degree; the ECB, for example, aspires to maintain an inflation rate of about two percent so as to keep the economy stable. As soon as we reach deflation territory, however, things are starting to look grim again. The best course is a stable inflation rate, to avoid uncertainty and rash actions.

Nigeria today

Nigeria is one of the countries with the largest populations worldwide and also the largest economy in Africa, with its economy growing rapidly after a slump in the aforementioned year 2017. It is slated to be one of the countries with the highest economic growth over the next few decades. Demographic key indicators, like infant mortality rate, fertility rate, and the median age of the population, all point towards a bright future. Additionally, the country seems to make big leaps forward in manufacturing and technological developments, and boasts huge natural resources, including natural gas. All in all, Nigeria and its inflation seem to be on the upswing – or on the path to stabilization, as it were.

Deposit Interest Rate in Nigeria decreased to 11.19 percent in March from 11.54 percent in February of 2025. This dataset includes a chart with historical data for Deposit Interest Rate in Nigeria.

Nigeria NG: Deposit Interest Rate data was reported at 9.554 % pa in 2017. This records an increase from the previous number of 7.497 % pa for 2016. Nigeria NG: Deposit Interest Rate data is updated yearly, averaging 9.339 % pa from Dec 1970 (Median) to 2017, with 47 observations. The data reached an all-time high of 23.242 % pa in 1993 and a record low of 2.667 % pa in 1976. Nigeria NG: Deposit Interest Rate data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Nigeria – Table NG.World Bank.WDI: Interest Rates. Deposit interest rate is the rate paid by commercial or similar banks for demand, time, or savings deposits. The terms and conditions attached to these rates differ by country, however, limiting their comparability.; ; International Monetary Fund, International Financial Statistics and data files.; ;

Nigeria inflation rate for 2023 was 24.66%, a 5.81% increase from 2022.

<ul style='margin-top:20px;'>

<li>Nigeria inflation rate for 2022 was <strong>18.85%</strong>, a <strong>1.89% increase</strong> from 2021.</li>
<li>Nigeria inflation rate for 2021 was <strong>16.95%</strong>, a <strong>3.71% increase</strong> from 2020.</li>
<li>Nigeria inflation rate for 2020 was <strong>13.25%</strong>, a <strong>1.85% increase</strong> from 2019.</li>
</ul>Inflation as measured by the consumer price index reflects the annual percentage change in the cost to the average consumer of acquiring a basket of goods and services that may be fixed or changed at specified intervals, such as yearly. The Laspeyres formula is generally used.

Deposit interest rate (%) in Nigeria was reported at 7.8386 % in 2023, according to the World Bank collection of development indicators, compiled from officially recognized sources. Nigeria - Deposit interest rate - actual values, historical data, forecasts and projections were sourced from the World Bank on July of 2025.

Nigeria NG: Risk Premium on Lending: Lending Rate Minus Treasury Bill Rate data was reported at 6.753 % pa in 2016. This records a decrease from the previous number of 7.455 % pa for 2015. Nigeria NG: Risk Premium on Lending: Lending Rate Minus Treasury Bill Rate data is updated yearly, averaging 6.753 % pa from Dec 1992 (Median) to 2016, with 25 observations. The data reached an all-time high of 14.577 % pa in 2009 and a record low of 2.473 % pa in 1999. Nigeria NG: Risk Premium on Lending: Lending Rate Minus Treasury Bill Rate data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Nigeria – Table NG.World Bank: Interest Rates. Risk premium on lending is the interest rate charged by banks on loans to private sector customers minus the 'risk free' treasury bill interest rate at which short-term government securities are issued or traded in the market. In some countries this spread may be negative, indicating that the market considers its best corporate clients to be lower risk than the government. The terms and conditions attached to lending rates differ by country, however, limiting their comparability.; ; International Monetary Fund, International Financial Statistics database.; ;

The average inflation rate in the Nigeria was forecast to continuously decrease between 2023 and 2028 by in total 6.1 percentage points. The average inflation rate is estimated to amount to 14 percent in 2028.Following the definitions provided by the International Monetary Fund, this indicator measures inflation based upon the year on year change in the average consumer price index. The latter expresses a country's average level of prices based on a typical basket of consumer goods and services. Depicted here is the year-on-year change in said index measure, expressed in percent.Find more key insights for the average inflation rate in countries like Senegal, Mali and Cote D'Ivoire.

Urban versus rural inflation disparity Comparing rural to urban areas in Nigeria showed that inflation was slightly worse in urban areas, with a difference of close to one percent in 2022. Other economic indicators reveal that inflation had a severe impact on the prices of consumer goods. Moreover, the Consumer Index Price of food in Nigeria in 2022 was 590.2. The food products with the highest percentage change in price was beans with 40 percent and over, depending on the color. That was followed by beef articles with 34 to close to 37 percent, depending on the part.

Fuel price surges: a closer look at diesel price fluctuations in Nigeria Another area that saw a dramatic spike in prices was fuel prices. In February 2023, there was a 0.98 percent rise in the cost of diesel in Nigeria when compared to January 2023. The most substantial surge occurred in March 2022. During that month, the average price of diesel surged by nearly 73 percent in contrast to the preceding month. This sharp escalation was attributed to a worldwide deficit in fuel supply and difficulties in the supply chain, which was prompted by the conflict in Ukraine and regulations implemented to control the transmission of COVID-19. Furthermore, consumers in Nigeria faced an average diesel price of 836.91 Nigerian naira (NGN), approximately 1.82 U.S. dollars, per liter. The North-Central States of Nigeria displayed the most elevated prices, with consumers in this region paying an average of 850.65 NGN per liter, roughly 1.85 U.S. dollars. During this specific timeframe, Osun emerged as the State with the highest price across Nigeria, as diesel prices reached a pinnacle of 707 NGN (equivalent to 1.7 U.S. dollars).