The Central Bank of Nigeria (CBN) has said Nigeria’s domestic economy expanded by 3.87 per cent in 2025, an improvement over the 3.38 per cent recorded in 2024.

The CBN said this in its recently released annual report for the 2025 fiscal year.

According to the apex bank, broad-based growth followed gains from the continuing implementation of a cocktail of reforms in key sectors and the rebasing of the economy to accommodate emerging subsectors.

It said that headline inflation declined to 15.15 per cent in December 2025, from 34.80 per cent at the end of 2024.

It said that this was due to the combined effects of monetary policy tightening, exchange rate stability and revision of the methodology for computing the consumer price index (CPI).