27% Inflation Target Realistic, Tinubu’s 15% Aspirational — Rewane

Economist Rewane suggests that Nigeria’s 27% inflation target is realistic, while President Tinubu’s goal of 15% inflation rate remains aspirational.

Bismarck Rewane, the Managing Director of Financial Derivatives Company Limited, characterized President Bola Tinubu’s 15% inflation target for 2025 as “aspirational” and “bullish.”

The economist made this statement during the Business Morning segment of Channels Television’s Sunrise Daily breakfast program on Thursday.

At the presentation of the 2025 ₦49.7 trillion budget to the National Assembly on December 18, 2024, Tinubu conveyed optimism regarding Nigeria’s inflation rate dropping from its current level of 34.6% to 15% in 2025.

Rewane expressed skepticism about the President’s target, stating it isn’t realistic. “The target is more of an aspiration,” he said. “In reality, we anticipate inflation might decrease from around 35% to about 27% or 25%. Aiming for a 15% rate is highly optimistic and aspirational; however, it’s perfectly fine to have ambitious goals.”

“We operate in the realm of reality, and within this context, we frequently encounter figures around 27% to 25%. I prefer placing my bets on those numbers rather than relying on overly optimistic projections,” he stated.

When Tinubu assumed office as Nigeria’s president in May 2023, the country’s inflation rate stood at 22.41%, based on official data from the National Bureau of Statistics (NBS). By November 2024, this figure had surged dramatically to 34.6%, an increase exceeding 12%. Economic experts have linked this significant rise to Tinubu’s dual policies of eliminating petrol subsidies and unifying exchange rates.