The National Bureau of Statistics (NBS) of Nigeria is undertaking a significant overhaul of its key economic indicators, the Consumer Price Index (CPI) and the Gross Domestic Product (GDP), with both rebased reports slated for release by the end of January 2025. This modernization effort aims to provide a more accurate and contemporary reflection of Nigeria’s economic landscape, incorporating changes in consumption patterns, technological advancements, and the emergence of new economic sectors. The rebased indicators will utilize 2024 as the new reference period, replacing the outdated 2009 baseline, ensuring that policy decisions are grounded in current economic realities.
The rebasing of the CPI is particularly crucial for understanding inflationary pressures and informing monetary policy. The current CPI basket, which tracks the prices of goods and services, no longer accurately represents contemporary household spending habits. The 2023 Nigeria Living Standards Survey revealed substantial shifts in expenditure, notably a significant increase in spending on telecommunications, highlighting the necessity for an updated basket that includes new items reflecting these evolving patterns. The rebased CPI will provide a more precise measure of price volatility, allowing policymakers to track inflation more effectively and implement appropriate monetary and fiscal policies. Furthermore, the updated CPI will adhere to international standards, facilitating comparisons with other countries and providing a clearer picture of Nigeria’s economic performance in a global context.
The rebased GDP will similarly offer a more comprehensive and accurate snapshot of Nigeria’s economic output. It will reflect the current market value of all goods and services produced within the country, providing a more robust measure of overall economic activity and growth direction. The rebasing exercise is essential for understanding the health of the economy, making informed policy decisions, and enabling meaningful comparisons with other nations. It incorporates structural changes in the economy, including the introduction of new products and services driven by technological advancements, and acknowledges the significant growth observed in emerging sectors such as the Marine and Blue Economy, the Creative Economy, ICT, and e-activities.
The NBS emphasizes that both the rebased CPI and GDP reports will be invaluable resources for policymakers, researchers, and students. The updated CPI will contribute to more informed monetary and fiscal policy decisions, while the rebased GDP will provide crucial insights into sectoral growth drivers, guiding resource allocation towards job creation, infrastructure development, and poverty reduction initiatives. The NBS is committed to ensuring that these updated indicators are aligned with international best practices, utilizing the International Standard Classification of All Economic Activities (ISIC Rev. 4.0) and the 2008 System of National Accounts for the GDP rebasing.
The NBS underscores the significance of this modernization effort, highlighting the importance of accurate and timely economic data for effective policy formulation and informed decision-making. The rebased CPI and GDP will provide a clearer and more contemporary understanding of Nigeria’s economic performance, enabling policymakers to better address challenges and capitalize on opportunities for growth and development. The updated indicators will not only enhance the understanding of current economic trends but also equip policymakers with the tools necessary to navigate future economic complexities.
The NBS has assured the public that full details of both the rebased CPI and GDP will be released following their launch at the end of January 2025. The bureau emphasizes its commitment to producing high-quality data that supports evidence-based decision-making and contributes to a deeper understanding of the Nigerian economy. This commitment to data integrity and transparency is crucial for fostering trust in official statistics and promoting informed public discourse on economic issues. The updated indicators will serve as vital tools for assessing the effectiveness of economic policies and charting a course for sustainable economic growth and development in Nigeria.
