10 Most Affordable States To Live in Nigeria Based on New Data

• New data from the NBS has shown a drop in Nigeria’s inflation, offering relief for Nigerian households
• The changes were recorded in most states, but 10 is now experiencing the lowest rates
• Targeted policy interventions and agricultural improvements have helped to moderate living costs

Legit.ng journalist Dave Ibemere has experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

The National Bureau of Statistics (NBS) has disclosed that Nigeria recorded a decline in the price of food and other items across the country.

In its latest Consumer Price Index (CPI) report, the bureau stated that headline inflation eased slightly to 15.10% in January 2026, from 15.15% in December 2025, a modest decrease of 0.05% points month-on-month.

While on a year-on-year basis, the headline inflation rate fell by 12.51% compared to January 2025 (27.61%), signalling a significant reduction in price pressures over the past year.

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Inflation is an increase in the average price of goods and services.

The figures showed that although prices have increased, the pace of growth is now slower compared to the previous month and year.

Affordable states to live in January 2026

Although national data offers a general picture of the economy, living costs vary significantly from one state to another.

Using state-by-state inflation figures, here are the 10 most affordable states to live in as of January 2026, ranked by the lowest headline inflation rates.

Ebonyi State

Ebonyi recorded the lowest headline inflation rate at 8.72% in January, down from 14.9% in December. Food inflation dropped sharply to 1.7% from 9.7%, marking the slowest rise in food prices among the listed states.

Katsina State

Katsina posted a single-digit headline inflation rate of 8.94%, a significant decline from 18.7% in December. Food inflation eased to 5.8%, down from 11.2%, supporting overall price stability.

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Imo State

Imo recorded headline inflation of 10.61%, compared with 13.8% in December. Food inflation declined to 3.7% from 8.3%, reflecting slower increases in essential food items.

Enugu State

Enugu posted an inflation rate of 11.04%, down from 17% in December. Food inflation moderated to 5.8% from 10.7%, indicating easing pressure on food costs.

Kaduna State

Kaduna recorded headline inflation of 11.41% in January 2026, slightly up from 10.4% in December. However, food inflation fell to 5.1% from 11.3%, signalling improved food price conditions.

Abia State

Abia’s headline inflation declined in January 2026 to 11.67% from 19% in December 2025. Food inflation slowed significantly to 3.2%, compared with 10.2% previously, placing it among the lowest food inflation rates nationwide.

Ogun State

Ogun recorded headline inflation of 12.86% in Janaury 2026, a sharp drop from 18.8% in December. Food inflation also eased to 7.9%, down from 14.1%, showing broad moderation in price growth.

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Ondo State

In January 2026, Ondo posted headline inflation of 13.20%, up from 10.1% in December. Food inflation, however, declined to 5.5% from 11.1%, suggesting reduced pressure on staple food prices.

Delta State

Delta recorded headline inflation of 13.58% in Janaury 2026, down from 15.6% in December. Food inflation fell notably to 6.6% from 12.5%, reflecting a slowdown in food price increases.

Gombe State

Gombe registered headline inflation of 13.74% in January 2026, up from 11.3% in December. Food inflation eased slightly to 8.8% from 10.1%, indicating moderating food price growth despite the rise in overall inflation.

Expert speaks

In a message to Legit.ng, Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise (CPPE) said the drop in inflation represents an important macroeconomic shift

According to him, the price movement has implications for household welfare, agricultural income sustainability, monetary policy direction, and private-sector investment strategy.

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His words:

Nigeria’s inflation data for January 2026 points to a clear shift toward greater macroeconomic stability, largely driven by falling food prices and softer core inflation. While this trend supports household purchasing power, consumer spending, and investor sentiment, it may also pose challenges for farmers’ earnings and the resilience of rural economies.

The key policy focus should be sustaining the downward inflation trend while safeguarding agricultural output and rural incomes. Striking this balance will be essential to converting short-term price relief into long-term economic stability, broad-based growth, and improved confidence in Nigeria’s economy."

Diesel prices drop

Earlier, Legit.ng reported that the NBS has revealed that the average retail price of Automotive Gas Oil (AGO), commonly known as diesel, declined year-on-year in November 2025.

According to the bureau, Niger, Jigawa, and Enugu recorded the highest diesel prices during the review period, while Kebbi, Katsina, and Nasarawa posted the lowest average retail prices nationwide.

Niger State recorded the highest average retail price of diesel.

Proofreading by James Ojo, copy editor at Legit.ng.

Source: Legit.ng