Top 10 most affordable Nigerian states to live in August 2025 

Nigeria’s cost of living varied widely across states in August 2025, with some regions offering significantly lower expenses for households and businesses.

The headline inflation for the nation slowed to 20.12% from 21.88% in July 2025.

According to the latest Consumer Price Index (CPI) data released by the National Bureau of Statistics (NBS), several states maintained a slower pace of price increases compared to the national average, making them more affordable destinations.

Persistent inflationary pressures have weighed on Nigerian consumers for much of 2025, particularly in urban centers where food, housing, and transportation costs remain elevated. Yet, pockets of relative stability continue to exist—mainly in states with strong agricultural output, lower population density, or less reliance on imported goods.

Food inflation remains the key cost driver for many Nigerian families, accounting for a large portion of household spending. States that manage to moderate food prices effectively tend to feel more affordable on the ground—even when headline inflation seems high.

The affordability ranking is based on headline inflation rates for August, which measure the year-on-year change in prices across essential goods and services. States with lower inflation rates tend to experience less upward pressure on household budgets, making them attractive for cost-conscious residents and potential investors.

Below are the 10 most affordable states in Nigeria for August 2025.

Yobe – 18.1%

Yobe State, which ranked as Nigeria’s most affordable state in July 2025, fell to the 10th position in August following a sharp rise in headline inflation.

According to the latest NBS data, the state recorded a 6.7 percentage-point jump in headline inflation, driven largely by higher costs in non-food categories such as transport, housing, and utilities. In contrast, food inflation dropped dramatically by 11.5 points—from 15.1% in July to just 3.6% in August.

Local market reports attribute the decline in food prices to the August grain harvest in the Damaturu and Gashua belts, which boosted the availability of millet and sorghum. This supply surge helped ease pressure on household grocery spending, even as other expenses climbed.

Meanwhile, the Yobe State Government has intensified its agricultural and environmental initiatives. In August, Governor Mai Mala Buni inaugurated a committee on tree planting and environmental hazards in Damaturu, as part of a broader campaign to combat desertification and restore the ecosystem. He revealed that no fewer than 3,000 seedlings would be allocated to each local government area, alongside seedlings for household planting—targeting two million seedlings in the campaign’s first phase.

To further strengthen the agricultural sector, the state also distributed free Massey Ferguson 375 tractors to farmers and associations under its Agriculture Empowerment Programme. Beneficiaries included the Yobe chapter of the All Farmers Association of Nigeria (AFAN), AMFAZAT Farms, FA’IZA Farms, and RAISA Farms.

Additionally, newly introduced subsidized transport routes for farm produce improved market supply in urban areas. However, rising fuel prices and ongoing repairs on major road corridors likely contributed to higher transport and housing utility costs, which pushed up headline inflation.

Despite the shift in rankings, Yobe remains one of the more affordable states for food items, providing households with some relief in the face of broader cost-of-living pressures.

Ondo – 17.6%

Ondo State, in Nigeria’s South-West, slipped from 7th place in July to 9th in August 2025 among the nation’s most affordable states.

The state recorded a marginal drop in headline inflation, easing by 0.8 percentage points from 18.4% in July to 17.6% in August. However, this relief was overshadowed by a steep 5.5-point rise in food inflation, which jumped from 17.9% to 23.4%.

State-backed electricity tariff rebates for low-income households helped cushion non-food expenses, while the ongoing Akure–Owo road rehabilitation lowered logistics costs for non-food goods—both contributing to the slight headline improvement. Still, delayed yam harvests caused by early August rains tightened food supply, and soaring prices of staples such as palm oil and cassava flour left households struggling.

Farmers in the state have long raised concerns about structural challenges in the agricultural sector. In May, Nairametrics reported that many lamented the worsening shortage of unskilled labour and the surging cost of farm inputs, which they said were crippling farming activities and straining their finances.

The Chairman of the Ondo State Agricultural Commodities Association (OSACA), Chief Abiodun Adejo, warned that the rainy season farming cycle faces serious threats. He cited a lack of modern equipment, limited access to improved planting inputs, rising insecurity, and the poor state of rural roads as factors undermining productivity and threatening food security across the state.

Taraba – 17.5%

Taraba State posted one of the sharpest improvements nationwide in August, with headline inflation dropping by 7.4 percentage points and food inflation falling by 9 points. Headline inflation declined from 24.9% in July to 17.5% in August, while food inflation dropped from 25.5% to 16.5%. These shifts point to stronger agricultural output, improved market access, and logistical gains.

The reopening of Jalingo’s grains market after July’s flood-induced closure improved food supply, while community-led road grading in Karim Lamido reduced transport bottlenecks. In addition, a state-backed cattle vaccination program boosted livestock health and availability, lowering protein costs. Together, these measures translated into a significant affordability boost for households across the state.

Another major development was the official reopening of the renowned Serti Yam Market in Gashaka Local Government Area for the 2025 trading season. As one of the largest yam exchange hubs in North-East Nigeria, the market is vital for connecting local farmers with buyers from within and outside the state.

With harvests underway, food prices in Taraba have fallen to their lowest levels in recent years—offering relief to consumers but creating challenges for farmers. Reports indicate that in parts of Gashaka, Bali, Donga, and Gassol LGAs, a 100kg bag of freshly harvested maize now sells for between N15,000 and N17,000, a price that many farmers say barely covers production costs.

Adamawa – 17.2%

Adamawa State fell from 4th place in July 2025 to 7th in August on the list of Nigeria’s most affordable states.

Headline inflation in the state rose by 0.9 percentage points, moving from 16.3% to 17.2%, while food inflation climbed by 2 points, from 9.9% to 11.9%. These increases reflect moderate cost pressures across both categories.

The uptick was driven mainly by seasonal fuel price hikes that pushed up transport costs and by temporary bridge repairs along the Yola–Mubi corridor. However, steady maize and groundnut harvests, coupled with expanded farmers’ markets in Jimeta, helped keep food prices from climbing further.

Nasarawa – 16.3%

Nasarawa State has recorded remarkable progress in recent months, rising to the list of Nigeria’s most affordable states despite its proximity to the Federal Capital Territory (FCT), one of the country’s most expensive regions.

The state saw a dramatic 7.7-point decline in headline inflation—from 24.0% in July to 16.3% in August—while food inflation plunged by 12.9 points, dropping from 26.6% to 13.7%. These figures highlight significant cost-of-living relief for households.

The improvement is tied to several factors: improved harvest flows from Keffi and Lafia boosted food supply, state investments in rural feeder roads lowered logistics costs, and a one-month suspension of market levies for small traders in Akwanga reduced markups on essential goods. Collectively, these interventions transformed Nasarawa from one of July’s costliest states to one of August’s most affordable.

In late August, the Federal Government, in collaboration with the International Fund for Agricultural Development (IFAD), distributed farming inputs and tricycles to 352 farmers in Nasarawa to support the 2025 wet season. Beneficiaries were drawn from five LGAs: Lafia, Nasarawa, Doma, Karu, and Wamba.

The inputs distributed included 9,600kg of improved rice seed, 1,408 bags of NPK fertilizer, 384 bags of Urea fertilizer, 352 litres each of selective and non-selective herbicides, and 8,000 bundles of cassava stem cuttings. In addition, nine tricycles were given to selected farmers to ease produce transportation, reduce post-harvest losses, and further stabilize market prices.

Bauchi – 15.3%

Bauchi State moved up from 8th position in July to 5th in August 2025 on the list of Nigeria’s most affordable states.

The state’s affordability improved as headline inflation dropped by 3.6 points, from 18.9% to 15.3%, while food inflation fell by 3.8 points, from 15.5% to 11.7%. These declines reflect stronger agricultural supply and lower transport costs. The timely release of state grain reserves in Bauchi city helped stabilize staple prices, while repairs on the Bauchi–Jos expressway eased freight delays. Additional support came from increased sales by community farming cooperatives and the distribution of subsidized fertilizer, both of which boosted affordability across food and non-food categories.

Earlier in June, Nairametrics reported that the Bauchi State Government approved a N45 billion upgrade of its state-owned fertilizer blending plant. The upgrade aims to expand production capacity to 45 tonnes per hour, ensuring greater availability of fertilizer for farmers ahead of the 2025 cropping season.

Alongside this, the government distributed 20 tractors across all 20 local government areas, with plans to provide an additional 40 tractors later this year under a loan scheme.

To further encourage agricultural participation, the state government has also introduced an incentive for civil servants. Workers on Grade Level 12 and below are now granted two days off per week during the farming season to engage in agricultural activities, a move designed to boost productivity and drive local economic growth.

Lagos – 14.7%

Lagos posted a 6.7-point drop in headline inflation—from 21.4% to 14.7%—thanks to moderating non-food categories like housing and utilities. But food inflation climbed by 2.7 points, rising from 20.3% to 23.0%.

The opening of two new commuter ferry routes eased transport costs, and state incentives for private rental housing stabilized non-food expenses like accommodation. However, import delays at Apapa Port tightened the supply of certain food items, pushing grocery prices upward. Middle- and lower-income earners felt mixed effects: cheaper commuting but more expensive kitchen staples.

Enugu – 14.2%

Enugu State posted the steepest headline inflation decline on the list, dropping by 8.3 points—from 22.5% in July to 14.2% in August. However, food inflation moved in the opposite direction, rising by 3.8 points from 23.1% to 26.9%.

The drop in headline inflation was largely driven by non-food categories. The completion of the Ninth Mile bypass upgrade reduced intercity transport fares, while a state-backed rent relief initiative for civil servants eased housing costs. But local tomato blight outbreaks and supply delays from northern states pushed food prices higher, leaving households grappling with more expensive daily meals despite the overall inflation relief.

In August, the Enugu State Government launched the distribution of 40,000 bags of fertiliser and other agro-inputs to registered farmers across the state. Governor Peter Mbah, speaking at the flag-off, announced that more than 60,000 farmers would benefit from the intervention, which also includes pesticides and cassava stems.

The Governor further reaffirmed plans to establish Agro-Industrial Processing Zones and Agricultural Transformation Centres in each of the state’s three senatorial districts. He highlighted that long-abandoned assets such as Enugu United Palm Products, the Ada Rice Irrigation Scheme, Ojor and Mgbagbu Owa irrigation projects, and the Sunrise Flour Mill have been revitalised.

Other initiatives under the administration’s agricultural push include the Enugu State Livestock Productivity Centre, a Cocoa Development Initiative targeting 3,000 hectares by 2027, the rollout of 2,000 greenhouses for commercial farming by 2026, and the construction of export warehouses to strengthen cashew processing and exports.

Anambra – 14.2%

Anambra’s headline inflation dropped by 6.1 points, moving from 20.3% to 14.2%. However, food inflation increased by 1.4 points, climbing from 22.0% to 23.4%. The rise in food costs offsets some of the benefits from easing non-food prices. Anambra’s commercial activity and trade networks have likely softened the blow in some areas.

The Onitsha Main Market digital payment rollout reduced transaction fees for non-food items, improving consumer pricing. State-funded boreholes in rural LGAs lowered household water expenses, contributing to headline relief. However, August fuel scarcity in neighboring states affected food transport into Anambra, lifting grocery prices slightly despite gains elsewhere.

The persistent pressure on food items limits the overall affordability gains.

Zamfara – 11.8%

Zamfara State claimed the top spot as Nigeria’s most affordable state in August 2025, displacing Yobe.

Headline inflation in the state fell by 1 point, from 12.8% in July to 11.8% in August, while food inflation plunged by 11.4 points, dropping from 14.7% to just 3.3%. This exceptional improvement signals a stronger food supply, smoother distribution, and stable non-food costs. With the lowest cost-of-living pressures nationwide, Zamfara emerged as the standout performer for August.

The sharp decline in food inflation suggests notable gains in the availability and distribution of staples, giving households—particularly in rural areas—tangible relief. While non-food inflation remains a concern, Zamfara continues to deliver the best value compared with other states, with improved security and better market access likely contributing factors.

The state’s performance builds on recent agricultural interventions. In July, Governor Dauda Lawal flagged off the distribution of fertiliser and critical farm inputs to more than 59,000 smallholder farmers across Zamfara. The package included 34,800kg of rice seeds, 80,000kg of maize seeds, 23,740 litres of herbicides, 11,735 litres of insecticides, and 23,470 sachets of seed-dressing chemicals.

Governor Lawal described agriculture as the “lifeblood” of Zamfara’s economy, noting that over 85% of the population depends on farming for survival. Despite the unpredictable 2025 rainy season and climate change challenges, he reaffirmed his administration’s commitment to strengthening the agricultural value chain—from planting to post-harvest—through investments in seeds, fertiliser, technology, and extension services.