In a move to curb inflation and support the naira, Nigeria’s central bank unexpectedly increased its borrowing rate by 75 bps to a record 27.25%. Despite a slight slowdown in inflation to 32.2% annually in August, new challenges like a 45% increase in gasoline prices and severe floods impacting food production areas have added fresh inflationary pressures. The rate hike has been met with public discontent, highlighted by protests demanding economic relief measures.