Nigeria’s Inflation Rate Hits 17.33%, Highest In Four Years

Increases were recorded in all COICOP divisions that yielded the Headline index.

 

Nigeria’s inflation rate has risen to 17.33% in February from 16.47% recorded in January.

This is the highest point since April 2017.

According to the CPI/Inflation report released by the National Bureau of Statistics (NBS) on Tuesday, the food inflation stood at 21.79 percent, the highest point since the 2009 data series began.

“The consumer price index, (CPI) which measures inflation increased by 17.33 percent (year-on-year) in February 2021. This is 0.86 percent points higher than the rate recorded in January 2021 (16.47) percent.

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“Increases were recorded in all COICOP divisions that yielded the Headline index. The urban inflation rate increased by 17.92 percent (year-on-year) in February 2021 from 17.03 percent recorded in January 2021, while the rural inflation rate increased by 16.77 percent in February 2021 from 15.92 percent in January 2021,” NBS reported.

A file photo of a resident at a market in Akure, Ondo State. Photo: Sodiq Adelakun
The upward movement in food inflation, NBS said was caused by increases in the prices of bread, cereals, fish, potatoes, yam, and other tubers.

 

On a month-on-month basis, the Headline index increased by 1.54 percent in February 2021, this is a 0.05 percent rate higher than the rate recorded in January 2021 (1.49 percent).

Also, the percentage change in the average composite CPI for the twelve months period ending February 2021 over the average of the CPI for the previous twelve months period was 14.05 percent, showing a 0.43 percent point from 13.62 percent recorded in January 2021.

According to the NBS, the headline inflation for month-on-month also increased to 1.89 percent from 1.83 percentage points.

The upward movement in food inflation, NBS said was caused by increases in the prices of bread, cereals, fish, potatoes, yam, and other tubers, vegetables, meat, oils and fats, fruits, and food products.

Meanwhile, core inflation, which excludes the prices of agricultural items, increased to 12.38 percent in February compared to 11.85 percent in January 2021.

In terms of states, Kogi, Bauchi, and Ebonyi states recorded the highest inflation growths while Kwara, Enugu, and Cross River states saw the slowest rise in inflation for the period under review.

Food Prices Increase As Nigeria’s Inflation Hits 14.89%

Food items on display in the market.

 

Nigeria’s headline inflation has increased for the 15th consecutive month to 14.89% in November 2020, from 14.23% in October.

The report which was released on Tuesday by the National Bureau of Statistics (NBS) also shows a spike in food inflation which jumped to 18.30% in November from 17.38% the previous month, while core inflation declined to 11.05%.

The statistics office attributes the rise in the food index to increases in prices of major food commodities including potatoes, yam, and other tubers, as well as fruits and vegetables.

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Urban inflation was up to 15.47% while rural inflation was seen at 14.33% also in the month of November.

“The urban inflation rate increased by 15.47 percent (year-on-year) in November 2020 from 14.81 percent recorded in October 2020, while the rural inflation rate increased by 14.33 percent in November 2020 from 13.68 percent in October 2020,” the report read.

“Core inflation, which excludes the prices of volatile agricultural produce stood at 11.05 percent in November 2020, down by 0.09 percent when compared with 11.14 percent recorded in October 2020.

“The highest increases were recorded in prices of passenger transport by air, medical services, hospital services, repair of furniture, passenger transport by road, maintenance and repair of personal transport equipment, vehicle spare parts, hairdressing salons, and personal grooming establishments, pharmaceutical products, paramedical services, and motor cars,” NBS noted in the report.

On a year-on-year basis, food inflation was highest in Kogi (24.00 percent), Sokoto and Zamfara (20.60%); Ebonyi (20.20 percent), while Abia (16.20 percent), Bauchi (15.60 percent) and Gombe and Nasarawa (15.00 percent) recorded the slowest rise.

The latest inflation figure is in line with the financial derivatives forecast of 14.8 percent, where the analysts cited November as the first month in which the impact of the increase in the price of PMS and a partial rise in electricity tariffs will feed into the inflation basket.

Nigeria’s Inflation Rises By 11.4% In February

inflationNigeria’s headlines inflation for the month of February has jumped to 11.4% up by 2.6% month-on-month, according to the report just released by the Bureau of Statistics.

Consumer inflation was reported at 9.6% in January, already outside the threshold set for monetary policy considerations by the Central Bank.

Ahead of the release, inflation estimates for February has been put at between 9.7% and 10.1%.

February 2015 Consumer Price Index (CPI)/ Inflation Report released by the National Bureau of Statistics explained, “The faster pace of increases which led to the overall rise in the headline index was recorded across almost all major divisions.

“This contributes to the headline index with the exception of the restaurants and hotels division which increased, albeit at a slower pace.”

According to the statistics office, the food sub-index moved up 1.4% month-on-month to 11.3% in February.

“The food sub-index increased at a faster pace with the exception of potatoes, yams and other tubers and sugar, jam, honey, chocolate and confectionery groups.

“The ‘All Items less Farm Produce’ or Core sub-index, increased at a faster pace in February as imported items as well as other domestic products, resulting in ripple effects across many divisions,” the reports says.

Urban inflation climbed 3.0% to 12.3% and rural inflation reported higher at 10.7% advancing 1.8% last month.

 

Inflation Rises To 9.4 Per Cent In September

NairaNigeria’s headline inflation for the month of September nudged up marginally to 9.4 per cent. This is 0.1 per cent higher than the level in August.

In its latest report, the National Bureau of Statistics attributed the increase to higher food and non-food divisions which contribute to the headline index.

Food inflation rose marginally to 10.2 per cent year-on-year in September from 10.1 per cent in August.

The Bureau also added that the largest increases were recorded in books and stationery groups, as a result of the start of the new school year.

The headline inflation has increased in eight out of the nine months so far in 2015.