Zimbabwe Central Bank Hikes Interest Rate To 200%, Highest In The world

A man shows a wad of the new Zimbabwe two-dollar notes he received from a bank in Harare on November 12, 2019. Jekesai NJIKIZANA / AFP
A man shows a wad of the new Zimbabwe two-dollar notes he received from a bank in Harare on November 12, 2019. Jekesai NJIKIZANA / AFP

 

Zimbabwe’s central bank on Monday more than doubled its key interest rate to a whopping 200 percent, the highest in the world as the southern African country battles hyperinflation.

Annual inflation more than doubled in two months to reach 191 percent in June, stoking fears of a return to 2008 hyperinflation period where savings were wiped out.

The bank’s governing committee announced in a statement the whooping interest rate increase after expressing “great concern” on the recent gallop in inflation.

READ ALSO: Health Workers, Teachers Strike In Zimbabwe

“The committee noted that the increase in inflation was undermining consumer demand and confidence and that, if not controlled, it would reverse the significant economic gains achieved over the past two years,” bank governor John Mangudya said.

The benchmark interest rate was last raised to 80 percent in April from a previous 60 percent.

Central banks around the world have been raising rates to fight inflation as energy and food prices have soared in the wake of Russia’s invasion of Ukraine and supply chain disruptions.

Zimbabwe is in the throes of an economic decline.

The value of the local currency has also suffered major headwinds, losing more than two thirds of its value this year alone to become one of the continent’s worst performing currencies, according to Bloomberg.

Rising prices revive grim memories of hyperinflation that was so bad in 2008 that the central bank issued a Z$100-trillion note, which has now become a collectors’ item.

The government then ditched the local currency and adopted the US dollar and the South African rand as legal tender.

But in 2019 the government reintroduced the Zimbabwean dollar, which has rapidly been declining in value.

The currency has been used parallel to the greenback.

Uganda Opposition Slams Govt Purchase Of Limos As Inflation Bites

Uganda map

 

Ugandan opposition leaders on Tuesday slammed the government’s decision to purchase limousines for senior parliament officials, drawing attention to the country’s skyrocketing cost of living as inflation climbs.

The country of 45 million people has been hit hard by the pandemic and the war in Ukraine, with food prices soaring in recent weeks as President Yoweri Museveni ignores calls for tax cuts and subsidies, urging citizens to live frugally instead.

The 2.4-billion-shilling ($640,000) purchase of two limousines for the parliament speaker and her deputy has stoked public anger, with the country’s main opposition leader, Bobi Wine, attacking the government for failing to “prioritise the suffering of Ugandans”.

“How do we spend 2.4 billion to purchase two vehicles for the speaker and the deputy speaker to attend ceremonies when millions of Ugandans sleep hungry, when the people cannot afford the basics of life,” the rapper-turned-politician told AFP.

Museveni opponent and former presidential candidate Kizza Besigye, who has been charged with inciting violence after he urged Ugandans to protest against the price rise, called the purchase “scandalous”.

“It is clear this is a parasitic government and it has to be stopped,” he told AFP.

But Uganda’s parliament commissioner, Prossy Akampurira Mbabazi, on Tuesday defended the decision to buy the cars, telling AFP: “The public anger is misplaced.”

“The cars which the speaker and the deputy were using were 10 years old and had to be replaced,” she said.

In his annual state of the nation address on Tuesday, Museveni said that “cutting taxes and subsidies, especially on imports, is suicidal because our people may buy carelessly and we end up draining our forex (foreign exchange) reserves.”

Julius Mukunda, the executive director of Civil Society Budget Advocacy Group, an umbrella body of civil society organisations, told AFP “the purchase was in bad taste and in contrast to the president’s call to people to be frugal.”

Eurozone Inflation Soars To New Record Over Ukraine War

 

Eurozone inflation accelerated to another record high in May, data showed Tuesday, as the war in Ukraine stoked energy and food prices and threatened to flatline the economy.

The EU’s Eurostat data agency said that the increase in consumer prices in the 19 countries that use the euro reached 8.1 percent compared to the year before, up from 7.4 percent in April.

The uninterrupted rise in prices heaped pressure on the European Central Bank to speed up interest rate rises for the first time in over a decade.

The ECB has said it plans to hike interest rates in July in order to cool the pressure on prices and is expected to officially end its bond-buying stimulus policies as early as next week.

By raising rates, the ECB would be playing catch-up with other major central banks that have already made moves to tame inflation that has spread globally.

The US Federal Reserve raised rates by an unusually large 50 basis points at the beginning of May, while the Bank of England sealed its fourth consecutive hike.

The chief economist of the European Central Bank, Philip Lane, indicated on Monday that interest rates in the eurozone will rise more cautiously, going up by 0.25 percent in July and again in September.

This would lift the ECB’s bank deposit rate out of negative territory, meaning lenders would no longer pay to park their excess cash at the central bank.

The ECB had previously argued that sharp leaps in consumer prices, driven also by the waning effect of Covid-19 pandemic, were likely to let up, downplaying the inflationary threat.

Russia’s war in Ukraine disrupted that view, worsening already disrupted supply chains and throwing up new shortages in essential material from wheat to metals.

This remained that case in May with energy prices spiking by a hair-raising 39.2 percent from a year earlier. Food prices went up by 7.5 percent.

– Energy crunch –

Western economies including Germany — the eurozone’s biggest — are scrambling to wean themselves off Russian energy, which will also have its effects on inflation.

The EU on Monday agreed to ban two-thirds of its oil dependency by the end of the year — and German and Polish pledges to voluntarily forgo pipeline deliveries could push the cut to 90 percent — which could put still more upward pressure on prices.

The ban on Russian oil swiftly hit the market price for oil which means “that risks (to inflation) are skewed once again to the upside”, said Oxford Economics in a note.

“We think headline inflation will peak in the second quarter but will slow only gradually throughout 2022,” it added.

Policymakers will also be keeping an especially close eye on wages for fear pay increases to help workers meet high prices could stoke inflation further.

Despite the challenges, Lane on Monday stood by the ECB’s assessment that inflation in the eurozone would find its way back to its two percent target in the medium term.

Meanwhile, fears of negative or zero growth in Europe will be fuelled by data showing the French economy contracted 0.2 percent in the first quarter from the previous three months, in a downward revision.

The European Commission this month sharply cut its eurozone growth forecast for 2022 to 2.7 percent, but warned the outlook was highly uncertain because of the war in Ukraine.

UK Inflation Jumps To 40-Year Peak

A man carries shopping bags past people queing to enter a shop in London on May 12, 2022.  JUSTIN TALLIS / AFP

 

Britain’s annual inflation rate surged to a 40-year high last month on rocketing energy costs, official data showed Wednesday, sparking opposition calls for the government to announce an emergency budget to combat a cost-of-living crisis.

Consumer prices index inflation hit 9.0 per cent in April from 7.0 per cent in March, the Office for National Statistics said in a statement.

The ONS estimated that April was the highest level since 1982, and the fastest rate since the current data series began in 1989.

Nations across the world are plagued by decades-high inflation as the Ukraine conflict pushes up energy and food prices, in turn forcing the Bank of England, the US Federal Reserve and others to ramp up interest rates.

The squeeze on UK household budgets tightened further in April due to tax hikes, while wages are failing to keep pace with inflation.

‘Global challenges’

“Countries around the world are dealing with rising inflation,” said British finance minister Rishi Sunak.

“Today’s inflation numbers are driven by the energy price cap rise in April, which in turn is driven by higher global energy prices.

“We cannot protect people completely from these global challenges but are providing significant support where we can, and stand ready to take further action.”

The main opposition Labour party, however, wants an emergency budget to help Britons cope with the cost-of-living crunch.

Labour finance spokeswoman Rachel Reeves described the inflation data as “a huge worry for families already stretched”.

“Today, Labour force a vote for an emergency budget and for a plan for growth.”

Labour is also calling for a windfall tax on the energy sector, which has been boosted as gas and oil prices rocketed on supply worries following key producer Russia’s invasion of Ukraine.

 ‘Apocalyptic’

Bank of England governor Andrew Bailey on Monday warned of an “apocalyptic” situation surrounding runaway food costs — which he said were fuelled by major wheat and cooking oil producer Ukraine finding itself unable to export its goods.

Addressing British MPs, Bailey spoke also of a “very real income shock” coming from surging energy and food prices.

Britain risks falling into recession with inflation expected to top 10 percent by the end of the year, the BoE warned earlier this month.

It came as the central bank hiked its main interest rate by a quarter-point to one percent to tackle inflation.

That was the fourth straight increase by the BoE, while its key rate now stands at the highest level since 2009.

 Energy cap

UK consumer prices leapt in April after a cap on domestic gas and electricity was hiked due to spiking wholesale energy costs.

“Inflation rose steeply in April, driven by the sharp climb in electricity and gas prices as the higher price cap came into effect,” added ONS chief economist Grant Fitzner.

“Around three-quarters of the increase in the annual rate this month came from utility bills.”

Official data showed Tuesday that Britain’s unemployment rate has fallen further to a nearly five-decade low, but the value of wages continues to erode as inflation soars.

The economy shrank in March on the fallout from soaring consumer prices, data showed last week, increasing the prospect of the country falling into recession.

Raised rates have lifted borrowing costs for consumers and businesses, further impacting spending.

AFP

Kenya Boosts Minimum Wage As Inflation Bites

Kenyan President Uhuru Kenyatta looks on during the memorial service for former Kenyan President Mwai Kibaki at the Nyayo National Stadium in Nairobi on April 29, 2022. (Photo by TONY KARUMBA / AFP)

 

Kenyan President Uhuru Kenyatta announced Sunday a 12-percent hike in the minimum wage as the country confronts a surge in the cost of living.

Inflation in the East African economic powerhouse jumped to a seven-month high in April, mainly as a result of skyrocketing fuel and food prices, according to official figures.

“As a caring government, we find there is a compelling case to review the minimum wages so as to cushion our workers against further erosions,” Kenyatta said at a Labour Day rally.

He said the 12 percent increase would come into effect from May 1. It takes the minimum monthly wage from 13,500 Kenyan shillings (about $116.5, 110.5 euros) to 15,120 shillings ($130.5, 124 euros).

However the hike falls far short of the 24 percent that had been sought by the Central Organisation of Trade Unions-Kenya (COTU).

READ ALSO: SERAP Sues Buhari For Failing To Protect, Rescue Kaduna Train Attack Victims

Kenyatta said the high cost of living was due to factors “beyond my control like the coronavirus pandemic and the Russia-Ukraine conflict”.

He castigated rival political leaders — including Deputy President William Ruto — for seeking to blame the government for the economic woes, as the country prepares for crucial elections in August.

Kenyatta cannot run again after serving two terms but has endorsed his former arch-rival Raila Odinga for the top job.

The August 9 presidential election is expected to be a two-horse race between Odinga and Ruto, who was initially anointed by Kenyatta as his successor, but found himself frozen out after a shock 2018 pact between Kenyatta and Odinga.

Kenya’s finance minister last month unveiled a $28 billion budget aimed at helping the economy recover after the Covid-19 pandemic threw hundreds of thousands of people out of work.

Kenyans are struggling to cope with rising costs of basic goods such as food and fuel, a crisis exacerbated by the Ukraine war, while several parts of the country are also suffering from a severe drought.

Inflation reached a seven-month high of 6.47 percent last month from 5.56 percent in March and 5.76 percent in April last year, the statistics bureau announced last week.

Last month the country was also hit by a fuel shortage that triggered long queues at petrol stations and strict rationing.

Nigeria’s Inflation Rate Hits 15.92% As Food, Gas Prices Rise

A file photo of a food trader at a market in Akure, the Ondo State capital. Sodiq Adelakun/Channels Television
A file photo of a food trader at a market in Akure, the Ondo State capital. Sodiq Adelakun/Channels Television

 

The Consumer Price Index (CPI) which measures inflation increased to 15.92 per cent on a year-on-year basis in March 2022.

The National Bureau of Statistics (NBS) disclosed this on Friday in its latest report titled ‘Consumer Price Index March 2022’.

It explained that the percentage reported was 2.25 per cent points lower compared to the 18.17 per cent rate recorded in March last year.

This means that the headline inflation rate slowed down in March 2022 when compared to the same month in the previous year, while increases were recorded in all Classification of Individual Consumption by Purpose (COICOP) divisions that yielded the Headline index.

“On month-on-month basis, the Headline Index increased to 1.74 per cent in March 2022, this is 0.11 percent points higher than the rate recorded in February 2022 (1.63 per cent),” said the report. “The percentage change in the average composite CPI for the 12 months period ending March 2022 over the average previous 12 months period is 16.54 per cent – this shows 0.19 per cent points decrease compared to 16.73 per cent recorded in February 2022.

“The Urban Inflation rate increased to 16.44 per cent year-on-year in March 2022, showing a decline of 2.32 per cent points from the rate recorded in March 2021 (18.76 per cent). In the same vein, the Rural Inflation increased to 15.42 per cent in March 2022 with a decrease of 2.18 per cent points from 17.60 per cent recorded in March 2021.

“On a month-on-month basis, the Urban Index rose to 1.76 per cent in March 2022 – this was up by 0.11 per cent points from the rate recorded in February 2022 (1.65 per cent). The Rural Index rose to 1.73 per cent in March 2022, with 0.12 per cent point increase from 1.61 per cent recorded in February 2022.”

 

Surging Food, Gas Prices

According to the NBS, the corresponding 12-month year-on-year average percentage change for the urban index was 17.10 per cent in March 2022.

It said the figure was lower than the 17.29 per cent reported in February 2022, while the corresponding rural inflation rate in March 2022 stood at 16.00 per cent compared to 16.18 per cent recorded in February 2022.

Similarly, the composite food index rose to 17.20 per cent in March 2022 compared to 22.95 per cent recorded in March the previous year.

The agency blamed the rise in the food index on increases in prices of bread and cereals, food products, potatoes, yam and other tubers, fish, meat, oil and fat.

“On month-on-month basis, the food sub-index increased to 1.99 per cent in March 2022 – this was up by 0.12 per cent points from 1.87 per cent points recorded in February 2022.

“The average annual rate of change of the Food sub-index for the 12-month period ending March 2022 over the previous 12-month average was 19.21 per cent, 0.48 per cent points decrease from the average annual rate of change recorded in February 2022 (19.69 per cent).”

On the ‘all items less farm produce’ or core inflation, which excludes the prices of volatile agricultural produce, NBS said 13.91 per cent was recorded in March 2022, up by 1.24 per cent points when compared to the 12.67 per cent recorded in March 2021.

The highest increases were recorded in prices of gas, garments, cleaning, repair and hire of clothing, shoes and other footwears, clothing materials, other articles of clothing and clothing accessories, liquid fuel, fuels and lubricants for personal transport equipment and other services in respect of personal transport equipment.

Zimbabwe Hikes Interest Rates To 80 Percent

A man shows a wad of the new Zimbabwe two-dollar notes he received from a bank in Harare on November 12, 2019. Jekesai NJIKIZANA / AFP
A man shows a wad of the new Zimbabwe two-dollar notes he received from a bank in Harare on November 12, 2019. Jekesai NJIKIZANA / AFP

 

Zimbabwe’s central bank has raised its benchmark interest rate to 80 percent in a bid to rein in inflation worsened by the war in Ukraine, it announced on Monday.

It marks a jump from the previous 60 percent set in October and is the world’s highest, after Venezuela and Argentina, according to various statistical sources.

According to Bloomberg, the rate is the country’s highest since September 2019 when the bank set it at 70 percent.

READ ALSO: Court Upholds 25-Year Sentence For ‘Hotel Rwanda’ Hero

Inflation in the economically-turbulent country in March ticked upward to 72.7 percent from 66.1 percent the previous month.

The Reserve Bank of Zimbabwe said it had “noted that global inflation was on the increase as a consequence of the on-going Russia-Ukraine conflict which had secondary pass-through effects on domestic and international prices”.

It said global rising prices of oil, gas and fertilisers had “inevitably had a negative impact on domestic costs of production and was destabilising the foreign exchange market”.

AFP

Lawmakers Seek Re-Introduction Of Coins To Tackle Inflation

The House of Representatives chamber.

 

The House of Representatives has asked the Central Bank of Nigeria to reinforce the use of coins in the country, as part of efforts to tackle price inflation and stabilise the economy.

The matter was deliberated upon during plenary on Tuesday following a motion moved by a lawmaker, representing Toro Federal Constituency in Bauchi State, Umar Lawal.

It’s been decades since the use of coins was withdrawn in Nigeria.

Nigeria’s Inflation Rate Drops To 15.6% In January

A photo of customers buying food stuff from the market

 

The consumer price index measures which measure inflation has increased by 15.6 percent in January, year on year.

This was 0.87 percent points lower than the rate recorded in January 2021 (16.47) percent.

The Statistician-General of the Federation, Dr Simon Harry, disclosed this on Tuesday during a press briefing at the National Bureau of Statistics, Abuja.

He said on a month-on-month basis, the headline index increased by 1.47 percent in January 2022 which was 0.34 percent points lower than the 1.82 percent recorded in December 2021.

READ ALSO: Nigeria’s Inflation Rate Rises To 15.63% In December 2021

According to him, the urban inflation rate increased by 16.17 percent year-on-year in January 2022 from 17.03 percent recorded in January 2021, which was lower by 0.86 percent points.

On the other hand, the rural inflation rate increased by 15.06 percent in January 2022 from 15.92 percent in January 2021, which was lower by 0.86 percent points. On a month-on-month basis, the urban index rose by 1.53 percent in January 2022, which was down by 0.34 percent points from 1.87 percent, being the rate recorded in December 2021.

The rural index also rose by 1.42 percent in January 2022, which was down by 0.35 percent points from 1.77 percent the rate recorded in December 2021.

The corresponding twelve-month year-on-year average percentage change for the urban index was 17.44 percent in January 2022. This was lower than the 17.52 percent reported in December 2021.

The rural inflation rate in January 2022 was 16.31 percent, compared to 16.40 percent recorded in December 2021.

Similarly, the composite food index rose by 17.13 percent in January 2022 compared to 20.57 percent in January 2021.

This rise in the food index was caused by increases in prices of Bread and cereals, Food products such as Potatoes, yam and other tubers, Soft drinks, Oils and fats, and fruits.

 

Nigeria’s Inflation Rate Rises To 15.63% In December 2021

A file photo of a woman at a market.

 

Nigeria’s inflation rate has risen to 15.63 percent in December 2021 from 15.50 percent recorded in November.

The Statistician-General of the Federation, Dr. Simon Harry, disclosed this on Monday during a press briefing at the National Bureau of Statistics, Abuja.

Data from the NBS showed that headline inflation has been on a downward trajectory since April 2021.

However, the trend was broken in December when year-on-year inflation climbed 0.23 points higher than the figure recorded in November.

READ ALSO: Nigeria’s Economy To Grow By 2.5% In 2022 – World Bank

“However, it may interest you to note that this trend has been broken by the slight change in the month of December 2021 as the inflation rate for all items for the month increased to 15.63 per cent, year-on-year,” he said during the press conference.

“Although, this is a decline when compared to the corresponding month in 2020 which recorded 15.75 per cent.

“This trend clearly shows an increase from 15.40 per cent recorded in the month of November 2021 to 15.63% in December 2021. This is 0.23 per cent points higher than the rate recorded in November 2021.”

According to the Statistician-General of the Federation, the change in the declining trend might have been caused by the increase in prices of goods and services driven by increased demand during the month under review, being a festive season.

Markets Rally With Wall Street As Powell Eases Inflation Fears

Traders work on the floor of the New York Stock Exchange (NYSE) the morning after U.S. President Donald Trump was impeached by the House of Representatives on December 19, 2019 in New York City. Despite the events in Washington, markets were up sharply in morning trading. Spencer Platt/Getty Images/AFP

 

Asian and European equities rallied Wednesday, tracking a strong performance on Wall Street as Federal Reserve chief Jerome Powell said he was determined to rein in runaway inflation but pledged to maintain the healthy recovery in the world’s top economy.

Global markets have endured a torrid start to the year after minutes from the bank’s December meeting revealed a hawkish tilt by officials spooked by months of stubbornly high price rises that many fear could hit consumers and ruin the growth rebound.

They showed policymakers wanted to speed up their cycle of monetary tightening, including multiple interest rate hikes — some commentators saying four this year — and the shrinking of the bond holdings on its balance sheet, which help keep lending rates down.

Traders have been worried by the prospect of an end to the ultra-loose policies, which have helped power a two-year market rally and support the pandemic-hit economy.

But Powell managed to soothe some of those fears Tuesday during his Senate reconfirmation hearing.

He said the economy was on a strong footing, and with inflation rising and employment recovering, “the economy no longer needs or wants the very highly accommodative policy”.

READ ALSO: Djokovic Saga Leaves Australian Open Mired In Uncertainty

Inflation was “very near the top of the list” of risks to the economic outlook, he said, adding that the current rate is “very far above target”.

Prices are currently rising at their fastest pace in four decades owing to a number of pressures including surging wage growth, supply chain snarls and high energy costs.

The Fed expects a “return to normal supply conditions” in the coming months, Powell said, but “if we see inflation persisting at high levels longer than expected… we will use our tools to get inflation back”.

The comments were taken by traders to be less hardline than feared, suggesting recent fears about a swift removal of easy-money measures may have been overdone.

Michael Hewson of CMC Markets said Powell appeared “mindful of the dangers of going too quickly in draining liquidity, although he was clear to stress that the Fed was also alive to the risks of acting too slowly, in curbing inflation risks”.

– Music to the ears –

And Matt Simpson, of StoneX Financial, added: “Jerome Powell telling the congressional hearing that the US economy will be able to withstand the combination of Omicron and the Fed tightening was music to Wall Street’s ears.

“And with markets getting too used to the idea of inflation being rampant, perhaps expectations (for much higher inflation) are ahead of themselves.”

Simpson added that if US inflation figures came in below forecasts later Wednesday, that “could be enough to shake out some pre-emptive doom-mongers and further support equities, as part of the reason they sold off was the upward revision to Fed hikes, based upon inflationary fears”.

Wall Street cheered, with Nasdaq climbing more than one percent, having taken a severe hit recently as tech firms are more susceptible to higher borrowing rates.

The gains extended into Asia, with Hong Kong up 2.8 percent, thanks to a boost in tech firms, and Tokyo up a little shy of two percent.

Seoul and Manila were also up more than one percent, while Shanghai, Sydney, Taipei, Mumbai and Bangkok were up. London, Paris and Frankfurt were all well up at the open.

Data showing Chinese factory gate and consumer inflation grew slower than expected — and left room for the central bank to cut interest rates — provided extra support.

While most observers expect equities to endure some tough times in the near future, they remain broadly upbeat about the outlook for this year.

OANDA’s Edward Moya said he remained optimistic for three reasons.

“Household and corporate balance sheets remain very healthy, the upcoming earnings season should be strong, and the economy will still see above-trend growth even if the Fed raises rates three times and begins the balance sheet runoff in the summer.”

The upbeat vibe helped oil markets hold on to Tuesday’s more than three percent rally, which was fired by the Energy Information Administration lifting its 2022 price forecast by almost $5 from its December projection as worries ease about the Omicron coronavirus variant.

– Key figures around 0820 GMT –

Tokyo – Nikkei 225: UP 1.9 percent at 28,765.66 (close)

Hong Kong – Hang Seng Index: UP 2.8 percent at 24,402.17 (close)

Shanghai – Composite: UP 0.8 percent at 3,597.43 (close)

London – FTSE 100: UP 0.5 percent at 7,527.89

Dollar/yen: UP at 115.43 yen from 115.28 yen late Tuesday

Euro/dollar: DOWN at $1.1366 from $1.1371

Pound/dollar: DOWN at $1.3633 from $1.3637

Euro/pound: DOWN at 83.35 pence from 83.38 pence

West Texas Intermediate: UP 0.2 percent at $81.40 per barrel

Brent North Sea crude: UP 0.1 percent at $83.77 per barrel

New York – DOW: UP 0.5 percent at 36,252.02 (close)

Nigeria’s Inflation Rate Drops To 15.4% –  NBS

A file photo taken at a food market. A large percentage of poor Nigerians live in the rural areas where the predominant occupation is farming.
A file photo showing traders at a food market.

 

Nigeria’s annual inflation rate has dropped for the seventh straight month to 15.4 per cent in November as against 15.99 percent reported in the previous month. 

This is according to the National Bureau of Statistics (NBS) Consumer Price Index (CPI) report released by the agency on Wednesday.

The new figure represents a 2.77 percentage point decline since March when the inflation rate hit 18.17 per cent.

“The consumer price index, (CPI) which measures inflation increased by 15.40 per cent (year-on-year) in November 2021. This is 0.51 percent points higher than the rate recorded in November 2020 (14.89) per cent,” the report added.

“Increases were recorded in all COICOP divisions that yielded the Headline index. On a month-on-month basis, the Headline index increased by 1.08 percent in November 2021, this is a 0.10 per cent rate higher than the rate recorded in October 2021 (0.98) per cent.

“The percentage change in the average composite CPI for the twelve months period ending November 2021 over the average of the CPI for the previous twelve months period was 16.98 per cent, showing 0.02 percent point from 16.96 per cent recorded in October 2021.”

READ ALSO: Nigeria’s Inflation Rate Declines To 17.75%

Furthermore, the NBS report indicated that the urban inflation rate rose by 15.92 per cent (year-on-year) in November 2021 from 15.47 per cent in November 2020.

This is just as the rural inflation level jumped by 14.89 per cent in November 2021 from 14.33 per cent in November 2020.

“On a month-on-month basis, the urban index rose by 1.12 per cent in November 2021, up by 0.10 the rate recorded in October 2021 (1.02) per cent, while the rural index also rose by 1.04 per cent in November 2021, up by 0.09 the rate that was recorded in October 2021 (0.95) per cent,” it added.

“The corresponding twelve-month year-on-year average percentage change for the urban index is 17.55 percent in November 2021. This is higher than 17.53 per cent reported in October 2021, while the corresponding rural inflation rate in November 2021 is 16.42 percent compared to 16.39 per cent recorded in October 2021.”