Nigeria’s inflation rate up 0.6% in November – Statistics Bureau

CBN

The Statistics Bureau said inflation in Nigeria was higher in November than October.

Nigeria’s inflation rate rose to 12.3 per cent in November as against 11.7 per cent recorded in October, the Statistician-General of the Federation, Yemi Kale, said in a statement in Abuja on Monday.

Mr. Kale said the o.6 per cent monthly change in the composite Consumer Price Index (CPI) was the result of higher prices in both the food and core indices.

“The rise in the Food Index was as a result of higher food prices in various classes within the index lead by bread and cereals due to higher rice prices,” he said. “Also within this class, gari processing slowed, resulting in its higher prices.”

He added that there were also increased prices in vegetables due to the dry season, higher potato, yams and other tubers, and higher fish prices.

“The higher food prices continue to reflect the impact of recent floods on the production of farm produce.

“This is resulting to difficulty of moving food products to markets across the country, coupled with other processing and seasonal costs,” he said.

The Statistician-General said the average annual rate of rise of the index for the twelve-month period ending in November 2012 was 11.4 per cent when compared to the same period in 2011.

“The core sub-index has deviated from its trend over the previous months, increasing to 13.1 per cent,” he said. “Food prices continue to indicate lagged effects of the floods which occurred from July to mid-October, as well as other demand and supply conditions.”

Food index increased year on year to 11.6 per cent.

Rural, Urban index rose

He said that the urban inflation rate was recorded at 15.8 per cent in November, an increase of 0.5 percentage points from the 15.3 per cent increase recorded in October.

According to him, the rural index rose to 9.8 per cent in November, as against 9.1 per cent recorded in October.

“On a month-on-month basis, the Urban All index increased by 0.6 per cent from October, while the Rural All Items index increased by 0.63 when compared with the previous month.

“The percentage change in the average composite CPI for the twelve-month period ending in November over the average of the CPI for the previous twelve-month period was recorded at 12.1 per cent,” he said.

Mr. Kale said the corresponding 12-month year-on-year average percentage change for the Urban and Rural indices was 14.2 per cent and 10.5 per cent respectively.

He said all items less farm produce index, which excluded the prices of volatile agricultural products, rose by 13.1 per cent year-on-year.

“This was 0.7 percentage points higher than the 12.4 per cent recorded in October. Increases in the Core index was as a result of increases in the Housing, Electricity, Gas and other Fuel divisions,” he said. “Rental and imputed rent prices, increased liquid fuel prices (such as kerosene due to the prevailing supply – demand gaps), increased air transportation costs, and clothing prices.’’