UPDATED: Nigerian inflation ‘falls for fifth straight month’

Nigerian economy improved slightly in 2016, but remains in recession -- NBS [Photo Credit: naija247news.com]
Nigerian economy improved slightly in 2016, but remains in recession -- NBS [Photo Credit: naija247news.com]

The Nigerian economy is gradually coming out of recession, with the annual inflation falling in June for the fifth straight month, the National Bureau of Statistics said Monday.

The bureau said inflation, measured by the Consumer Price Index, fell to 16.10 per cent, lower than 16.25 per cent rate recorded in May.

“The latest index represents the fifth consecutive decline in the rate of inflation since January 2017,” the statistics agency said.

The index reflects the average change over time in prices of goods and services consumed by people for day-to-day living.

On a month-on-month basis, the NBS said the index was 0.30 per cent lower than 1.88 per cent recorded the previous month.

The report noted that the price movement reflected the eigth straight month of decline in the core index since November 2016.

The Urban index rose by 16.15 percent (year-on-year) in June 2017 from 16.34 percent recorded in May, while the Rural index increased by 16.01 percent in June from 16.02 percent in May.

On month-on-month basis, the urban index rose by 1.60 percent in June from 1.84 percent recorded in May, while the rural index rose by 1.57 percent in June from 1.92 percent in May.

The corresponding 12-month year-on-year average percentage change for the urban index increased from 18.88 percent in June to 18.69 percent in May.

Corresponding rural index also increasing from 16.50 percent in May to 16.56 percent in June.

Further review of the latest report showed that the Composite Food Index rose by 19.91 per cent during the month.

The rise was as a result of increases in prices of meat, bread and cereals, fish, potatoes, yam and other tubers, oils and fats, milk, cheese and eggs, coffee, tea and cocoa.

The highest increases were recorded in prices of solid fuels, clothing materials and other articles of clothing and clothing accessories, liquid fuels, spirits, books and stationeries, passenger transport by air, garments, shoes and footwear and motorcycles.

The average 12-month annual rate of rise of the index was at 16.22 per cent for the 12-month period ending in June 2017, about 0.35 per cent points lower from the 12-month rate of change recorded in May.


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  • Edward Obih

    Premium Times Editor,

    Please it is not true. Prices of commodities have almost tripled since January or gone up 250%.

    A 12-inch tuber of yam was selling for ₦600 yesterday. I challenge anybody here to disprove it.

    Unless the statisticians measure only from the prices of one hour ago, inflation is not falling at all.

    • Kay Soyemi (Esq.)

      And you are challenged to prove that the cost of fuel, gas et al is also increasing similarly.

      • Edward Obih

        @kaysoyemiesq:disqus,

        What are you saying? I am telling you that ₦200 rice cannot full me again and you are arguing.
        If i buy ₦200 rice now i must add money to put beans so I can be really full and you are saying
        inflation is falling, to where? People are suffering. Uprising is likely. Violence is coming soon!

    • salisurabeh

      Edward and all others, let give me give you a pep talk on how CPI, consumer price index is measured.

      An item can be rising while the index itself is falling.

      An index is a list of items that form the basis of comparison or reference point on a trend analysis.

      The CPI for Nigeria is actually a list of one thousand five hundred items a typical Nigerian family could use across the nation. It is the box of matches, kerosine, school fees, clothes, water, soft drinks, beer, cement, firewood, planks etc, just name them. It is that composite price movement that is tracked as the index and periodically compared either on a monthly basis or quarterly basis.

      Now food index is treated separately because of its seasonal and swinging nature due to planting and harvesting seasons and due its being usually affected by natural hazards.

      The fact that in June the index on a composite basis has been falling, to me, shows two things. One cost push inflation arising from forex crisis and production hiccups is now tapering off. Secondly, Nigerians have started to align themselves to the realities of the new economies and everybody is now trying to Eke out a living from real sector activities not the rent economy we used to run where government with a huge purse just dashed out money.

      I foresee the inflation rate dropping to 12 -14% band before the end of the year, though that will still be short of the single digit we expect

  • emmanuel

    It is understood. In extreme depression, the people’s purchasing power drops or disappear and they only resort to eating food and paying necessary bills.
    That is the situation today. People no longer travel – local and international, have non of luxuries, shed all avoidable expenditures, shift some others until when the economy will get better. So what we now have is the opposite.
    Only ignorant people will celebrate this kind of report.
    It is an ominous one.

    • oyoko

      Mr knowledge, keep wailing. We will celebrate every minute progress we make. Even from your analysis, we can see that Nigerians now spend on things that will add value to them, we no longer see bottles of beer litter our tables again; where you see one individual consuming 10 bottles of beer at ago. we now take one bottle, go home and project to the next day. some of us have even stop drinking, moving from bad habit to more reasonable human. we now patronize Tinapa, obudu ranch etc for our holidays, instead of unnecessary oyibo land, where they don’t even appreciate the money we spend for such travels. My brother, i will celebrate this new orientation!

  • Romberg

    Just a simple question to ask this government: what was the inflation rate when this government came on board?

    Things have got worse no doubt. We were promised things will get worse, then they will become better. The hope of a positive improvement is now long gone.

    Please ask them, can this government articulate a clear set of policies that they have planned and implemented to reduce inflation of food items? The headline says it’s a fall in inflation, but rice in cost of food, even during raining season, is more than 18%! What type of government is this?

  • Edward Obih

    @kaysoyemiesq:disqus

    Look, do you know that just to fry egg now as a bachelor i need to buy like three eggs. That one
    will cost me ₦150,00, okay? Now i need to put tomatoes inside the eggs. Do you know tomatoes
    are selling for ₦250 per portion of four? Now i need onions and some pepper. That one will cost
    another ₦200.

    So far I have nothing any egg yet O. Just preparing to eat egg. Now, I need to buy salt. That one is
    ₦100 just to put little in the egg for taste. Next i need to buy vegetable cooking oil which costs ₦800
    since i cannot use water to fry the egg – even there is no water supplied since March in my own area.

    I have not eaten anything O. still preparing to eat. Now I need to buy what i am going to eat with egg.
    If i buy yam it will cost ₦600. If i buy bread it will cost me ₦200. Either way my salary must finish quick.
    Now i need to pay Okada who took me to market to buy these things another ₦200 as transport fare.

    I have not eaten anything yet O. I am still preparing to eat as a citizen of a useless federal republic.
    So if i marry later how can i feed my wife and children if me alone needs so much money to eat food?
    I am not eating 4-course meal O. Just to eat bread and fried egg. You can see my big budget for that.

    • Concerno Nigeriana

      @kaysoyemiesq:disqus

      Hahahahaha! But you have not bought gas to fry the eggs now!

      Are you going to eat raw eggs? Gas is costing 4,000 Naira per cylinder. When you eventually make it

      after that hard struggle to eat yam and egg you must remember to go and beg landlord that you can’t

      be able to pay this year’s house rent. It is as simple as that, my brother.

  • Figura

    @kaysoyemiesq:disqus

    Today, under the useless and shambolic APC government there are now 28 million un-employed youths
    in Nigeria; just roaming purposelessly inside Nigeria to beg for food – a staggering figure equal to the
    entire population of Ghana; a neighbouring West African country, according to latest official bulletin
    issued by this same Nigerian Bureau of Statistics.

    Today’s un-employment figure in Nigeria under the APC government is over 50% of the entire population
    of Nigeria at independence in October 1960. As it is, the 28 million jobless youths in Nigeria are no longer
    waiting to be preached to; or taught to be patient by those robbing the treasury in government state
    houses.

    The youths are bracing for pistols, rifles and revolvers, to impose a mob solution on a dysfunctional
    Nigeria. Blood flows in Ikorodu in Lagos state in a bloodbath to mirror the carnage in Borno state.
    It matters not the motive of each gang. What’s key is that Nigeria is the common target.
    A country that forces its youths to arm and kill for survival or for political choice
    or economic grievance will sooner or later have Biafra all over the place.

  • Fairgame

    An evil party that used lies and propaganda to rise to power still thinks it can keep using lies and propaganda to stay in power. They do not realize that the anger in the land against this evil administration has reached boiling point and will soon consume them all. People have never been this hungry in Nigeria. May God punish this evil APC party that has brought nothing but hunger, disease and death to the land.

  • Kickboxer

    COOKING THE BOOKS FOR OSIBANJO!!

  • D-a-n-g-o-t-e-C-e-m-e-n-t

    Information for thè general republic
    Ďäñgoťé3x cement ïs nøw sôld díréct fròm thè fäctory for #1400 per bäg and #300 tó delìver per bäg,indìvìdual càn ořdér a mìñimum of 1OObägs, trailer load of 6OObàgs,träiler load of 900bägs trailer lòad of 14OObägs and abõvé contäct thé sälès Mr Ojekere on (0706538/3208) or assìstant säleś mänäger Mrs Märy on (0813206/6217) for inquiry

  • George

    Sorrow Nigerians bear with Buhari-Aisha they will be coming soon back from UK to drove away the Hyenas and Jarkas her yeye husband put in ASO ROCK.

    I have been watching My Nigeria on AJ tv for three weeks they showed Lagos, Deltan and Igbo land with good activities from acting, comedies, footballs, dancing, schools, etc but only time any part of the Northerners Muslims regions are showed is when they talks of killing, sickness, bombing, destruction, former head of thieves as army coups, under age factories babies producers, hepatitis-e-cases-rise-borno, VVF sickness among their ladies.

    Now you ask yourself how come these animals were in power for so many years yet death is the only the gains.

    • oyoko

      so, this is the best you can give us after leaving your mother land to almost 5000km far away land, only to continue with this bigotry; we thought you went there to further educate and change a sense of reasoning to better yourself and the society you left behind.. Can’t you learn and see the way they do things over there and import the good part of that region to Nigeria. Pls be ashame of yourself, because your status is still the same as the area boys we see at oshodi park.

  • Otile

    Depression is in progress. People are buying less and les of what they need to survive. Economic depression leads to hopelessness, then to revolution, and eventually conflagration. This sheepish administration does not understand.

  • Economist2000

    @disqus_kMRvp57RFC:disqus

    That $153 million fraud at STERLING bank

    “A Federal High Court in Lagos, issued an order allowing the
    country’s anti-graft body to confiscate over $150m belonging to her. According
    to Judge Muslim Hassan, the Economic and Financial Crimes Commission (EFCC)
    had proven beyond reasonable doubt that the monies were proceeds from illegal
    activity”……….
    Africa News

    In Nigeria, the Managing Director of Sterling bank, Yemi Adeola, continues his own corrupt tenure
    in office despite being caught months ago with 153 million dollars stolen from NNPC which a court of law
    has since forfeited to the federal government account as proceed of crime, but which Dizeani Allison-Madueke
    said she did not personally launder.

    Up till today neither the federal government nor the country’s careless media has uncovered who laundered
    the said $153 million with Yemi Adeola’s presumptive complicity. Or has Yemi Adeola himself been brought
    to justice in any court for actively concealing the stolen $153million from the STERLING BANK books,
    so as to avoid detection.

    President Buhari’s merely verbal anti-corruption war is all the more ludicrous as inflation + devaluation
    send the Nigerian economy sprawling to the canvass. The Nigerian economy shrank under Buhari and
    for the first time in 25 years. Prices of food items have nearly tripled after Buhari hiked the pump price
    of petrol by 62% to create 17%+ inflation and deepen poverty all across Nigeria.