Nigeria inflation hits 18.55%

Increase in prices of meat, bread, fish, vegetable and other products has forced Nigerian inflation rate at 18.55 percent, the National Bureau of Statistics, NBS, has said.

According to a report released by the NBS Friday, the Consumer Price Index, CPI, which is used to measure inflation, increased by 18.55 percent (year-on-year) in December 2016, 0.07 percent points higher from the rate recorded in November (18.48 percent).

Figures from the report show that the Composite Food Index rose by 17.39 percent in December 2016.

The rise in the index was caused by increases in prices of meat, bread and cereals, oil and fats, fish, vegetables, milk and cheese and eggs, fruits and potatoes, yam and other tubers.

The report added that increases were recorded in all divisions that yield the Headline Index (Farm produce, processed food and All items), noting that Communication and Restaurants/Hotels recorded the slowest pace of growth in December, growing at 5.33 percent and 8.91 percent (year-on-year) respectively.

“Price movements recorded by All Items less farm produce or Core sub-index rose by 18.10 percent (year-on- year) in December, down by 0.10 percent points from rate recorded in November (18.20) percent.

“During the month, the highest increases were seen in Housing, Water, Electricity, Gas and Other Fuels; Clothing and Footwear; and Education: growing at 27.27, 21.62 and 17.84 percent respectively,” the report said.

On the Core sub-index category (including All Items except farm produce), the report said that the highest month-on-month increases were recorded in clothing materials and other articles of clothing, passenger transport by sea, hairdressing salons and personal grooming establishments, passenger transport by road, passenger transport by air, motor cycles and wine.

The report stated that the Urban index rose by 20.12 percent (year-on-year) in December from 20.07 percent recorded in November, and the Rural index increased by 17.20 percent in December from 17.10 percent in November.

On month-on- month basis, the urban index rose by 1.08 percent in December from 0.78 percent recorded in November, while the rural index rose by 1.04 percent in December from 0.79 percent in November.

In December 2015, the Bureau of Statistics (NBS) said the inflation rate rose to 9.6 per cent compared to the 9.4 per cent inflation rate in November of the same year.