Nigeria’s Inflation Rate Increases To 21.09%

The National Bureau of Statistics (NBS) has said that Nigeria’s headline inflation rate increased to 21.09per cent on a year-on-year basis in October, 2022.
Nigeria’s headline inflation rate stood at 20.77per cent on a year-on-year basis in September, 2022.
The NBS made this known via its Consumer Price Index (CPI) and Inflation Report for October released on Wednesday.
According to the report, the figure is 5.09per cent points higher compared to 15.99per cent recorded in October, 2021.
“This shows that the general price level for the headline inflation rate increased in October, 2022 when compared to the same month in the preceding year.
“Meaning that in October, 2022, the general price level was 5.09per cent higher relative to October, 2021,” it said.
According to the report, factors responsible for the increase in annual inflation rate include disruption in the supply of food products.
It said other factors were increased in import cost due to the persistent currency depreciation and a general increase in the cost of production such as the increase in energy cost.
The report said on a month-on-month basis, the Headline inflation rate in October, 2022 was 1.24per cent, which was 0.11per cent lower than the rate recorded in September, 2022 at 1.36per cent.
“This means that in October, 2022, the general price level for the headline inflation rate on a month–on–month basis declined by 0.11per cent,” the report.
According to the report, the factor responsible for the decline in the monthly inflation rate is a decline in the current month’s food index relative to the reference month index, which is due to the harvest season.
The report said the percentage change in the average CPI for the 12 months ending October, 2022 over the average of the CPI for the previous 12 months period was 17.86per cent
“This indicates a 0.91per cent increase compared to the 16.96per cent recorded in October, 2021,” the report noted.
It said increases were recorded in all Classification of Individual Consumption by Purpose (COICOP) divisions that yielded the headline index.
The report said the food inflation rate in October, 2022 was 23.72per cent on a year-on-year basis, which was 5.39per cent higher compared to the rate recorded in October, 2021 at 18.34per cent.
“The rise in food inflation is caused by increases in prices of bread and cereals, food products, potatoes, yams and other tubers, oil and fat.”
It said on a month-on-month basis, the food inflation rate in October was 1.23per cent, which was a 0.21per cent decline compared to the rate recorded in September, 2022 at 1.43per cent.
“This decline was attributed to the reduction in prices of some food items like tubers, palm oil, maize, beans, and vegetables.
“The average annual rate of food inflation for the 12-months ending October, 2022 was 19.83per cent , which was a 0.92per cent points decline from the average annual rate of change recorded in October, 2021 at 20.75per cent,” it stated.
The report said on a year-on-year basis in October, 2022, the urban inflation rate was 21.63per cent, which was 5.11per cent higher compared to the 16.52per cent recorded in October, 2021.
“On a month-on-month basis, the urban inflation rate was 1.33per cent in October, 2022, this was a 0.12per cent decline compared toSeptember, 2022 at 1.46per cent,” the report noted.
It said the corresponding 12-month average for the urban inflationrate was 18.38per cent in October, 2022.
“This was 0.85per cent higher compared to the 17.53per cent reported in October, 2021,” it said.
The report said on a year-on-year basis in October, 2022, the rural inflation rate was 20.57per cent, which was 5.09per cent higher compared to the 15.48per cent recorded in October, 2021.
“On a month-on-month basis, the rural inflation rate in October, 2022 was 1.16per cent, which declined by 0.11per cent compared to September, 2022 at 1.27per cent,” it stated.
It said the corresponding 12-month average for the rural inflation rate inOctober, 2022 was 17.38per cent, which was 0.98per cent higher compared to the 16.39per cent recorded in October, 2021.
On states’ profile analysis, the report showed in October, 2022, all items inflation rate on a year-on-year basis was highest in Kogi at 25.15per cent, followed by Bauchi at 23.45per cent, and Ondo at 23.45per cent.
It, however, said the slowest rise in headline year-on-year inflation was recorded in Plateau at 19.02per cent followed by Borno at 19.31per cent and Nasarawa at 19.39per cent.
The report, however said in October, 2022, all items inflation rate on a month-on-month basis was highest in Abuja at 3.18per cent, followed by Kebbi at 2.80per cent, and Sokoto at 2.57per cent.
“Kwara at -0.14per cent, followed by Kogi at 0.06per cent and Oyo at 0.30per cent recorded the slowest rise on month-on-month inflation,” it added.
The report said food inflation in October, 2022, on a year-on-year basis was highest in Kwara by 30.79per cent, followed by Kogi at 28.74per cent and Imo at 28.64per cent.
“Kaduna at 19.96per cent, followed by Plateau at 20.17per cent and Jigawa at 20.42per cent recorded the slowest rise on year-on-year food inflation,” it said.
It, however, said on a month-on-month basis in October, 2022, food inflation was highest in Sokoto at 3.55per cent followed by Yobe by 3.31per cent and Kebbi at 3.16per cent.
“Kwara at -0.76per cent, followed by Kogi at -0.55per cent and Akwa-Ibom at -0.21per cent recorded the slowest rise on month-on-month inflation,” it noted.