… Inflation is now 21.09%
It was not a thing of surprise when the National Bureau of Statistics (NBS) stated on Tuesday that the Consumer Price Index (CPI) which measures the change in prices of goods, increased by 5.09 percent to 21.09 percent year-on-year in October, compared to 15.09 percent in the corresponding period of 2021.
For someone that has been following the trend of things in the country, and seeing the level of devastation the herdsmen and kidnappers have caused to the agric sector of the economy, coupled with the higher energy cost and crisis, it would only be a matter of time for the impacts of these things to be felt by Nigerians.
There is certainly not enough to bring from the farms, and the ones available are sold at exorbitant prices which are influenced by the cost of transportation
However, month-on-month, headline inflation was 1.24 percent, which was 0.11 percent lower than the 1.36 percent recorded in September.
According to the CPI report for October, food inflation increased to 23.72 percent year-on-year which was 5.39 per cent higher than the 18.34 per cent recorded in October 2021.
The rise in food inflation was caused by increases in prices of bread and cereals, food products, potatoes, yams and other tubers, oil and fat.
Month-on-month, however, the food index declined to 1.23 percent in the month under review, representing 0.21 percent decline compared to 1.43 percent in the preceding month, with the reduction attributed to the reduction in prices of some food items including tubers, palm oil, maize, beans, and vegetables.
The report also showed that core inflation which excluded the prices of volatile agricultural produce stood at 17.76 per cent, up by 4.52 percent, when compared to 13.24 percent in October 2021.
The increase in the core index was attributed to the highest increases in prices of gas, liquid fuel, passenger transport by air, solid fuel, and vehicle spare parts.
On a month-on-month basis, the core inflation rate was 0.93 per cent in October compared to 1.59 per cent in September.
The NBS further stated that the increase in the annual inflation rate was due to a disruption in the supply of food products, an increase in the cost of importation due to the persistent currency depreciation and a general increase in the cost of production particularly an increase in energy cost.
However, year-on-year, the urban inflation rate rose to 21.63 percent, up by 5.11 per cent when compared to the 16.52 percent recorded in October 2021.
Month-on-month, the urban inflation rate declined to 1.33 percent, representing a 0.12 percent reduction compared to 1.46 percent in September.
Similarly, the rural index increased to 20.57 percent year-on-year, representing 5.09 percent increase compared to the 15.48 percent recorded in October 2021.
Month-on-month, the rural inflation rate was down to 1.16 percent, which was 0.11 percent lower when compared to 1.27 percent recorded in September.
On the states level, year-on-year, general inflation was highest in Kogi 25.15 per cent, Bauchi 23.45 per cent, Ondo 23.45 per cent, while Plateau 19.02 per cent, Borno 19.31 per cent and Nasarawa 19.39 per cent recorded the slowest rise in headline index in October.
Month-on-month, however, the highest price increases were recorded in Abuja 3.18 per cent, Kebbi 2.80 per cent, Sokoto 2.57 per cent, while Kwara -0.14 per cent, Kogi 0.06 per cent and Oyo 0.30 per cent recorded the slowest increase.
The report showed that year-on-year, food inflation was highest in Kwara 30.79 per cent, Kogi 28.74 per cent and Imo 28.64 per cent, while Kaduna 19.96 per cent, Plateau 20.17 per cent and Jigawa 20.42 per cent recorded the slowest rise.
Also, month-on-month, food inflation was highest in Sokoto 3.55 per cent, Yobe 3.31 per cent and Kebi 3.16 per cent, while Kwara -0.76 per cent, Kogi -0.55 per cent and Akwa-Ibom -0.21 per cent recorded the slowest rise.
