Headline Inflation Rate Rises for 15th Consecutive Months to 14.89%
Nigeria’s headline inflation rate surged for the 15th consecutive months to 14.89% in November, 0.66% higher than 14.23% recorded in October, 2020 according to National Bureau of Statistics (NBS).
The sustained rise in food prices continued to pressure inflation higher in November, offsetting the mild deceleration in Core inflation.
While data shows that Food inflation rose by 92 bps to 18.30% year on year as against 17.38% reported in October, Core inflation, however, moderated by 9 bps to 11.05% from 11.14% in October, 2020.
NBS said in the report that increases were recorded in all COICOP divisions that yielded the Headline index.
On month-on-month basis, the Headline index increased by 1.60 percent in November 2020, representing 0.06 percentage points higher than the rate recorded in October 2020 (1.54 percent).
The report indicates that the percentage change in the average composite CPI for the twelve months period ending November 2020 over the average of the CPI for the previous twelve months period was 12.92 percent.
This representing a 0.26 percentage point increase over 12.66 percent recorded in October 2020.
Meanwhile, the urban inflation rate increased by 15.47 percent (year-on-year) in November 2020 from 14.81 percent recorded in October 2020, while the rural inflation rate increased by 14.33 percent in November 2020 from 13.68 percent in October 2020.
On a month-on-month basis, the urban index rose by 1.65 percent in November 2020, up by 0.05, from 1.60 percent recorded in October 2020.
Just as the rural index also rose by 1.56 percent in November 2020, up by 0.08 from 1.48 percent recorded in October 2020.
The corresponding twelve-month year-on-year average percentage change for the urban index was 13.65 percent in November 2020.
This is higher than 13.29 percent reported in October 2020, while the corresponding rural inflation rate in November 2020 is 12.35 percent compared to 12.09 percent recorded in October 2020.
The composite food index rose sharply by 18.30 percent in November 2020 compared to 17.38 percent in October 2020.
NBS said the rise in food index was caused by increases in prices of Bread and cereals, Potatoes, Yam and other tubers, Meat, Fish, Fruits, Vegetables and Oils and fats.
On month-on-month basis, the food sub-index increased by 2.04 percent in November 2020, up by 0.08 percent points from 1.96 percent recorded in October 2020.
The average annual rate of change of the Food sub-index for the twelve-month period ending November 2020 over the previous twelve-month average was 15.75 percent, 0.33 percent points from the average annual rate of change recorded in October 2020 (15.42 percent).
The ”All items less farm produce” or Core inflation, which excludes the prices of volatile agricultural produce stood at 11.05 percent in November 2020, down by 0.09 percent when compared with 11.14 percent recorded in October 2020.
On month-on-month basis, the core sub-index increased by 0.71 percent in November 2020 representing a sharp 0.54 percentage point decrease when compared with 1.25 percent recorded in October 2020.
The highest increases were recorded in prices of Passenger transport by air, Medical services, Hospital services, Repair of furniture, Passenger transport by road, Maintenance and repair of personal transport equipment.
Other were Vehicle spare parts, Hairdressing salons and personal grooming establishments, Pharmaceutical products, Paramedical services and Motor cars.
Read More: Nigeria’s Headline Inflation Rate Rises to 14.23%
The average 12-month annual rate of change of the index was 10.14 percent for the twelve-month period ending November 2020 representing a 0.18 percent points increase over 9.96 percent recorded in October 2020.
Headline Inflation Rate Rises for 15th Consecutive Months to 14.89%
