Nigeria Inflation Rate Accelerates to 24.08% - NBS

Nigeria Inflation Rate Accelerates to 24.08% – NBS

Nigeria’s headline inflation accelerates further amidst uncertainties in the economy, rising by 129 basis points to 24.08% year on year in July versus 22.79% in the previous month, according to data from the statistics office. It is a tough time to be a Nigerian in Nigeria as buckets of pressures continue to expand.

Food prices have worsened while some companies’ productive capabilities have been reduced due to Nigerian naira weight loss. Things are getting worse under Nigeria’s President Bola Tinubu’s economic reform programme.

Nigerians, a large number of them, have been stretched economically as a result of the double whaming effects of naira devaluation and subsidy removal that earned Mr. President the title of “Baba-go-fast”.

On a month-on-month basis, headline inflation rose by 76 basis points to 2.89% following the recapturing of subsidy removal effects as against 2.13% month-on-month growth reported in June by the National Bureau of Statistics.

Food inflation grew stronger in July by 173 basis points to 26.98% year on year, in contrast to the 25.25% the market saw in the previous month.

Increases in prices of oil and fat, bread and cereals, fish, potatoes, yam and other tubers, fruits, feats, vegetables, milk, cheese, and eggs triggered the rise in food prices.

On a month-on-month basis, food inflation increased by 3.45%, relative to the 2.40% m/m recorded in the previous month. In line with the removal of gasoline subsidies, analysts highlight that the NBS has changed its definition of core inflation to ‘All items less farm produces and energy’.

Consequently, the core inflation rose by 41 basis points to 20.47% year on year from 20.06% in June. The highest increases were recorded in prices of passenger transport by air, passenger transport by road, vehicle spare parts, medical services, maintenance, and repair of personal transport equipment etc.

Elsewhere, the core index increased by 34 basis points to 2.11% month on month in July 2023 compared to the previous month when it surged by 1.77% month on month. #Nigeria Inflation Rate Accelerates to 24.08% – NBS Dollar Index Decreases by 1.6% in July