Inflation in Nigeria reached 26.72% in September, according to the NBS

Nigeria’s headline inflation rate rose to 26.72 percent in September 2023, according to the National Bureau of Statistics (NBS).

The September Consumer Price Index (CPI) and Inflation Report, published by the NBS in Abuja on Monday, made this information public.

The report indicates that the level has increased by 0.92 percentage points since August 2023, when it stood at 25.80 percent.

October’s headline inflation rate was 5.94 percent higher than September 2022’s rate of 20.77 percent, the report said, compared on an annual basis.

Certain items in the basket of goods and services at the divisional level, according to the report, contributed to the increase in the headline index for September 2023.

Housing, water, electricity, gas, and other fuels experienced a 4.47 percent increase, while food and non-alcoholic beverages experienced a 13.84 percent increase.

The remaining categories accounted for 2.04% of the total value contributed by individuals: health, 1.80%, furnishings, domestic equipment, and maintenance, 1.34%, and 1.05 %, respectively, besides transportation and apparel.

“The following categories received percentages of 0.44 percent: miscellaneous goods and services; restaurant and hotel; alcoholic beverage, tobacco, and kola; recreation and culture; and communication.”

Furthermore, the report indicates that the headline inflation rate decreased by 1.08 percent from August 2023, when it stood at 3.18 percent, to 2.10 percent in September 2023 relative to the previous month.

This indicates that there was a 1.08 percent decline in the average pricing level from August 2023 to September 2023.

It stated that the average CPI for the twelve months ending in September 2023 experienced a 22.90 percent increase compared to the average CPI for the previous twelve months.

As opposed to the 17.43% increase documented in September 2022, this signifies a growth of 5.47 percent.

The food inflation rate rose to 30.64 percent annually in September, according to the report, an increase of 7.30 percent from the rate of 23.34 percent documented in September 2022.

Olive oil and lipids, bread and cereals, fish, potatoes, yams and other tubers, fruits, meat, vegetables, milk, cheese, and eggs are among the commodities whose prices have increased, contributing to the rise in food inflation.

The food inflation rate decreased by 1.41 percent month-over-month to 2.45 percent in September 2023, from 3.87 percent in August 2023, according to the report.

The average prices of vegetables and fish, bread and cereals, potatoes, yam, and other tubers, and yam contributed to the monthly decline in food inflation.

According to the report, the “All items minus farm produce” or core inflation rate of 21.84 percent year-over-year was observed in September. This rate excludes the volatile agricultural produce and petroleum motor spirit prices.

As opposed to the 17.49% increase documented in September 2022, this figure experienced a growth of 4.35%.

Deregulation of the commodity through the elimination of subsidies led to the PMS’s exclusion.

Price increases for medical services, personal transport equipment maintenance and repair, air and road passenger transportation, and other items were the most significant, according to the report.

Monthly, the NBS reported that the rate of core inflation in September 2023 was 2.22 percent.

“This represents a 0.05 percent increase in comparison to the 2.18 percent recorded in August 2023.”

“For the twelve months ending in September 2023, the average annual inflation rate was 19.55 percent, exceeding the 15.07 percent recorded in September 2022 by 4.48 percentage points.”

In September 2022, the rural inflation rate was documented at 20.32 percent annually; this figure increased by 4.62 percent to 24.94 percent in September 2024, according to the report.

“The rural inflation rate fluctuated by 1.12 percent month-over-month from August 2023, when it stood at 3.08 percent, to January 2023.”

The findings of the report’s analysis of state profiles indicated that the annual rate of inflation for all goods was highest in Kogi at 32.95 percent in September, with Rivers and Lagos following suit at 30.63 and 30.04 percent, respectively.

In contrast, Borno had the weakest year-over-year increase in headline inflation at 21.05 percent, followed by Jigawa and Benue at 22.39 and 23.22 percent, respectively.

As per the report, the monthly inflation rates for all goods and services were highest in Taraba (3.39%), Bauchi (3.38%), and Niger (3.28%) in September 2023.

“The months with the slowest monthly inflation increases were Borno (0.71 percent), Ekiti (1.05 percent), and Benue (1.13 percent).”

Food inflation peaked in Kogi at 39.37% annually, according to the report, with Rivers and Lagos following suit at 359.95% and 35.66%, respectively.

“On an annual basis, Jiga experienced the least rapid increase in food inflation at 23.41 percent, followed by Borno at 25.29 percent and Sokoto at 25.38 percent.”

According to the report, food inflation in Akwa Ibom was the highest month-over-month at 4.23 percent, with Niger and Ebonyi following suit at 4.19 and 3.74 percent, respectively.

The regions with the weakest month-over-month increase in food inflation were Cross River (0.31 percent), Borno (0.62 percent), and Bayelsa (0.73 percent).