The National Bureau of Statistics (NBS) says Nigeria’s headline inflation rate increased to 28.92 percent in December 2023.
The NBS disclosed this in its Consumer Price Index (CPI) and Inflation Report for December, which was released in Abuja on Monday.
According to the report, the figure is 0.72 percent points higher compared to the 28.20 percent recorded in November 2023.
It said on a year-on-year basis, the headline inflation rate in December was 7.58 percent higher than the rate recorded in November 2022 at 21.34 per cent.
The report said the increase in the headline index for December 2023 on a year-on-year basis and month-on-month basis was attributed to the increase in some items in the basket of goods and services at the divisional level.
It said these increases were observed in food and non-alcoholic beverages, housing, water, electricity, gas, and other fuel, clothing and footwear, and transport.
Others were furnishings, household equipment and maintenance, education, health, miscellaneous goods and services, restaurants and hotels, alcoholic beverage, tobacco and kola, recreation and culture, and communication.
In addition, the report said, on a month-on-month basis, the headline inflation rate in December 2023 was 2.29 percent, which was 0.20 percent higher than the rate recorded in November 2023 at 2.09 percent.
”This means that in December 2023, the rate of increase in the average price level is more than the rate of increase in the average price level in November 2023.”
It said the percentage change in the average CPI for the 12 months ending December 2023 over the average of the CPI for the previous corresponding 12-month period was 24.66 percent.
“This indicates a 5.81 percent increase compared to 18.85 percent recorded in December 2022.”
The report said the food inflation rate in December increased to 33.93 percent on a year-on-year basis, which was 10.18 percent higher compared to the rate recorded in December 2022 at 23.75 percent.
“The rise in food inflation on a year-on-year basis is caused by increases in prices of bread and cereals, oil and fat, potatoes, yam and other tubers, fish, meat, fruit, milk, cheese, and egg.”
It said on a month-on-month basis, the food inflation rate in December was 2.72 percent, which was a 0.30 percent increase compared to the rate recorded in November 2023 at 2.42 percent.
“The rise in food inflation on a month-on-month basis was caused by an increase in the average prices of oil and fat, meat, bread and cereals, potatoes, yam and other tubers, fish and milk, cheese, and egg.”
The report said that “All items less farm produce and energy” or core inflation, which excludes the prices of volatile agricultural produce and energy, stood at 23.06 percent in December on a year-on-year basis.
“This increased by 4.85 percent compared to 18.21 per cent recorded in December 2022.”
“The exclusion of the PMS is due to the deregulation of the commodity by removal of subsidy.”
It said the highest increases were recorded in prices of passenger transport by road, medical services, actual and imputed rentals for housing, passenger transport by air, pharmaceutical products, accommodation service, etc.
The NBS said on a month-on-month basis, the core inflation rate was 1.82 percent in December 2023.
“This indicates a 0.29 percent rise compared to what was recorded in November 2023 at 1.53 percent.”
“The average 12-month annual inflation rate was 20.76 percent for the 12 months ending December 2023, this was 4.74 percent points higher than the 16.02 per cent recorded in December 2022.”
The report said on a year-on-year basis in December, the urban inflation rate was 31.00 percent, which was 8.98 percent higher compared to the 22.01 percent recorded in December 2022.
“On a month-on-month basis, the urban inflation rate was 2.42 percent in December representing a 0.19 per cent increase compared to November 2023 at 2.23 percent.”
The report said on a year-on-year basis in December, the rural inflation rate was 27.10 percent, which was 6.38 percent higher compared to the 20.72 percent recorded in December 2022.
“On a month-on-month basis, the rural inflation rate was 2.17 percent, which increased by 0.18 percent compared to November 2023 at 1.99 percent.”
On states’ profile analysis, the report showed in December, all items inflation rate on a year-on-year basis was highest in Kogi at 35.58 percent, followed by Lagos at 32.33 percent, and Rivers at 32.16 percent.
It, however, said the slowest rise in headline inflation on a year-on-year basis was recorded in Borno at 23.27 per cent, followed by Taraba at 24.92 per cent, and Katsina at 26.52 percent.
The report, however, said in December 2023, all items inflation rate on a month-on-month basis was highest in Bayelsa at 3.66 percent, followed by Bauchi at 3.51 percent, and Oyo at 3.45 percent.
“Nasarawa at 1.36 percent, followed by Delta at 1.49 percent and Sokoto at 1.58 percent recorded the slowest rise in month-on-month inflation.”
The report said on a year-on-year basis, food inflation was highest in Kogi at 44.73 percent, followed by Kwara at 41.33 percent, and Imo at 39.54 percent.
“Bauchi at 27.49 percent, followed by Jigawa at 27.98 percent and Sokoto at 28.72 percent recorded the slowest rise in food inflation on a year-on-year basis.”
The report, however, said on a month-on-month basis, food inflation was highest in Bayelsa at 4.42 percent, followed by Ogun at 4.11 percent, and Enugu at 4.03 percent.
“While Nasarawa at 1.48 percent, followed by Delta at 1.65 percent and Niger at 1.67 percent, recorded the slowest rise in inflation on a month-on-month basis.”
