Inflation rate hits 17.33 per cent

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Inflation in Nigeria hits 17.33 per cent

Inflation Prices of goods go up
Inflation in Nigeria hits 17.33 per cent. Above retailers in market

By Folasade Akpan

The National Bureau of Statistics (NBS), said the inflation rate increased in February by 0.86 per cent to 17.33 per cent from 16.47 per cent recorded in January.

The NBS said this in its Consumer Price Index (CPI) report for February 2021 released on Tuesday in Abuja.

Increases were recorded in all divisions that yielded the Headline index.

The urban inflation rate increased to 17.92 percent (year-on-year) in February 2021 from 17.03 percent recorded in January 2021, while the rural inflation rate increased by 16.77 percent in February 2021 from 15.92 percent in January 2021.

On month-on-month basis, the Headline index increased by 1.54 percent in February 2021, this is 0.05 percent rate higher than the rate recorded in January 2021 (1.49 percent.

The percentage change in the average composite CPI for the twelve months period ending February 2021 over the average of the CPI for the previous twelve months period was 14.05 percent, showing 0.43 percent point from 13.62 percent recorded in January.

“The corresponding 12-month year-on-year average percentage change for the urban index is 14.66 per cent in February.

“This is higher than 14.23 per cent reported in January, while the corresponding rural inflation rate in February is 13.48 per cent compared to 13.04 per cent recorded in January,” the report stated.

It added that the composite food index rose to 21.79 per cent in February compared to 20.57 per cent in January.

It said the rise in the food index was caused by increases in prices of bread and cereals, potatoes, yam and other tubers, meat, food products, fruits, vegetables, fish and oils and fats.

It added that on month-on-month basis, the food sub-index increased by 1.89 per cent in, up by 0.06 per cent points from 1.83 per cent recorded in January.

The bureau said that ”All items less farm produce” or Core inflation, which excludes the prices of volatile agricultural produce stood at 12.38 per cent in February, up by 0.53 per cent when compared with 11.85 per cent recorded in January.

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“On month-on-month basis, the core sub-index increased by 1.21 per cent in February.

“This was down by 0.05 per cent when compared with 1.26 per cent recorded in January.

“The highest increases were recorded in prices of passenger transport by air, medical services, miscellaneous services relating to the dwelling, hospital services and passenger transport by road.

“Others are pharmaceutical products, paramedical services, repair of furniture, vehicle spare parts, maintenance and repair of personal transport equipment, motor cars, dental services and hairdressing salons and personal grooming establishment,” NBS stated.

For state profile, the NBS said in February, all items inflation on year-on-year basis was highest in Kogi (24.73 per cent), Bauchi (22.92 per cent) and Ebonyi (20.45 per cent).

Meanwhile Enugu (14.73 per cent), Kwara (14.25 per cent) and Cross River (12.97 per cent) recorded the slowest rise in headline year-on-year inflation.

On month-on-month basis, however, February all items inflation was highest in Kogi (3.25 per cent), Ondo (2.46 per cent) and Kebbi (2.43 per cent).

However, Kwara at 0.84 per cent, Kano (0.70 per cent) and Oyo (0.38 per cent) recorded the slowest rise in headline month on month.

For food inflation, on a year-on-year basis, it was highest in Kogi (30.47 per cent), Ebonyi (25.73 per cent) and Sokoto (25.68 per cent).

The report said Gombe (19.32 per cent), Bauchi (18.74 per cent) and Akwa Ibom (18.7 per cent) recorded the slowest rise in year on year inflation.

On month-on-month basis, however, food inflation was highest in Kogi (3.34 per cent), Ondo (3.33 per cent) and Ebonyi (3.26 per cent).

It added that Benue and Niger recorded 0.90 per cent, Kano (0.7per cent) and Oyo (0.09 per cent) recorded the slowest rise in month-on-month food inflation.