Nigeria’s Inflation Remains Defiant, Hits 33.95  As Food Inflation Increases To 40.66 Percents

The Nigeria’s inflationary trend has remained defiant as headline and  food inflation respectively hit 33.95 and 40.66 percents for the month of May, 2024.

The National Bureau of Statistics (NBS) disclosed this Saturday in its Consumer Price Index (CPI) statistical report for the month under review.

The contributions of items on the Divisional level to the increase in the Headline index are presented above in the  table.

According to the report, “In May 2024, the headline inflation rate increased to 33.95% relative to the April 2024 headline inflation rate which was 33.69%. Looking at the movement, the May 2024 headline inflation rate showed an increase of 0.26% points when compared to the April 2024 headline inflation rate.

Also, “The Food inflation rate in May 2024 was 40.66% on a year-on-year basis, which was 15.84% points higher compared to the rate recorded in May 2023 (24.82%).”

The NBS further revealed that on a year-on-year basis, the headline inflation rate was 11.54% points higher compared to the rate recorded in May 2023, which was 22.41%, adding that this showed that the headline inflation rate  (year-on-year basis) increased in the month of May 2024 when compared to the same month in the preceding year (i.e., May 2023).

NBS attributed the rise in Food inflation on a year-on-year basis  increases in prices of the following
items: Semovita, Oatflake, Yam flour prepackage, Garri, Bean, etc (which are under Bread and Cereals Class), Irish Potatoes, Yam, Water Yam, etc (under Potatoes, Yam and other
Tubers Class), Palm Oil, Vegetable Oil, etc (under Oil and fat), Stockfish, Mudfish, Crayfish, etc (under Fish class), Beef Head, Chicken-live, Pork Head, Bush Meat, etc (under Meat
class). Like the month-on-month headline inflation, the month-on-month Food inflation rate in May 2024 was 2.28%, also shows a decrease of 0.22% compared to the rate recorded in April 2024 (2.50%).

“The fall in the Food inflation on a Month-on-Month basis was caused
by a fall in the rate of increase in the average prices of Palm Oil, Groundnut Oil (under Oil and Fats Class), Yam, Irish Potatoe, Cassava Tuber (under Potatoes, Yam & Other Tubers
Class), Wine, Bournvita, Milo, Nescafe (under Coffee, Tea and Coco Class)
The average annual rate of Food inflation for the twelve months ending May 2024 over the previous twelve-month average was 34.06%, which was 10.41% points increase from the average annual rate of change recorded in May 2023 (23.65%)”, it stated.