The National Bureau of Statistics (NBS), says Nigeria’s headline inflation rate increased to 19.64 percent on a year-on-year basis in July.
Prince Semiu Adeniran, the Statistician-General of the Federation and Chief Executive Officer, National Bureau of Statistics (NBS) said this in the Consumer Price Index (CPI) for July 2022 released by the bureau in Abuja on Monday.
Giving a breakdown of the report in a statement, Adeniran said that the CPI measures the average change over time in the prices of goods and services consumed by people for day-to-day living.
According to him, it is a core macroeconomic indicator used in the derivation of the inflation rate for policy, planning, and monitoring of an economy.
Adeniran said the report showed that in July 2022, on a year–on–year basis, the headline inflation rate was 19.64 percent.
“This is 2.27 percent points higher compared to the rate recorded in July 2021, which was 17.38 percent.
“This shows that the headline inflation rate increased in July 2022 when compared to the same month in the previous year of July 2021.
“This means that in July 2022, the general price level was 2.26 percent higher than in July 2021.’’
He said increases were recorded in all Classification of Individual Consumption by Purpose (COICOP) divisions that yielded the Headline index.
Adeniran said the increase in inflation was caused by an increase in the food index attributed to the disruption in the supply of food products.
The statistician-general also said the increase in inflation was caused by an increase in the cost of transportation arising from the higher cost of energy.
According to him, the increase in the inflation rate was also due to an increase in import costs as a result of currency depreciation, as well as a general increase in the cost of production.
He said on a month-on-month basis, the headline inflation rate in July 2022 was 1.817 percent, which was higher than the rate recorded in June 2022 at 1.816 percent.
“The percentage change in the average CPI for the twelve months ending July 2022 over the average of the CPI for the previous twelve months period was 16.75 percent.
“This is showing a 0.46 percent increase compared to 16.30 percent recorded in July 2021.’’
Adeniran said the composite food index on a year-on-year basis was 22.02 percent in July 2022, showing a rise compared to 21.03 percent in July 2021.
He said the rise in the food index was caused by increases in prices of Bread and cereals, Food products, potatoes, yam, and other tubers, meat, fish, oil, and fat.
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The statistician-general said on a month-on-month basis, the food sub-index in July 2022 was 2.04 percent lower than the 2.05 percent recorded in June 2022.
“The index for all items less farm produce (Core inflation), which excludes the prices of volatile agricultural produce stood at 16.26 percent in July 2022 on a year-on-year basis.
“This was higher when compared to 13.72 percent recorded in July 2021. On a month-on-month basis, the core sub-index was 1.75 percent in July 2022 higher when compared to 1.56 percent recorded in June 2022.
He said the highest increases were recorded in prices of gas, liquid fuel, solid fuel, passenger transport by road, passenger transport by air, garments, cleaning, repair, and hire of clothing.
Adeniran said on a year-on-year basis, in July 2022, the urban inflation rate was 20.09 percent, 2.08 percent higher compared to 18.01 percent recorded in July 2021.
He said on a month-on-month basis the urban inflation rate was 1.82 percent in July 2022, showing a decline compared to June 2022 at 1.82 percent.
Adeniran said the rural inflation rate in July 2022 was 19.22 percent on a year-on-year basis, which were 2.47 percent higher compared to the 16.75 percent recorded in July 2021.
“On a month-on-month basis, the rural inflation rate in July 2022 was 1.811 percent, which was higher compared to June 2022 at 1.809 percent.’’
Adeniran said all Items Inflation for the states in July 2022 on a year-on-year basis was highest in Akwa Ibom with 22.88 percent, followed by Ebonyi with 22.51 percent, and Kogi with 22.08 percent.
The statistician-general said the slowest rise was recorded in Jigawa with 16.62 per cent, followed by Kaduna State with 17.04 percent and Borno with 18.04 per cent.
Adeniran said on a month-on-month basis, July 2022 recorded the highest increase in Adamawa with 2.87 per cent, followed by Abuja with 2.84 per cent, and Oyo State with 2.77 per cent.
“While Bauchi recorded the slowest rise on month-on-month inflation with 0.82 per cent, followed by Kano State with 0.83 per cent and Niger State with 1.03 per cent.’’
He said Food Sub-index Inflation for the states in July 2022 on a year-on-year basis was highest in Kwara with 29.28 percent, followed by Akwa Ibom with 27.22 per cent, and Kogi with 26.08 percent.
The statistician-general said Kaduna State recorded the slowest rise in food inflation year-on-year with 17.16 per cent, followed by Jigawa with 17.46 percent and Anambra with 19.25 percent.
Adeniran said on a month-on-month basis, the food inflation sub-index was highest in Kwara with 3.90 percent, followed by Delta with 3.61 percent, and Benue with 2.94 per cent.
While he said Taraba, Gombe, and Niger recorded the slowest rise in month-on-month inflation with 0.14 percent, 0.94 per cent, and 1.13 per cent respectively.
