The rate at which prices of goods and services are changing on annual basis in Nigeria slowed for the eighth month in September, easing to 15.98 per cent, the National Bureau of Statistics (NBS) has said on in its latest report. However the report said that food price pressure continued into September as all major food sub-indexes increased. The Food Index increased by 20.32 per cent (year-on-year) in September, up marginally by 0.07 percent points from the rate recorded in August (20.25 percent).
The rise in the index was caused by increases in prices of potatoes, yams and other tubers, milk cheese and eggs, bread and cereals, coffee tea and cocoa, soft drinks, fish, meat and oil and fats. On a month-on-month basis, the Food sub-index increased by 0.87 percent in September, down from 1.14per cent recorded in August.
According to NBS “the Consumer Price Index (CPI) which measures inflation increased by 15.98 per cent (year-on-year) in September 2017. This was 0.03 percent points lower than the rate recorded in August (16.01) per cent making it the eighth consecutive decline in the rate of headline year on year inflation since January 2017.
NBS report further said “on a month-on-month basis, the Headline index increased by 0.78 per cent in September 2017, 0.19 per cent points lower from the rate of 0.97per cent recorded in August. The percentage change in the average composite CPI for the twelve-month period ending in September 2017 over the average of the CPI for the previous twelve-month period was 17.17 per cent, showing 0.16 per cent point lower from 17.33 percent recorded in August 2017.
“The Urban index rose by 16.18 percent (year-on-year) in September2017, up by 0.05 percent point from 16.13 percent recorded in August and the Rural index increased by 15.81 percent in September down from 15.91 percent in August. On month-on-month basis, the urban index rose by 0.84 percent in September 2017, down from 0.99 percent recorded in August, while the rural index rose by 0.74 percent in September 2017, down from 0.95 percent in August. The corresponding twelve-month year-on-year average percentage change for the urban index decreased from 18.15 percent in August to 17.87 percent in September, while the corresponding rural inflation rate in September was 16.52 percent compared to 16.58 percent recorded in August 2017.
The average annual rate of change of the Food sub-index for the twelve-month period ending in September 2017 over the previous twelve month average was 18.88 percent, 0.31 percent points from the average annual rate of change recorded in August (18.57) percent. The ”All Items less Farm Produce” or Core sub-index, which excludes the prices of volatile agricultural produce eased further during the month of September to 12.10 percent points from 12.30 percent recorded in August.
On a month-on-month basis, the Core sub-index increased by 0.80 percent in September, lower from 0.93 percent recorded in August.The highest increases were recordedin clothing materials and articles of clothing, solid fuels, garments, passenger transport by air, motorcycles, shoes and other footwear, furniture and furnishing and non- durable household goods. The average 12 month annual rate of change of the index was 14.90 percent for the twelve-month period ending in September 2017, this is 0.47 percent points lower than 15.37 percent recorded in August.
The World Bank in a report last week said it expected Nigeria’s economy to grow by 1 percent in 2017 – 0.2 percentage points below its forecast in April. On a month-on-month basis, the Headline index increased by 0.78 percent in September 2017, 0.19 percent points lower from the rate of 0.97percent recorded in August.
The World Bank in a report last week said it expected Nigeria’s economy to grow by 1 percent in 2017 – 0.2 percentage points below its forecast in April.
