Economy - September 18, 2023

Nigeria’s inflation jumps by 3.18% to 25.80% in August 2023

Concise Daily September 18, 2023

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Concisedaily News– Nigeria’s headline inflation rate rose by 172bps in August reaching 25.80%y/y, a 29bps to 3.18% month-on-month increase from July’s rate of 24.08% y/y.

In the latest release of the Consumer Price Index (CPI) figures by the National Bureau of Statistics (NBS), a noteworthy surge was observed in the food index, characterized by a substantial increase of 236bps.

This upward movement propelled the food index to a notable 29.34% y/y from 26.98% y/y in July.

This surge in food inflation can be attributed to significant price hikes across various categories including Oil & fat, Bread & cereal, fish, potatoes, yams & other tubers, fruits, meat, vegetables, milk, cheese, and eggs.

Meanwhile, the core inflation metric displayed a gradual upward trend, increasing by 68bps to reach a year-on-year rate of 21.15%, up from July’s 20.47%.

This uptick was primarily driven by notable price hikes in critical sectors, including Air and Road Passenger Transport, Medical Services, Vehicle Spare Parts, and Personal Transport Equipment Maintenance.