Nigeria’s inflation rate grew geometrically in September as Consumer Price Index (CPI) rose by 0.48% bringing the figure to a total of 18.4 per cent at the end of October 2016. This is higher than the 17.9 per cent recorded in the previous month.
“The Consumer Price Index (CPI) which measures inflation increased by 18.3 per cent (year-on-year) in October 2016, 0.48 per cent points higher from the rate recorded in September (17.9 per cent),” the National Bureau of Statistics said in its latest report.
According to the report, the economy recorded increment in the price of good across almost all major divisions of the economy, which contribute to the Headline Index.
The Food Index rose by 17.1 per cent (year-on-year) in October, up by 0.47 per cent points from 16.6 per cent recorded in September. During the month, all major food groups which contribute to the Food sub-index increased with Fruits recording the slowest pace of increase at 11.5 per cent.
Communication and Restaurants and Hotels recorded the slowest pace of growth in October, growing at 5.7 per cent and 9.4 per cent year-on-year respectively.
In the month under review, core sub-index went up by 18.1 per cent, while highest increases were seen in housing, water, electricity, gas and other fuels as well as, fuels and lubricants for personal transport equipment and education.
There was also a significant price movement under the Core Sub-index for Clothing and Footwear, which recorded as increase of 17.8 per cent year on year. Hotels and restaurants, recreation and culture as well as communication record the least growth of 9.4 per cent, 10.3 per cent and 5.7 per cent respectively.
On month-on-month basis, the Urban index rose by 0.81 per cent in October from 0.79 per cent recorded in September bringing it to a total of 19.9 per cent, while the Rural index rose by 0.84 per cent in October from 0.83 per cent in September bringing it to a total of 16.9 per cent.
The percentage change in the average composite CPI for the twelve-month period ending in October 2016 over the average of the CPI for the previous twelve-month period was 14.2 per cent, higher from 13.5 per cent recorded in September. The corresponding twelve-month year-on-year average percentage change for the urban index increased from 14.4 per cent in September to 15.3 per cent in October, while the corresponding rural index also increased from 12.6 per cent in September to 13.3 percent in October.
The rise in food index was caused by increase in prices of Bread and Cereal, Fish, and meat.
Copyright Ships & Ports Ltd. Permission to use quotations from this article is granted subject to appropriate credit given to www.shipsandports.com.ng as the source.