The National Bureau of Statistics (NBS), on Wednesday unveiled the Consumer Price Index (CPI), showing that inflation rose to 15.91% in October, 0.7% down from previous month’s 15.98% year-on-year the ninth consecutive drop so far, indicating that while prices remain high in 2017, the pace of increase has slowed down since May 2017 both on a year on year and month on month basis.
“While average headline year on year inflation for the first five months of the year (January to May 2017) stood at 17.45 percent, average headline year on year inflation for the next five months of the year (June to October 2017), stood at 16.01 percent indicating disinflation from June to date, compared to from January to May 2017,” the NBS noted.
Month-on-month, inflation rose 0.76%, slightly better than the previous 0.78%, with prices boosted by food items such as potatoes, yams and other tubers, meat, oil and fats, milk, cheese and egg, bread and cereals, coffee, tea and cocoa, fish and vegetables.
According to the NBS data, in October 2017 all times inflation year-on-year was highest in Bauchi at 23.87%; followed by Nasarawa, 20.23% and Kebbi, 19.17%; while the slowest rise in headline inflation was in Kogi, 9.83%; Federal Capital Territory, 13.23% and Edo, 13.42%.
Food inflation on a year on year basis was highest in Kwara, 26.27%; Nasarawa, 26.18%; and Kano, 24.70%; while Kogi, 11.61%; Bauchi,14.41%; and Benue, 16.21% recorded the slowest rise in food inflation.
Headline inflation fell again to 15.91% year on year from 15.98%, while food inflation fell marginally as Core inflation rises.
The Urban index rose by 16.19% year-on-year in October2017, up by 0.01% point from 16.18% recorded in September, just as the Rural index increased by 15.67% in October 2017 down from 15.81% in September 2017.
Month-on-month, the urban index rose by 0.82 percent in October 2017, down from 0.84% recorded in August, while the rural index rose by 0.72% in October 2017, down from 0.74% in September.
The Food Index jumped by 20.31% year-on-year in October, down marginally by 0.01% from 20.32% in September, while average food inflation for the first five months of the year (January to May 2017) stood at 18.67%, average year on year food inflation for the next five months of the year June to October 2017, was higher at 20.22% indicating higher food price inflation on average in the second five months of the year compared to the first five months.
“While average month on month food inflation for the first five months of the year (January to May 2017) stood at 2.01%, average month on month food inflation for the next five months of the year (June to October 2017), stood at 1.27% indicating a general slow-down in the rise in food prices from June to date compared to from January to May 2017, though the rate of price increases has remained generally higher on a year on year basis.
“The average annual rate of change of the Food sub-index for the twelve-month period ending in October 2017 over the previous twelve month average was 19.14%, 0.26% points from the average annual rate of change recorded in September 18.88%.”