Nigeria’s inflation rate surged to 25.80% in July, marking a significant increase of 1.72% compared to the previous month, according to a report released by the National Bureau of Statistics (NBS) on Friday. This rise in inflation reflects the mounting cost of food and the overall cost of living in Africa’s most populous nation.
The NBS report for August 2023 revealed that the headline inflation rate escalated to 25.80%, up from 24.08% in July of the same year.
Analyzing the data, the NBS stated, “Looking at the movement, the August 2023 headline inflation rate shows an increase of 1.72% points when compared to the July 2023 headline inflation rate. On a year-on-year basis, the headline inflation rate was 5.27% points higher compared to the rate recorded in August 2022, which was 20.52%. This shows that the headline inflation rate (year-on-year basis) increased in August 2023 when compared to the same month in the preceding year (i.e., August 2022).”
Furthermore, on a month-on-month basis, the headline inflation rate in August 2023 registered at 3.18%, marking a 0.29% point increase compared to the rate recorded in July 2023, which was 2.89%.
The NBS clarified, “This means that in August 2023, on average, the general price level was 0.29% higher relative to July 2023. The percentage change in the average Consumer Price Index (CPI) for the twelve-month period ending August 2023 over the average of the CPI for the previous twelve-month period was 22.38%, showing a 5.31% increase compared to 17.07% recorded in August 2022.”
The report also provided insights into urban and rural inflation rates. In August 2023, the urban inflation rate on a year-on-year basis stood at 27.69%, reflecting a notable 6.73% point increase compared to August 2022’s rate of 20.95%. On a month-on-month basis, urban inflation in August 2023 reached 3.29%, marking a 0.24% point increase from July 2023’s rate of 3.05%.
For rural inflation, the year-on-year rate in August 2023 was 24.10%, representing a 3.98% point increase compared to August 2022’s rate of 20.12%. On a month-on-month basis, rural inflation in August 2023 was 3.08%, up by 0.34% points compared to July 2023’s rate of 2.74%.
The corresponding twelve-month average for rural inflation in August 2023 was 21.39%, indicating a 4.81% point increase compared to the 16.58% recorded in August 2022.
These inflation figures highlight the challenges faced by Nigerians as they grapple with rising prices and the need for policies and strategies to address these economic concerns.
