CEM REPORT, MARKET | Nigeria’s inflation rate recorded a 0.61 per cent increase in October 2023. This puts the nation’s present headline inflation rate at 27.33 per cent from 26.72 per cent in September 2023.
This is as the average Consumer Price Index for the twelve months ending October 2023 stood at 23.44 per cent, a 5.57 per cent increase
The recent report by the National Bureau of Statistics (NBS), on Consumer Price Index (CPI) for October 2023 l, reveals that on a month-on-month basis, the headline inflation rate in October 2023 was 1.73 per cent, which is 0.37 per cent lower than the 2.10 per cent recorded in September 2023.
This means that in October 2023, the rate of increase in the average price level is less than the rate of increase in the average price level in September 2023.
The report noted that food & non-alcoholic beverages were the highest contributors to the increase with 0.90 per cent, followed by housing, water, and electricity. gas & other fuel with 0.29 while clothing & footwear recorded a 0.13 per cent increase.
It is worth noting that transport increased by 0.11 per cent between September 2023 and October 2023.
A month-on-month state profile reveals that Yobe state recorded the highest inflation rate at 3.72 per cent, followed by Jigawa at 2.85 per cent and Sokoto at 2.84 per cent.
“while Kogi (1.01%), Edo (1.05%) and Kwara (1.18%) recorded the slowest rise on month-on-month inflation.”
Furthermore, on a year-on-year basis, the headline inflation rate was 6.24 per cent points higher compared to the 21.09 per cent recorded in October 2022.
This shows that the headline inflation rate on a year-on-year basis increased in October 2023 when compared to October 2022.
State analysis reveals that Kogi led with the highest year-on-year inflation increase at 34.20 per cent, while Rivers recorded 31.44 per cent and Lagos 31.23 per cent.
“while Borno (20.06%), Jigawa (23.52%) and Sokoto (24.47%) recorded the slowest rise in Headline inflation on a year-on-year basis.”
URBAN INFLATION
Headline inflation in urban areas slowed by 0.43 per cent points reaching 1.81 per cent in October 2023 compared to 2 24 per cent recorded in September 2023.
While on a year-on-year basis, the Urban inflation rate was 29.29 per cent in October 2023, this is 7.66 per cent points higher compared to the 21.63 per cent recorded in October 2022.
RURAL INFLATION
The Rural inflation rate in October 2023 stood at 1.67 per cent, a 0.29 per cent points decline when compared to 1.96 per cent recorded in September 2023.
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“The Rural inflation rate in October 2023 was 25.58 per cent on a year-on-year basis; this was 5.01 per cent higher compared to the 20.57 per cent recorded in October 2022.”
12 MONTHS AVERAGE.
The percentage change in the average CPI for the twelve months ending October 2023 over the average of the CPI for the previous twelve-month period was 23.44 per cent, showing a 5.57 per cent increase compared to 17.86 per cent recorded in October 2022.
Similarly, the corresponding twelve-month average for the Urban inflation rate was 24.76 per cent in October 2023, 6.38 per cent points higher compared to the 18.38 per cent reported in October 2022.
“The corresponding twelve-month average for the Rural inflation rate in October 2023 was 22.23 per cent. This was 4.85 per cent higher compared to the 17.38 per cent recorded in October 2022.”
