The Nigeria’s inflation rate for February increased significantly to 11.40 per cent year-on-year from 9.60 per cent recorded in the previous month heralding the movement of the nation’s inflation rate into the double-digit range.
According to the National Bureau of Statistics (NBS) latest report, the increase is particularly noteworthy given that the composite Consumer Price Index (CPI) had remained within the single-digit range in the last 37 months.
The bureau explained that the increase in the headline index – composed of the core and food indices – was largely attributed to higher price levels in key economic divisions.
“Consequently, the monthly composite CPI was higher by 2.30 per cent during the month compared to 0.90 per cent recorded in January,” it said.
The nation’s statistics office said after increasing at the same pace for two months, the pace of increases of food prices as recorded by the Food sub-index increased at faster pace in February.
It reported the Food index increased by 11.3 per cent, up by 0.71 percent from rates recorded in January. “During the month, all major food groups which contribute to the Food sub-index increased at a faster pace during the month with the exception of the Potatoes, Yams and Other Tubers; and Sugar, jam, honey, chocolate and confectionery groups,” the NBS added.
The NBS said the index increased by 11.0 percent in February, roughly 2.2 percent from rates recorded in January.
“On a month-on-month basis, the Headline Index increased at a faster pace in February relative to January. The index increased by 2.3 per cent, in February, roughly 1.4 per cent from rates recorded in January, as all divisions that contribute to the index increased with the exception of the imported food items as well as other necessary inputs to producing key local staples such as bread continue to drive the food index higher.
“The Food index increased by 11.3 per cent, up by 0.71 per cent from rates recorded in January. In January, both the Urban and Rural indices recorded marked increases. The urban index rose by 12.3 percent (year-on- year) from 9.7 per cent recorded the month earlier, and the rural index increased by 10.7 percent in February from 9.5 per cent in January,” the NBS said.
On a month-on-month basis, it stressed that both the Urban and Rural indices increased at a faster pace, as the Urban index increased by 3.0 per cent in February from 0.9 per cent in January, while the rural index increased by 1.8 per cent from 0.9 percent in January.
The nation’s statistics office said the percentage change in the average composite CPI for the twelve-month period ending in February 2016 over the average of the CPI for the previous twelve-month period was 9.4 per cent, higher from 9.1 per cent recorded in January.
It further affirmed that the corresponding twelve-month year-on-year average percentage change for the urban index increased from 9.2 per cent in January to 9.5 per cent in February, while the corresponding rural index also increased from 9.0 per cent in January to 9.2 per cent in February.