Nigeria’s inflation rate reaches a 17-year peak — NBS
The headline inflation rate in Nigeria jumped to 19.64% on a year-over-year basis in July, the highest level since 2005, according to the National Bureau of Statistics (NBS).
This was stated in the Consumer Price Index for July 2022 that was released by the bureau on Monday in Abuja by Prince Semiu Adeniran, the Statistician-General of the Federation and Chief Executive Officer of the National Bureau of Statistics.
In a statement outlining the data, Adeniran explained that the CPI evaluates the average change over time in the cost of products and services people use on a daily basis.
He claims that it is a crucial macroeconomic indicator that is used to calculate the inflation rate for the purposes of policy, planning, and economic monitoring.
According to Adeniran, the data indicated that the headline inflation rate was 19.64% in July 2022 on an annual basis.
“This is 2.27 percentage points more than the rate, which was 17.38 percentage points, in July 2021.”
This demonstrates that, when compared to the same month in the year prior, July 2021, the headline inflation rate increased in July 2022.
Accordingly, the general price level was 2.26 percent higher in July 2022 than it was in July 2021, according to Prince Semiu Adeniran.
In all sections of the Classification of Individual Consumption by Purpose that produced the Headline Index, he claimed, rises had been observed.
According to Adeniran, the increase in inflation was brought on by a rise in the food index, which was linked to a disruption in the supply of food items.
The statistician general added that the rise in inflation was brought on by greater transportation costs as a result of rising energy prices.
He claimed that in addition to a rise in the cost of production overall, the increase in the inflation rate was also brought on by an increase in import costs as a result of currency depreciation.
According to him, the headline inflation rate in July 2022 was 1.817%, higher than the rate of 1.816% that was registered in June 2022.
“There was a 16.75 percent change in the average CPI for the year ending in July 2022 compared to the average CPI for the year prior.”