Inflation rises by 0.66% in November, says NBS

Inflation rises by 0.66% in November, says NBS

Following Nigeria’s slip into recession in November, the National Bureau of Statistics (NBS) says inflation increased by 0.66 per cent to 14.89 per cent in November, from 14.23 per cent recorded in October.


The Bureau this in the “Consumer Price Index (CPI) November 2020” report released on Tuesday in Abuja.


The Gross Domestic Product (GDP) contracted by 3.62 per cent year-on-year in real terms in the third quarter of 2020, plunging the nation into recession.


The CPI report for November said that increases were recorded in all Classification of Individual Consumption by Purpose (COICOP) divisions that yielded the Headline Index.


“On month-on-month basis, the Headline Index increased by 1.60 per cent in November. This is 0.06 percentage points higher than the rate recorded in October (1.54 per cent).


“The percentage change in the average composite CPI for the 12 month-period ending in November over the average of the CPI for the previous 12 month-period was 12.92 per cent, representing a 0.26 percentage point increase over 12.66 per cent recorded in October.”


The NBS also said that urban inflation rate increased by 15.47 per cent (year-on-year) from 14.81 per cent recorded in October, while the rural inflation rate increased by 14.33 per cent in November from 13.68 per cent in October.


It added that on a month-on-month basis, the urban index rose by 1.65 per cent in November, up by 0.05, from 1.60 per cent recorded in October, while the rural index also rose by 1.56 per cent in November, up by 0.08 from 1.48 per cent recorded in October.


According to the report, the corresponding twelve-month year-on-year average percentage change for the urban index was 13.65 per cent in November.


This, it said, was higher than 13.29 per cent reported in October, while the corresponding rural inflation rate in November was 12.35 per cent, compared to 12.09 per cent recorded in the previous month.


Besides, the NBS said that composite food index rose sharply by 18.30 per cent in November, compared to 17.38 per cent in October.


“This rise in the food index was caused by increases in prices of bread and cereals, potatoes, yam and other tubers, meat, fish, fruits, vegetables and oils and fats.


“On month-on-month basis, the food sub-index increased by 2.04 per cent in November, up by 0.08 per cent points from 1.96 per cent recorded in October.”


Meanwhile, the “all items less farm produce”, which excludes the prices of volatile agricultural produce, stood at 11.05 per cent in November, down by 0.09 per cent when compared with 11.14 per cent recorded in October.


The report said that on month-on-month basis, the core sub-index increased by 0.71 per cent in November representing a sharp 0.54 percentage point decrease when compared with 1.25 per cent recorded in October.


It added that the highest increases were recorded in prices of passenger transport by air, medical services, hospital services, repair of furniture, passenger transport by road, maintenance and repair of personal transport equipment.


Others are vehicle spare parts, hairdressing salons and personal grooming establishments, pharmaceutical products, paramedical services and motor cars.


The NBS report stated that in the month under review, all items inflation on year-on-year basis was highest in Bauchi at 19.67 per cent, followed by Kogi at 19.81 per cent and Zamfara 17.30 per cent.


Meanwhile, Abia with 13.26 per cent, Delta at 13.20 per cent and Kwara with 12.24 per cent recorded the slowest rise in headline year-on-year inflation.

On month-on-month basis, however, all items inflation was highest in Kogi (3.08 per cent), Bauchi (2.33 per cent) and Oyo (2.25 per cent), while Rivers with (0.88 per cent), Akwa Ibom (0.77 per cent) and Nasarawa (0.44 per cent) recorded the slowest rise in headline month-on-month inflation.


For food inflation, on a year-on-year basis, Kogi recorded the highest figure at 24 per cent, while Sokoto and Zamfara stood at 20.60 percent and Ebonyi at 20.2 per cent.


However, Abia with 16.2 per cent, Bauchi 15.6 per cent, Gombe and Nasarawa with 15 per cent apiece recorded the slowest rise.


“On month-on-month basis. however, food inflation was highest in Kogi at 3.37 per cent, Osun 3.08 per cent and Cross River 2.93 per cent.


“Meanwhile Akwa Ibom stood at 0.60 per cent, Edo at 0.43 per cent, with Nasarawa recording price deflation or negative inflation (general decrease in the general price level of food or a negative food inflation rate).”


Consumer Price Index measures the average change over time in prices of goods and services consumed by people in their day-to-day living.

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