Inflation hits 27.3% as costs of beverages, food, others rise

Nigeria’s headline inflation rate for October 2023 has increased to 27.33 percent, the National Bureau of Statistics (NBS) has disclosed.

The figure is 0.9 short of the 28.2 percent recorded 18 years ago, in August 2005.

The NBS in a report released on Wednesday said, on a year-on-year basis, the headline inflation rate was 6.24 points points higher compared to the rate recorded in October 2022, which was (21.09 percent).

“The increase in the headline index for October 2023 was attributed to the increase in some items in the basket of goods and services at the divisional level.

“These increases were observed in Food and non-alcoholic Beverages (14.16%), Housing, Water, Electricity, Gas & other Fuel (4.57%), Clothing & Footwear (2.09%), Transport (1.78%), Furnishings & Household Equipment and maintenance (1.37%), Education (1.08%) and Health (0.82%). Others are Miscellaneous Goods & Services (0.45%), Restaurants & Hotels (0.33%), Alcoholic Beverages, Tobacco & Kola (0.30%), Recreation & Culture (0.19%) and Communication (0.19).”

Similarly, it said food sub-index for October 2023 increased to 31.52% on a year-on-year basis, which was 7.80% points higher compared to the rate recorded in October 2022 (23.72%).

It said the rise in food inflation was due to increases in prices of bread & cereals, oil & fat, potatoes, yam and other tubers, fish, fruit, meat, vegetables and milk, cheese, and eggs.

“However, on a month-on-month basis, the Food inflation rate in October 2023 was 1.91%. This was 0.54% lower compared to the rate recorded in September 2023 (2.45%). The decline in food inflation was caused by a decrease in the average prices of Fruits, oil and fat, coffee, tea and cocoa, bread and cereals.”