NBS: Inflation drops first time in 19 months

Nigeria’s inflation figure has recorded its first decline in 19 months.

According to a report by the National Bureau of Statistics (NBS), inflation dropped to 33.40 percent in the month of July when compared to the 34.19% recorded in June.

On a year-on-year basis, the headline inflation rate was 9.32% points higher compared to the rate recorded in July 2023, which was 24.08%. This shows that the headline inflation rate (year-on-year basis) increased in July 2024 compared to the same month in the preceding year.

It added that on a month-on-month basis, the headline inflation rate in July 2024 was 2.28%,which was 0.03% lower than the rate recorded in June 2024 (2.31%).

“This means that in July 2024, the rate of increase in the average price level was lower than the rate of increase in the average price level in June 2024.

It went on to state that Food inflation rate in also reduced to 39.53% when compared to the 40% in June 2024.

But on a year-on-year basis, there was a 12.55% points increase compared to the rate recorded in July 2023 (26.98%).

“The rise in Food inflation on a year-on-year basis was caused by increases in prices of the following items Semovita, Yam Flour (Prepacked), Wheat Flour (Prepacked), etc (Bread and Cereals Class), Yam, Irish Potatoes, Water Yam, etc (Potatoes, Yam & Other Tubers Class), Groundnut Oil, Palm Oil, (Oil & Fats Class) and Milo, Bournvita, Ovaltine (Coffee, Tea & Cocoa Class), etc.

“On a month-on-month basis, the Food inflation rate in July 2024 was 2.47% which shows a 0.08% decrease compared to the rate recorded in June 2024 (2.55%). The fall can be attributed to the decline in the rate of increase in the average prices of Tin Milk, Baby Powdered milk, etc (Under Milk, Cheese & egg Class), Mudfish fish, Fresh fish (Obokun), snail, etc (Under Fish Class), Date Palm fruit (Debenu), Watermelon, etc Garri, Akpu (fufu),
etc (Under Bread and Cereals Class), Exercise books, Textbooks, etc (Under Books & Stationaries Class) and Turkey meat, Minced Pork, etc (Under Meat Class).”