Inflation rate rises for the 14th consecutive month
Food prices continue to rise across the country driving up the nation’s annual inflation rate for the 14th consecutive months to 14.23% in October.
The National Bureau of Statistics (NBS) disclosed this in its Consumer Price Index (CPI) report for October.
“The consumer price index, (CPI) which measures inflation increased by 14.23 percent (year-on-year) in October 2020. This is 0.52 percent points higher than the rate recorded in September 2020 (13.71 percent),” the NBS said.
Food inflation, which measures the rate of increase in prices of goods, rose sharply by 17.38 percent, showing that the upward movement in food prices is yet to stop.
“The composite food index rose by 17.38 percent in October 2020 compared to 16.66 percent in September 2020. This rise in the food index was caused by increases in prices of Bread and cereals, Potatoes, Yam and other tubers, Meat, Fish, Fruits, Vegetable, alcoholic and food beverages and Oils and Fats”, the NBS said.
Urban Vs Rural Inflation
According to the NBS, “The urban inflation rate increased by 14.81 percent (year-on-year) in October 2020 from 14.31 percent recorded in September 2020, while the rural inflation rate increased by 13.68 percent in October 2020 from 13.14 percent in September 2020.
“On a month-on-month basis, the urban index rose by 1.60 percent in October 2020, up by 0.04 from 1.56 percent recorded in September 2020, while the rural index also rose by 1.48 percent in October 2020, up by 0.08 from the rate recorded in September 2020 (1.40 percent).”
Zamfara and Edo lead price increase
Zamfara recorded the highest increase in prices of goods and services with inflation rate of 17.69%, Edo State had the highest increase in food prices with food inflation rate of 21.65%.
The NBS stated, “In October 2020, all items inflation on year on year basis was highest in Zamfara (17.69%), Sokoto (16.99%) and Ebonyi (16.91%), while Lagos (11.96%), Abuja (11.84%) and Cross River (10.50%) recorded the slowest rise in headline Year on Year inflation.
“On month on month basis however, October 2020 all items inflation was highest in Sokoto (2.91%), Edo (2.53%) and Akwa Ibom (2.52%), while Oyo (0.69%), Taraba (0.60%) and Jigawa (0.37%) recorded the slowest rise in headline month on month inflation.
In October 2020, food inflation on a year-on-year basis was highest in Edo (21.65%), Zamfara (20.88%) and Kogi (20.58%), while Lagos (14.57%), Ogun (14.47%) and Ondo (14.23%) recorded the slowest rise. On month on month basis however, October 2020 food inflation was highest in Kwara (3.88%), Edo (3.81%) and Sokoto (3.65%), while Oyo (0.57%) and Jigawa (0.54%) and Taraba (0.29%) recorded the slowest rise on month on month inflation.”