Nigeria Inflation Hits 28.20%, the Highest - NBS

The Nigerian Bureau of Statistics (NBS) has revealed that inflation for November surged to 28.20% from 27.33% recorded in October, underscoring the rising cost of living in the country.

This was revealed in the new ‘Consumer Price Index: November 2023’ released on Friday, where the National Bureau of Statistics announced that the nation's inflation surged by 0.87% points in November to a new record high in almost two decades.

It reads,

• In November 2023, the headline inflation rate increased to 28.20% relative to the October 2023 headline inflation rate, which was 27.33%.

• Looking at the movement, the November 2023 headline inflation rate showed an increase of 0.87% points when compared to the October 2023 headline inflation rate.

• On a year-on-year basis, the headline inflation rate was 6.73% points higher compared to the rate recorded in November 2022, which was 21.47%. This shows that the headline inflation rate (year-on-year basis) increased in November 2023 compared to the same month in the preceding year (i.e., November 2022).

Headline inflation on a month-on-month basis was 2.09%, which was 0.35% points higher than the records of October, which stood at 1.73%, bypassing the recent claims by the Central Bank that inflation will slow down month-on-month.

Recently, the former apex bank’s Director of the Corporate Communications Department, Isa AbdulMumin, said, 

• Available statistics showed that the first indication of price deceleration was recorded in September.

• Further reforms in the money market, which commenced in October, had accelerated easing prices as indicated by the substantial drop in month-on-month changes recorded in October.

• Moderation in month-on-month price changes was observed in the headline, and food and core components of the consumer basket followed reforms in the money market and relative stability in the FX market.

As of the current prediction, Nigeria's inflation rate is expected to hit 30% at the close of 2034, which aligns with the projections by KPMG and Stears Business. 

The issue witnessed in the Inflation rate in November 2023 is that the rate at which the average price level surges is greater than the rate of increase in the average price level in October 2023.

The report by the NBS reveals that the Food inflation rate in November 2023 stood at 32.84% on a year-on-year basis, 8.72% points higher than the 24.13% rate recorded in November 2022.