Food Prices Push Inflation Above 18 Percent, NBS Says

Nigeria’s inflation rate has continued on the double digit trajectory after it rose to 18.6 per cent in June from 17.7  per cent in May this year.

This represents a 0.9 percent point rise when compared to 17.7 per cent recorded in May, according to the National Bureau of Statistics, NBS.

The report comes on the heels of the Government of Ghana announcement of 15 percent salary allowance for civil servants in the country due to rising inflation in the neighboring West African country.

The federal government has failed to provide such economic buffers for Public workers despite rise in the prices of essential commodities especially food items.

 According to NBS in its Consumer Price Index, CPI Report  food inflation has increased by 1.1 percent point to 20.6 per cent from 19.5 per cent in May.

The NBS said:”In June 2022, the inflation rate increased to 18.60 percent on a year-on-year basis. This is 0.84 percent points higher compared to the rate recorded in June 2021, which is 17.75 percent.

” Increases were recorded in all COICOP divisions that yielded the Headline inflation. On a month-on-month basis, the Headline inflation rate increased to 1.82 percent in June 2022, this is 0.03 percent higher than the rate recorded in May 2022 (1.78 percent) .”

”The composite food index rose to 20.60 percent in June 2022 on a year-on-year basis; the rate of changes in average price level declined by 1.23 percent compared to 21.83 percent in June 2021.

“The rate of changes in food prices compared to the same period last year was higher due to higher food prices volatility caused by COVID 19″.

“This rise in the food index was caused by increases in prices of Bread and cereals, food products, potatoes, yam, and other tubers, meat, fish, oil and fat, and wine,” the NBS said.