Economy Watch

NBS says Inflation Rises to 25.8% in August

National Bureau of Statistics (NBS), said inflation rate rose from 24.08% in July 2023 to 25.80% in August 2023.

This was contained in the Consumer Price Index (CPI) August 2023 Report, which the bureau released on its website.

The report noted that in the period under review, headline inflation soared by 1.72% points when compared to that of the preceding month.

NBS said, “In August 2023, the headline inflation rate increased to 25.80% relative to the July 2023 headline inflation rate which was 24.08%.

“Looking at the movement, the August 2023 headline inflation rate shows an increase of 1.72% points when compared to the July 2023 headline inflation rate.”

The report attributed the rise to increases in food, fuel, gas and transportation costs.

NBS said on a year-on-year basis, the headline inflation rate was 5.27% points higher compared to the rate recorded in August 2022, which was 20.52%.

It further explained that this shows that the headline inflation rate (year-on-year basis) increased in August 2023 when compared to the same month in the preceding year (i.e., August 2022).

Similarly, the bureau said, on a month-on-month basis, the headline inflation rate in August 2023 was 3.18%, which was 0.29% points higher than the rate recorded in July 2023 (2.89%).

It added that this means that in August 2023, on average, the general price level was 0.29% higher relative to July 2023.

On food inflation, NBS said the rate in August 2023 was 29.34% on a year-on-year basis, which was 6.22% points higher compared to the rate recorded in August 2022 (23.12%).

According to the data, the rise in food inflation on a year-on-year basis was caused by increases in prices of oil and fat, bread and cereals, fish, fruit, meat, vegetables and potatoes, yam and other tubers, vegetable, milk, cheese and eggs.

NBS said with 31.50%, inflation was highest in Kogi, while Lagos was 29.17% trailed closely by Rivers with 29.06%.

On the other hand, the report said inflation was slowest in Sokoto with 20.91%, Borno 21.77% and Nasarawa 22.25%.

The report said, “In August 2023, all items inflation rate on a year-on-year basis was highest in Kogi (31.50%), Lagos (29.17%), and Rivers (29.06%), while Sokoto (20.91%), Borno (21.77%) and Nasarawa (22.25%) recorded the slowest rise in headline inflation on a year-on-year basis.”

 

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