Despite assurances from the Federal Government, it is still a sad story for Nigerians as the national economy has taken a further dip, with headline inflation rate rising a nudge higher in just one month.
National Bureau of Statistics (NBS), said figures rose to 33.88 per cent in October 2024, up from 32.7 per cent in September 2024, reflecting a 1.18 percentage point month-on-month increase, with the Consumer Price Index (CPI) report, attributing the rise in inflation to increased transportation costs and higher food prices.
On a year-on-year basis, the rate was 6.55 percentage points higher than the 27.33 per cent recorded in October 2023, highlighting a substantial increase in inflation over the past year.
On a month-on-month basis, the headline inflation rate in October 2024 stood at 2.64 per cent representing a 0.12 per cent increase from the 2.52 per cent recorded in September 2024, indicating that the rate of increase in the average price level in October 2024 was higher than the rate of increase observed in September 2024.
The food inflation rate in October 2024 stood at 39.16 per cent year-on-year, an increase of 7.64 percentage points compared to the 31.52 per cent recorded in October 2023, the figures show, indicating that on a month-on-month basis, the food inflation rate rose to 2.94 per cent, a 0.30% increase from the 2.64 per cent recorded in September 2024.
The situation was the result of rising prices of items such as local and foreign beer in the tobacco class, vegetable oil, groundnut oil, and palm oil in the oil and fats class, as well as beef, gizzard, dried beef in the meat class, and products like Lipton, Milo, and Bournvita.
The average annual food inflation rate for the 12 months ending in October 2024 was 38.12 per cent, representing an 11.79 percentage point increase from the 26.33 per cent recorded in October 2023, the bureau stated adding that the core inflation, which excludes the prices of volatile agricultural produce and energy, stood at 28.37 per cent in October 2024 on a year-on-year basis, reflecting an increase of 5.79 per cent compared to the 22.58 per cent recorded in October 2023.
“The highest increases were observed in the prices of items such as bus journeys within the city, motorcycle journeys, and intercity bus journeys (under the Passenger Transport by Road category); rents (both actual and imputed rentals under the Housing category); meals at local restaurants (under the Accommodation Services category); and services such as haircuts, women’s hairbrushes, and women’s hairstyling (under Hairdressing Salons and Personal Grooming Establishments), it stated.
Also on a month-on-month basis, the core inflation rate was 2.14 per cent in October 2024, slightly higher by 0.04 per cent than the 2.10 per cent recorded in September 2024.
The figures also showed that the average twelve-month annual inflation rate stood at 26.12 per cent for the 12 months ending October 2024, representing an increase of 6.14 percentage points compared to the 19.98 per cent recorded in October 2023.
On a year-on-year basis, the urban inflation rate in October 2024 was 36.38 per cent, which was 7.09 percentage points higher than the 29.29 per cent recorded in October 2023. On a month-on-month basis, the urban inflation rate stood at 2.75 per cent in October 2024, marking an increase of 0.08 percentage points compared to 2.67 per cent in September 2024.
The 12-month average urban inflation rate was 34.52 per cent in October 2024, which was 9.76 percentage points higher than the 24.76 per cent reported in October 2023, while the rural inflation rate in October 2024 was 31.59 per cent on a year-on-year basis, reflecting an increase of 6.01 percentage points compared to 25.58 per cent in October 2023.
On a month-on-month basis, rural inflation was 2.53 per cent in October 2024, up by 0.14 percentage points from 2.39 per cent in September 2024, while the 12-month average rural inflation rate was 30.24 per cent in October 2024, which was 8.01 percentage points higher than the 22.23 per cent recorded in October 2023.