FRI, JULY 17 2020-theG&BJournal– Nigeria’s inflation raced to 26 months high in June with cost of food and services recording sharp rise in the month under review.
The latest data reported by the National Bureau of Statistics (NBS) today showed rate jumped 0.16% points higher than the rate recorded in May 2020 (12.40) percent to 12.56% (year-on-year) in June 2020.
The percentage change in the average composite Consumer Price Index (CPI) for the twelve months period ending June 2020, over the average of the CPI for the previous twelve months period was 11.90 percent, representing a 0.11 percent point increase from 11.79 percent recorded in May 2020.
The composite food index rose by 15.18 percent in June 2020 compared to 15.04 percent in May 2020, driven by increases in prices of Bread and Cereals, Potatoes, Yam and other tubers, Fruits, Oils and Fats, Meat, Fish and Vegetables. On month-on-month basis, the food sub-index increased by 1.48 percent in June 2020, up by 0.06 percent points from 1.42 percent recorded in May 2020.
The average annual rate of change of the Food sub-index for the twelve-month period ending June 2020 over the previous twelve-month average was 14.46 percent, representing a 0.13 percent points increase from the average annual rate of change recorded in May 2020 (14.33 percent).
Core inflation was up by 0.01percent to 10.13 percent in June 2020 when compared with 10.12 percent recorded in May 2020. highest increases were recorded in prices of Medical services, Hospital services, Passenger transport by road, Pharmaceutical products, Motor cars, Paramedical services, Maintenance and repair of personal transport equipment, Bicycles, Motor cycles, Vehicle spare parts and Other services in respect of personal transport equipment.
The urban inflation rate increased by 13.18 percent (year-on-year) in June 2020 from 13.03 percent recorded in May 2020, while the rural inflation rate increased by 11.99 percent in June 2020 from 11.83 percent in May 2020. Month-on-month index showed a 1.23 increase in June 2020, up by 0.05 from 1.18 percent recorded in May 2020, while the rural index also rose by 1.19 percent in June 2020, up by 0.03 from the rate recorded in May 2020 (1.16) percent.
The corresponding twelve-month year-on-year average percentage change for the urban index was 12.50 percent in June 2020, higher than 12.36 percent reported in May 2020, while the corresponding rural inflation rate in June 2020 was 11.36 percent compared to 11.26 percent recorded in May 2020.
In June 2020, all items inflation on year on year basis was highest in Bauchi (15.02%), Sokoto (14.88%) and Ebonyi (14.60%), while Cross River (10.95%), Lagos (10.78%) and Kwara (10.03%) recorded the slowest rise in headline Year on Year inflation.
On a month on month basis, however, all items inflation was highest in Bauchi (1.95%), Sokoto (1.89%) and Kogi (1.83%), while Delta (0.56%), Borno and Kwara (0.45%) and Ekiti (0.40%) recorded the slowest rise in headline month on month inflation.
Food inflation on a year on year basis was highest in Sokoto (17.88%), Plateau (17.04%) and Abuja (16.82%), while Lagos (13.46%), Ogun (13.18%) and Bauchi (12.86%) recorded the slowest rise.
On month on month basis however, June 2020 food inflation was highest in Kogi (3.07%), Benue (2.41%) and Zamfara (2.24%), while Ondo (0.47%), Anambra (0.42%) and Lagos (0.18%) recorded the slowest rise.