The Nation Newspaper

Tag: consumer price index

  • Inflation hits seven-month high at 11.44%

    The consumer price index (CPI) which measures inflation, increased by 11.44 per cent (year-on-year) in December 2018; a 0.16 per cent increase from the 11.28 per cent recorded in November.

    According to the December 2018 CPI/Inflation report released by the National Bureau of Statistics (NBS) released yesterday, all the divisions that contribute to the headline index increased.

    This is the first time in seven months that inflation would reach such levels. The last time the index was this high was in May 2018 when it was 11.66 per cent.

    The CPI measures the average change over time in prices of goods and services consumed by people for day-to-day living.

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    “The urban inflation rate increased by 11.73 per cent (year-on-year) in December 2018 from 11.61 per cent recorded in November 2018, while the rural inflation rate increased by 11.18 per cent in December 2018 from 10.99 per cent in November 2018.

    “On a month-on-month basis, the urban index rose by 0.76 per cent in December 2018, down by 0.07 from 0.83 per cent recorded in November 2018, while the rural index also rose by 0.72 per cent in December 2018, down by 0.06 percent from the rate recorded in November 2018 (0.78) per cent,” the report read.

    For the states, Bayelsa, Zamfara and Ekiti recorded the highest inflation rate while Cross River, Ogun and Kwara recorded the lowest increase in prices.

    Food inflation was also highest in Abuja and Nasarawa while Ogun, Cross River and Oyo states.

  • Nigeria’s inflation drops to 11.61 % in May – NBS

    The National Bureau of Statistics (NBS) says the Consumer Price Index (CPI), which measures inflation for May, decreased to 11.61 per cent (year-on-year) from 13.34 per cent recorded in April.

    The NBS disclosed this in its CPI and inflation Report for May released on Wednesday in Abuja.

    According to the bureau, this figure is 0.87 per cent points less than the rate recorded in April.

    The bureau said the figure showed 16 consecutive reductions in inflation rate since January 2017.

    The report stated that increases were recorded in all the Classification of Individual Consumption by Purpose (COICOP) divisions that yielded the headline index.

    On a month-on-month basis, the bureau said the Headline Index increased by 1.09 per cent in May, up by 0.26 per cent points from the rate recorded in April.

    It stated the percentage change in the average composite CPI for 12 months period ended May over the average of CPI for the previous 12 months period.

    Read Also: NBS: Nigeria’s inflation dips to 12.48%

    It, however, measured the CPI at 14.79 per cent in the period under review, showing 0.41 per cent point lower from 15.20 per cent recorded in April.

    The report further showed that the urban inflation eased by 12.08 per cent (year-on-year) in May from 12.89 per cent recorded in April.

    In addition, it stated that the rural inflation also eased 11.20 per cent in May from 12.13 per cent in April.

    On month-on-month basis, it stated the urban index rose by 1.10 per cent in May, up by 0.25 per cent from 0.85 per cent recorded in April.

    Also, it noted the rural index rose by 1.08 per cent in May, up by 0.26 per cent from the rate recorded in April (0.82) per cent.

    According to the report, the corresponding twelve-month year-on-year average percentage change for the urban index was 15.10 per cent in May.

    This, it stated was less than 15.47 per cent in April, while corresponding rural inflation rate in May was 14.53 per cent compared to 14.95 per cent recorded in April.

    Meanwhile, NBS said the composite food index rose by 13.45 per cent in May compared to 14.80 per cent in April.

    The bureau stated that the ‘’All items less farm produce’’ or Core inflation, which excluded the prices of volatile agricultural produce stood at 10.7 per cent in May 2018.

    This, it noted was down by 0.2 per cent from the rate recorded in April, which was 10.9 per cent.

  • Nigeria’s inflation drops to 15.13 % – NBS

    Nigeria’s inflation drops to 15.13 % – NBS

    The inflation rate, measured by the Consumer Price Index (CPI), has further dropped to 15.13 per cent in January from 15.37 per cent recorded in December, 2017, National Bureau of Statistics, NBS has said.

    The NBS disclosed this in its CPI report for January 2018 released on Wednesday in Abuja.

    The Consumer Price Index (CPI), which measures inflation, started the year 2018 increasing by 15.13 percent (year-on-year) in January 2018

    According to the bureau, this is 0.24 per cent points lower than the rate recorded in December (15.37 per cent).

    It stated that the rate recorded made it the twelfth consecutive disinflation (slowdown in the inflation rate though still positive) in headline year-on-year inflation since January 2017.

    It, however, stated that increases were recorded in the Classification of Individual Consumption by Purpose (COICOP) divisions that yield the Headline Index.

    On a month-on-month basis, the report stated that the Headline index increased by 0.80 per cent in January 2018, 0.21 per cent points higher from the rate of 0.59 per cent recorded in December 2017.

    Read Also: Nigeria’s inflation drops to 15.37% in December 2017  – NBS

    The percentage change in the average composite CPI for the twelve-month period ending January 2018 over the average of the CPI for the previous twelve-month period was 16.22 per cent.

    It stated that the figures showed 0.28 per cent point lower from 16.50 per cent recorded in December 2017.

    Meanwhile, it stated that the Urban inflation rate rose by 15.56 per cent (year-on-year) in January 2018 from 16.78 per cent recorded in December 2017.

    The report stated that the rural inflation rate also eased by 14.76 per cent in January 2018 from 15.02 per cent in December 2017.

    On month-on-month basis, the bureau stated the urban index rose by 0.83 per cent in January 2018, up by 0.17 from 0.66 per cent recorded in December 2017.

    It stated that the rural index also rose by 0.77 per cent in January 2018, up by 0.23 per cent when compared with 0.54 per cent in December 2017.

    According to the report, the corresponding twelve-month year-on-year average percentage change for the urban index is 16.55 per cent in January 2018.

    It stated that this was less than 16.92 per cent reported in December 2017, while the corresponding rural inflation rate in January 2018 was 15.89 per cent compared to 16.10 per cent recorded in December 2017.

    The CPI measures the average change over time in prices of goods and services consumed by people for day- to-day living.

    The construction of the CPI combines economic theory, sampling and other statistical techniques using data from other surveys to produce a weighted measure of average price changes in the Nigerian economy.

    Key in the construction of the price index is the selection of the market basket of goods and services.

    Every month, 10,534 informants spread across the country provide price data for the computation of the CPI and the market items currently comprise of 740 goods and services regularly priced.

    NAN

  • Nigeria’s inflation drops to 15.37% in December 2017 – NBS

    Nigeria’s inflation drops to 15.37% in December 2017 – NBS

    The National Bureau of Statistics ( NBS ) says inflation rate, measured by the Consumer Price Index (CPI), has further dropped to 15.37  per cent in December 2017 from 15.90 per cent recorded in November of the same year.

    The NBS disclosed this in its CPI report for December 2017 released on Tuesday in Abuja.

    The CPI, which measured inflation, ended the 2017 with a rate of 15.37 per cent (year-on-year) in December 2017.

    According to the bureau, this is 0.53 per cent points lower than the rate recorded in November.

    The report stated that it became 11th consecutive disinflation (slowdown in the inflation rate though still positive) in headline year -on- year inflation since January 2017.

    According to the report, increases have been recorded in all the Classification of Individual Consumption by Purpose (COICOP) divisions that yield the Headline Index.

    On a month-on-month basis, the bureau stated that the Headline Index increased by 0.59 per cent in December 2017, 0.19 per cent points higher from the rate of 0.78 per cent recorded in November.

    Read also: Inflation rate down 10 times in a row, says NBS

    It stated that the percentage changed in the average composite CPI for the 12 months period ending in December 2017 over the average of the CPI for the previous 12 months period.

    The NBS stated that the percentage of average composite CPI was 16.50 per cent in the month, showing 0.26 per cent points lower from 16.76 per cent recorded in November 2017.

    Meanwhile, the report stated that the Urban Inflation Rate rose by 15.78 per cent (year-on-year) in December from 16.27 per cent recorded in November.

    It, however, stated that the rural inflation rate also eased by 15.02 per cent in December from 15.59 per cent in November.

    On month-on-month basis, the report stated that the urban index rose by 0.66 per cent in December, down by 0.19 from 0.85 per cent recorded in November.

    It also stated that the rural index rose by 0.54 per cent in December, down by 0.18 per cent when compared with 0.72 per cent in November.

    According to the report, the corresponding 12 months year-on-year average percentage change for the urban index is 16.92 per cent in December.

    This, it stated, was less than 17.26 per cent reported in November 2017, while the corresponding rural inflation rate in December is 16.10 per cent compared to 16.29 per cent recorded in November 2017.

    NAN

  • Experts predict improved consumer price index

    Experts predict improved consumer price index

    The Consumer Price Index(CPI) will improve this year if the government reviews its macroeconomic policies, experts have said.

    According to the experts, the CPI fluctuated last year because of the government‘s misplaced priorities.

    CPI measures average changes in the prices of goods and services consumed by people daily. It is a major determinant of the rate of inflation. Usually, when the CPI is high, it has a corresponding effect on the rate of inflation.

    The experts said the CPI of 11.3 per cent and 11.7 per cent in August and September last year, as provided by the National Bureau of Statistics (NBS), can be improved once the government provides a stable and favourable interest rate regime, and enhance productivity.

    Former Institute of Chartered Accountants of Nigeria (ICAN) President Mr Emmanuel Ijewere said the economy was not productive last year because of huge interest rates occasioned by the fixing of Monetary Policy Rate (MPR) at 12 per cent. This, he said, affected productivity, resulting in constant variations in the prices of goods and services.

    He said: “The huge interest rates have crowded out the private sector operators, resulting in low productivity. Once this happens, it would be difficult to moderate the prices of goods and services in the country. The banks can no longer advance credit to the critical sector of the economy. They are moving and concentrating on fixed-income instruments such as Treasury Bills.“

    Ijewere advised the government to improve agriculture and food price index in particular. Noting that the food price index is a subset of consumer price index, he explained that the two can go together.

    “Agriculture is now being put forward as the major driver of employment in the country. The government must not relax if it wants to achieve food sufficiency, stabilises the prices of foodstuffs, and foster economy growth.

    Former Director of Budget and Research, Central Bank of Nigeria (CBN) Mr Titus Okunronmu, said CPI would improve when the government provides friendly and growth enhanced policies.

    He said the government has focused more in checking inflationary rates to the detriment of productive sectors such as manufacturing and agriculture.

    Mr Okunronmu said there should be a price control mechanisms in Nigeria, arguing that this would check the surge in the price of commodities. He said the government can provide stable inflationary rates, consumer price index, among other economy barometers, once there are no infrastructural challenges.