Higher Food Prices Push Inflation to 11.28%

By James Emejo in Abuja

The consumer price index (CPI) which measures inflation increased to 11.28 percent (year-on-year) in November compared to 11.26 percent in the preceding month, according to the National Bureau of Statistics (NBS).

The 0.02 percent points increase resulted from price increases in all the divisions that constitute the Headline index.

Food inflation stood at 13.30 per cent compared to 13.28 percent in October while Core Inflation was recorded at 9.80 percent from 9.90 percent in the preceding month.

According to the CPI report for November which was released on Friday by the statistical agency, urban inflation rate increased by 11.61 percent (year-on-year) in November from 11.64 percent recorded in October while the rural inflation rate increased by 10.99 percent in November 2018 from 10.93 percent in October 2018.

On a month-on-month basis, the urban index rose by 0.83 percent in the review period, up by 0.07 from 0.76 percent recorded in October 2018, while the rural index also rose by 0.78 percent in November, down by 0.06 percent from 0.72 percent rate recorded in October.

According to the NBS, the rise in the food index was caused by increases in prices of Bread and cereals, Milk, cheese and egg, Fish, Vegetables, Fruits, Oil and fats, Potatoes, yam and other tubers.

Core inflation, which excludes the prices of volatile agricultural products was down by 0.1 percent from the 9.9 percent recorded in October.

On month-on-month basis, the core sub-index increased by 0.68 percent in November, down
by 0.12 percent when compared with 0.80 percent recorded in the preceding month.

“The highest increases were recorded in prices of major household appliances, Fuels and lubricants for personal transport equipment, Repair of household appliances, Dental services, Domestic services and
household services, Medical services, Hospital services, Vehicle spare parts, Shoes and other footwear, and cleaning, repair and hire of clothing,” it stated.

“The average 12-month annual rate of change of the index was 10.70 percent for the twelve-month period ending November 2018; this is 0.2 percent points lower than 10.90 percent recorded in October 2018,” it added.