Inflation Declines Further to 11.02% on Weak Consumer Demand 

James Emejo in Abuja

The Consumer Price Index (CPI) which measures inflation maintained a downward trajectory to 11.02 per cent (year-on-year) in August compared to 11.08 per cent in July, according to the National Bureau of Statistics (NBS).

The disinflation continued despite several policy pronouncements on restrictions on the import of some food items, minimum wage as well as the recent border closures.

The NBS, in the CPI report for August, released Tuesday, further explained that, “the border was only closed 20 August 2019 with only 11 days of 31days for any 

significant impact to be felt either way on prices.

“The inflation rate is also the average prices for the whole month and not only the price of goods and services in the last few days of the month.”

It said:”Furthermore, the harvest season and existing weak consumer demand and their natural effect to slow down food and other prices will also play a major role in determining the direction of inflation. 

“Against this backdrop, in August 2019, all major indices slowed except urban inflation year on year.”

Details later….