Nigeria’s Inflation Rate Declines to 17.75%

Posted by Thandiubani on Fri 16th Jul, 2021 - tori.ng

The National Bureau of Statistics (NBS) announced the decline in its Consumer Price Index Report for June.

According to statistics released by the National Bureau of Statistics, the Inflation rate in the country has reduced to 17.75% in June.

This is from 17.93 recorded in May 2021.

The National Bureau of Statistics (NBS) in its ‘Consumer Price Index Report for June’ (a measurement of the rate of change in prices of goods and services) revealed this on Friday July 16.

It also noted that prices continued to rise in June 2021, but at a slightly slower pace than it did in May 2021.

The country’s Headline Index, on a month-on-month basis, moved by 1.06% in June 2021. This figure was 0.05 percentage points higher than what was recorded in May 2021 – pegged at 1.01%.

The report read;

“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.”

There was also an increase in the urban inflation rate as it jumped by 18.35 %(year-on-year) in June 2021 from May 2021’s 18.51%. On the other hand, the rural inflation rate moved by 17.16% in June 2021 from 17.36% in May 2021.

The NBS report equally noted that the composite food index increased by 21.83 % in June 2021. This is against the 22.28% reported in May 2021.

The rise in the food index was driven by increases in prices of Bread and cereals, Potatoes, Yam and other Tubers, Milk, Cheese and Eggs, Fish, Soft drinks, Vegetables, Oils and fats and Meat.

On month-on-month basis, the food sub-index increased by 1.11 percent in June 2021, up by 0.06 percent points from 1.05 percent recorded in May 2021.