Nigeria’s inflation rate fell further in November 2021, to 15.4 percent, from 15.99 percent the previous month. This is according to the National Bureau of Statistics’ recently released inflation report (NBS).
According to the report, the latest figures are the lowest since November 2020, when the CPI rose by 14.89 percent. Meanwhile, on a month-to-month basis, the Headline index increased by 1.08 percent in November 2021, which is 0.10 percent higher than the rate recorded in October 2021. (0.98 percent).
The urban inflation rate increased by 15.92 percent (year on year) in November 2021, up from 15.47 percent in November 2020, while the rural inflation rate increased by 14.89 percent in November 2021, up from 14.33 percent in November 2020.
Inflation of food
Food inflation fell significantly in November 2021, from 18.34 percent in October 2021 to 17.21 percent in November 2021. Inflation in food has fallen to its lowest level in 14 months. The food sub-index increased by 1.07 percent month on month in November 2021, up 0.16 percent points from 0.91 percent in October 2021.
It is worth noting that price increases in bread and cereals, fish, food products, potatoes, yam and other tubers, oil and fats, milk, cheese, and eggs, as well as coffee, tea, and cocoa, contributed to the rise in the food index.
Inflation at the core
The “All items less farm produce” inflation rate, which excludes volatile agricultural produce prices, was 13.85 percent in the review month, up from 13.24 percent the previous month.
Prices for gas, liquid fuel, other services, garments, vehicle spare parts, road passenger transport, non-durable household goods, jewellery clocks and watches, air passenger transport, pharmaceutical products, appliances, articles and products for personal care, cleaning, repair, and hire of clothing, and fuels and lubricants for personal transport equipment increased the most.
Inflation in the state
All-items inflation was highest in Gombe (18.54 percent), Jigawa (17.54 percent), and Nasarawa (17.43 percent) in November 2021, while Kwara (11.73 percent), River (13.36 percent), and Edo (13.50 percent) recorded the slowest rise in headline Year on Year inflation.
In related to food inflation, Gombe State had the highest year-on-year increase at 21.83 percent, followed by Kogi (21.09 percent) and Nasarawa State (20.48 percent), while Edo (14.12 percent), Rivers (14.31 percent), and Osun (14.45 percent) had the slowest rise.
In November 2021, Nigeria’s inflation rate moderated for the eighth time in a row, falling to its lowest level in a year. However, a headline inflation rate of 15.4 percent implies that Nigerians’ purchasing power is continuing to deteriorate as a result of rising prices for goods and services.