Transport, Food, Other Price Items to Rise as Inflation Hits 27-Year High in Nigeria

Transport, Food, Other Price Items to Rise as Inflation Hits 27-Year High in Nigeria

  • Nigeria’s inflation for December 2023 has hit 28.992%, the highest in 27 years
  • The country is experiencing a rise in inflation for the 11th consecutive time since February 2023
  • The recent increase affects the prices of food items, transportation, drugs, and other essential items

Pascal Oparada has over a decade of experience covering Tech, Energy, Stocks, Investments, and Economy.

Inflation for December 2023 rose to 28.92% from 28.20% recorded in the previous month, the latest data from the National Bureau of Statistics (NBS) said.

The increase marks the 11th consecutive time Nigeria will experience a rise in inflation since February 2023.

Inflation, food prices
President Bola Tinubu presides over the highest inflation rate in 27 years. Credit: State House
Source: Getty Images

Inflation rises to highest in 27 years

According to the report, headline inflation for December 2023 rose by 0.72 percentage points compared to the November 2023 figures.

Read also

"No More N750/$:" Naira weakens against US dollar, nears FG’s projected exchange rate for 2024

Compared to the December to 2022 rate of 21.34%, the year-on-year rise for December 2023 saw an increase of 7.58 percentage points, showing a rise in headline inflation during the same period of the year before.

Also, on month-on-month comparison, the headline inflation for the period under review reached 2.29%, exceeding the November 2023 rate of 2.09% by 0.20%.

The development signifies an average price level increase at a higher rate in December 2023 compared to the month before.

Food Inflation at its peak

In the review month, the year-on-year inflation rate surged to 33.93%, driven mainly by an increase in prices of oil and fat, meat, bread and cereals, potatoes, yam and other tubers, fish and milk, cheese, and eggs.

The increase represents 10.18% compared to the rate recorded in December 2022.

Read also

Expert offers solutions as Kogi, Lagos lead list of Nigeria’s 10 most expensive states to live

Every month, the food inflation rate for December 2023 reached 2.27%, representing a 0.30% increase from the rate seen in November 2023.

Core inflation rises

Core inflation for the period hit 23.06% annually, marking a 4.85% increase compared to the 18.21% reported in December 2022.

The rise in core inflation affects food prices and other items such as road transport, medical services, drugs, rentals, air transport, prices of medicines, and accommodation services.

The top 10 states with the highest cost of food as bread, fish, eggs, others get more expensive

Legit.ng reported that life is getting tougher for Nigerian households, and it is a daily struggle to feed across the country.

The situation is even worse for residents of 10 states amid soaring prices of essential food items in 10 consecutive months of 2023.

Data released by the National Bureau of Statistics (NBS) on Wednesday, November 15, 2023, showed that the food inflation rate in October 2023 was 31.52% on a year-on-year basis.

Source: Legit.ng

Authors:
Pascal Oparada avatar

Pascal Oparada (Business editor) Pascal Oparada is a Mass Communications Graduate from Yaba College of Technology with over 10 years of experience in journalism. He has worked in reputable media organizations such as Daily Independent, TheNiche newspaper, and the Nigerian Xpress. He is a 2018 PwC Media Excellence Award winner. Email:pascal.oparada@corp.legit.ng

Online view pixel