NIGERIA’s headline inflation for July 2024 declined to 33.40 per cent from 34.19 per cent recorded in the previous month – the first reduction reported since President Bola Tinubu assumed office in May 2023.
According to the National Bureau of Statistics, the inflation rate declined by 0.8 per cent compared to the June 2024 headline inflation rate of 34.19 per cent.
The NBS said, “On a year-on-year basis, the headline inflation rate was 9.32 per cent points higher compared to the rate recorded in July 2023, which was 24.08 per cent. This shows that the headline inflation rate (year-on-year basis) increased in July 2024 compared to the same month in the preceding year (i.e. July 2023).
“Furthermore, on a month-on-month basis, the headline inflation rate in July 2024 was 2.28 per cent, which was 0.03 per cent lower than the rate recorded in June 2024 (2.31 per cent). This means that in July 2024, the rate of increase in the average price level was lower than the rate of increase in the average price level in June 2024. “
Since Tinubu assumed office, Nigeria’s inflation rate has consistently increased for 13 months, from 22.41 per cent in May 2023 to 34.19 per cent in June 2023.
The ICIR reported that as of September 2023, Tinubu’s policies set a new inflation record for the nation in 20 years, making his administration sustain inflation rise consistently more than any leader in the nation.
Also, when the inflation rate reached 28.92 per cent in December 2023, The ICIR reported that it consistently increased throughout the year.
At 33.20 per cent in March 2024, the nation’s inflation reached its peak since 1996.
Food Inflation
The food inflation rate in July 2024 was 39.53 per cent which was 12.55 per cent higher compared to the rate recorded in May 2023 ((26.98 per cent).
The rise in Food inflation on a year-on-year basis was caused by increases in prices of the following items: Semovita, Oatflake, Yam flour prepackage, Garri, Bean, etc (which are under Bread and Cereals Class), Irish Potatoes, Yam, Water Yam, etc (under Potatoes, Yam and other Tubers Class), Palm Oil, Vegetable Oil, etc (under Oil and fat), Stockfish, Mudfish, Crayfish, etc (under Fish class), Beef Head, Chicken-live, Pork Head, Bush Meat, etc (under Meat class).
In July 2024, food inflation on a year-on-year basis was highest in Sokoto (46.26 per cent), Jigawa (46.05 per cent), Enugu (44.06 per cent) while Adamawa (33.48 per cent), Bauchi (35.10 per cent) and Benue (36.41 per cent), recorded the slowest rise in food inflation on year-on-year basis.
Kehinde Ogunyale tells stories by using data to hold power into account. You can send him a mail at [email protected] (jameskennyogunyale@gmail) or Twitter: Prof_KennyJames