How Rise In Food Increased Nigeria’s Inflation to 19.64% – NBS

By Tolulope Oke

The National Bureau of Statistics (NBS), reports show that Nigeria’s inflation rate increased to 19.64 percent on a year-on-year basis in July.

This was stated in the Consumer Price Index (CPI) for July 2022 that was released by the National Bureau of Statistics (NBS) on Monday in Abuja by Prince Semiu Adeniran, the Statistician-General of the Federation and Chief Executive Officer.

According to NAN, Adeniran said the report showed that in July 2022, on a year–on–year basis, the headline inflation rate was 19.64 per cent.

“This is 2.27 per cent points higher compared to the rate recorded in July 2021 which was 17.38 per cent.

“This shows that the headline inflation rate increased in July 2022 when compared to the same month in the previous year of July 2021. This means that in July 2022, the general price level was 2.26 per cent higher than in July 2021.’’

In the statement outlining the data, Adeniran explained that the CPI evaluates the average change over time in the cost of products and services people use on a daily basis.

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He claims that it is a crucial macroeconomic indicator that is used to calculate the inflation rate for the purposes of policy, planning, and economic monitoring.

Revealing the cause, he explained that the increase in inflation was brought on by a rise in the food index, which was linked to a disruption in the supply of food items.

The statistician general added that the rise in inflation was brought on by greater transportation costs as a result of rising energy prices.

He claimed that in addition to a rise in the cost of production overall, the increase in the inflation rate was also brought on by an increase in import costs as a result of currency depreciation.

Moreso, the headline inflation rate in July 2022 was 1.817%, higher than the rate of 1.816% that was registered in June 2022.