Nigeria Inflation Rate Up to 9.5% in February


In Nigeria, the inflation rate rose to 9.5 percent in February of 2013, mainly due to increases in farm producer prices.

On the year-on-year basis, the inflation rate increased to 9.5 percent in February of 2013 from 9.0 percent recorded last month. Relative to January, the rise in the headline index could be attributed to increases in farm produce prices due to limited supplies as the toll of inventory (accumulated during the previous harvest period) drawdowns may begin to take effect. While various classes of the core index also witnessed increases, the relative stability in prices of processed foods resulted in a stable overall core sub-index.

In February, the composite Food Index increased year-on-year by 11.0 percent to 143.3 points. This was 0.9 percentage points higher than the 10.1 percent recorded in January.
 
On a month-on-month basis, the composite CPI increased 0.75 percent in February of 2013. The Food index increased by 0.7 percent from January to February. Higher prices were observed across all classes in the food sub-index, with the fastest rising prices observed in the vegetables and fish classes. However, the largest determinants of the increase in the food index were bread and cereals, meats, fish, and poultry and dairy products (milk, cheese and eggs).
 
The average annual rate of rise of the food index for the twelve-month period ending February 2013 was 11.2 percent when compared to the same period in 2012. This was higher by 0.1 percentage point from the 11.1 per cent recorded in January.
 
In February, the “All items less Farm Produce” or Core index, which excludes the prices of volatile agricultural products, increased by 11.2 percent year-on-year. This was slightly lower than 11.3 per cent recorded in January. On month-on-month basis, the Core index was roughly unchanged from levels recorded in January. Year-on-year, the largest contributors to the increase in the core index were rental prices, as well as prices of motor cars, books, and liquid fuel (kerosene). The average 12 month annual rate of rise of the index was recorded at 13.7percent for the twelve-month period ending February 2013, unchanged from January 2013.

Nigeria National Bureau of Statistics | Joana Taborda | joana.taborda@tradingeconomics.com
3/18/2013 10:49:29 AM