Nigeria Inflation Rate Jumps to Nearly 6-Year High

Consumer prices in Nigeria surged 13.7 percent year-on-year in April of 2016, compared to a 12.8 jump in the previous month. The inflation rate accelerated for the third straight month, reaching the highest since August of 2010, boosted by higher cost of food, electricity, due to the effect of higher tariffs assigned in February and transport.

Year-on-year, food prices rose 13.2 percent (from 12.7 percent in March), housing, water, electricity and gas increased 18.98 percent (from 15.9 percent). Additional upward pressure came from clothing and footwear (12.7 percent from 12.0 percent); transport (14 percent from 13.2 percent); furnishings and household equipment (9.6 percent from 9.1 percent); education (13.9 percent from 12.9 percent); health (9 percent from 8.9 percent); miscellaneous goods and services (10.6 percent from 10.3 percent) and alcoholic beverages, tobacco and cola (11.1 percent from 10.9 percent). Prices of restaurants and hotels went up by 8.5 percent from an 8.7 percent rise in the previous month.

Annual core inflation rate rose to 13.4 percent from 12.2 percent in the previous month.

On a monthly basis, consumer prices went up 1.61 percent compared to a 2.2 percent increase in March, mostly due to rise in cost of food (+1.3 percent); housing, water, electricity and gas (+3.3 percent) and clothing and footwear both (+1.2 percent).

On May 1th, the government cut fuel subsidies and hiked the gasoline prices by 67 percent (from NGN 87 to NGN 145 a liter). The move is expected to raise the inflation further in upcoming months.

Nigeria Inflation Rate Jumps to Nearly 6-Year High

National Bureau of Statistics | Mojdeh Kazemi |
5/16/2016 2:37:59 PM