Inflation rate jumps to 11.98% as border closure drags on

Nigeria’s inflation rate rose year on year from 11.44% as at the end of 2018 to 11.98% by December 2019. This was disclosed in the latest inflation report released by the National Bureau of Statistics (NBS).

According to the NBS report, month on month, this is 0.13% points higher than the rate recorded in November 2019 (11.85%) and 11.61% recorded in October.

Similarly, food inflation, a closely watched component of the inflation index, rose by 14.67% in December 2019 compared to 14.48% recorded in November 2019. According to the NBS, the rise in the food index was caused by increases in prices of Bread and cereals, Meat, Fish, Oils and fats, Potatoes, yam and other tubers.

On the other hand, Core inflation (All items less farm produce), which excludes the prices of volatile agricultural produce also rose 9.33% in December 2019, up by 0.34% when compared with 8.99% recorded in November 2019.

According to the Bureau, core inflation was triggered by increases in prices of Hospital services, Hairdressing saloons and personal grooming establishment, Garments, Repair and hire of footwear, Vehicle spare parts, Passenger transport by air, Shoes and other footwear, Appliances, articles and products for personal care, Clothing materials, other articles of clothing and clothing accessories and Cleaning, Repair and hire of clothing.