Nigeria Sinks Deeper Into Recession As Inflation Rate Hits 18.3%

The National Bureau of Statistics has released its October 2016 Consumer Price Index (CPI) which measures inflation. According to the Bureau, inflation rate for October 2016 was 18.3% representing a 0.48% points increase from the rate recorded in September (17.9%).

According to the Bureau, increases were recorded across almost all major divisions which contribute to the Headline Index.

Food Index

The Composite Food Index rose by 17.1 percent in October 2016. The rise in the index was caused by increase in prices of Bread and Cereal, Fish, and Meat. On a month-on-month basis, the Food sub-index increase by 0.86 percent in October from 0.81 percent recorded in September.

All Items Less Farm Produce (Core Inflation)
The "All Items Less Farm Produce'' or Core sub-index, which excludes the prices of volatile agricultural produce increased by 18.1 percent during the month, 0.4 percent points from 17.7 percent recorded in September as all key divisions which contributes to the index increased.

On a month-on-month basis, the Core sub-index rose by 0.75 percent in October, down by 0.21% points from 0.96 percent recorded in September.

The highest increases were seen in Housing, Water, Electricity, Gas and Other Fuels as well as fuels and lubricants for personal transport equipment and Education. 

The Urban index rose by 19.9 percent (year-on-year) in October from 19.5% recorded in September, and the Rural index increased by 16.95% in October from 16.4% in September.