From Isaac Anumihe, Abuja
As the disruption in the supply of food products and increase in import costs persist, the inflation rate in August galloped to 20.52 per cent from 19.64 per cent recorded in July.
According to a statement by the National Bureau of Statistics (NBS), the increase was 3.52 per cent points higher compared to the rate recorded in August 2021, which was (17.01 per cent).
“This shows that the headline inflation rate increased in the month of August 2022 when compared to the same month in the preceding year (i.e.August 2021). Meaning that in August 2022, the general price level was 3.52 per cent higher relative to August 2021.
“On a month-on-month basis, the headline inflation rate in August 2022 was 1.77 per cent. This was 0.05 per cent lower than the rate recorded in July 2022 (1.82 per cent). This means that in August 2022 the headline inflation rate (month–on–month basis) declined by 0.05 per cent.
“The percentage change in the average composite price Index (CPI) for the twelve months period ending August 2022 over the average of the CPI for the previous twelve months period was 17.07 per cent, showing a 0.47 per cent increase compared to 16.60 per cent recorded in August 2021.
“The increases were recorded in all Classifications of Individual Consumption by Purpose (COICOP) divisions that yielded the headline index,” the statement, noted.
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Meanwhile, the food inflation rate in August 2022 was 23.12 per cent on a year-on-year basis; which was 2.82 per cent higher compared to the rate recorded in August 2021 (20.30 per cent). This rise in food inflation was caused by increases in prices of bread and cereals, food products; potatoes, yam and other tubers, fish, meat, oil and fat.
On a month-on-month basis, the food inflation rate in August was 1.98 per cent. This was a 0.07 per cent decline compared to the rate recorded in July 2022 (2.04 per cent). This decline is attributed to a reduction in prices of some food items like tubers, garri, local rice and vegetables.
“The average annual rate of food inflation for the twelve-month period ending August 2022 over the previous twelve-month average was 19.02 per cent, which was a 1.48 per cent decline from the average annual rate of change recorded in August 2021 (20.50 per cent),” NBS said.