Nigeria’s Inflation rate falls to one-year low

Mazino Dickson, Abuja

Nigeria’s inflation rate continued to decline, making it the fourth straight month this year.

Latest figures released by the National Bureau of Statistics (NBS) revealed that Nigeria’s inflation has declined to its lowest in a year as growth in prices of most goods except food eased.

On a month-on-month basis, the Headline index increased by 1.88 percent in May 2017, 0.28 percent points higher than the rate of 1.60 percent recorded in April 2017 indicating the existence of persistence pressure on prices despite the general decline in year on year inflation.

Month on Month inflation has cumulatively risen by 7.7% since January 2017.

The percentage change in the average composite CPI for the twelvemonth period ending in May2017 over the average of the CPI for the previous twelve-month period was 17.63 percent, higher from 17.59 percent recorded in April 2017.

The Food Index increased by 19.27percent (year-on-year) in May 2017, down by 0.03 percent points from the rate recorded in April (19.30 percent) indicating continued pressure in food prices.

Price movements recorded by All Items less farm produce or Core sub-index rose by 13.00 percent (year-on-year) in May, down by 1.80 percent points from rate recorded in April (14.80) percent.

This represents the 7th straight month of decline in the core index since November 2016 The Urban index rose by 16.34 percent (year-on-year) in May 2017 from 17.62 percent recorded in April, while the Rural index increased by 16.02 percent in May from 16.69 percent in April.

On month-on-month basis, the urban index rose by 1.84 percent in May from 1.61 percent recorded in April, while the rural index rose by 1.92 percent in May from 1.59 percent in April.

The corresponding twelve-month year-on-year average percentage change for the urban index increased from 18.98 percent in April to 18.88 percent in May, while the corresponding rural index also increased from 16.37 percent in April to 16.50percent in May.