Nigeria’s Inflation Rate Fell to 17.93% in May – NBS

Nigeria’s inflation rate dropped further for the second consecutive month to 17.93% in May 2021 from 18.12% recorded in April 2021.

According to the recently released Consumer Price Index report by the National Bureau of Statistics (NBS), the consumer price index, (CPI) which measures the inflation rate increased by 17.93% (year-on-year) in May 2021. This is 0.19% points lower than the rate recorded in April 2021 (18.12%).

Food inflation

The composite food index rose by 22.28 percent in May 2021 compared to 22.72 percent in April 2021. This rise in the food index was caused by increases in prices of Bread, Cereals, Milk, Cheese, Eggs, Fish, Soft drinks, Coffee, Tea and Cocoa, Fruits, Meat, Oils and fats and Vegetables.

On a month-on-month basis, the food sub-index increased by 1.05 percent in May 2021, up by 0.06 percent points from 0.99 percent recorded in April 2021.

The average annual rate of change of the Food sub-index for the twelve-month period ending May 2021 over the previous twelve-month average was 19.18  percent, 0.60  percent points from the average annual rate of change recorded in April 2021 (18.58) percent.

In May 2021, food inflation rate on a year on year basis was highest in Kogi (32.82%), Kwara (26.02%) and Enugu (25.43%), while Akwa Ibom (20.06%), Bauchi (18.65%) and Abuja (16.91%) recorded the slowest rise in year on year inflation.

On a month-on-month basis, however, May 2021 food inflation was highest in Kogi (3.11%), Ogun (2.89%) and Anambra (2.37%), while Edo, Sokoto and Ekiti recorded price deflation or negative inflation (general decrease in the general price level of food or a negative food inflation rate).

All Items Inflation

In May 2021, all items inflation on year on year basis was highest in Kogi (25.13%), Bauchi (23.02%) and Sokoto (20.11%), while Katsina (15.69%), Imo (15.52%) and Delta (14.85%) recorded the slowest rise in headline Year on Year inflation.

On a month-on-month basis, however, in May 2021 all items inflation was highest in Kogi (2.22%), Ogun (2.17%) and Cross River (2.07%), while Ekiti (0.02%) recorded the slowest rise in headline month on month with River and Sokoto recording price deflation or negative inflation (general decrease in the general price level of food or a negative food inflation rate).