JUST IN: Inflation Drops for the First Time in 19 Months in Nigeria

Nigeria has recorded its first decline in inflation in 19 months, as reported by the National Bureau of Statistics (NBS). The inflation rate dropped to 33.40 percent in July, down from 34.19 percent in June.

On a year-on-year basis, the headline inflation rate stood at 9.32 percentage points higher than the 24.08 percent recorded in July 2023, indicating a continued rise compared to the previous year. However, the month-on-month headline inflation rate in July 2024 was 2.28 percent, slightly lower by 0.03 percent than June’s 2.31 percent.

“This signifies a slower increase in the average price level in July compared to June 2024,” the report noted.

Food inflation also saw a slight reduction, dropping to 39.53 percent in July from 40 percent in June. Nonetheless, the year-on-year comparison showed a significant rise, with a 12.55 percentage points increase from July 2023’s 26.98 percent. The surge in food inflation is attributed to price hikes in items like Semovita, Yam Flour, Wheat Flour, Yam, Irish Potatoes, Water Yam, Groundnut Oil, Palm Oil, and popular beverages.

On a month-on-month basis, food inflation in July 2024 was 2.47 percent, marking a 0.08 percent decrease from June’s 2.55 percent. This decline is linked to the reduced price increase of items such as Tin Milk, Baby Powdered Milk, Mudfish, Fresh Fish, Date Palm Fruit, Watermelon, Garri, Akpu, Exercise Books, Textbooks, Turkey Meat, and Minced Pork.