Nigeria’s inflation rate surged to 32.70% in September 2024, reversing the decline seen in July and August. The latest Consumer Price Index from the National Bureau of Statistics (NBS) highlights the persistent price pressures across the country. This tallies with the World Bank’s prediction that inflation would rise due to a sharp increase in petrol prices and food prices.
What do the numbers say
The inflation rate rose by 0.55% compared to August 2024, when it stood at 32.15%. On a year-on-year basis, inflation jumped by 5.98 percentage points from the 26.72% recorded in September 2023.
Food prices continue to be a key driver of inflation. The food inflation rate climbed to 37.77% in September, up by 7.13% compared to the same time last year. The increase is largely due to higher prices for staple foods like rice, maize, beans, and yams. On a month-on-month basis, food inflation rose to 2.64% in September, from 2.37% in August.
Inflation rate remains higher in urban areas, where it hit 35.13% in September, compared to 28.68% a year earlier. Rural areas saw inflation reach 30.49%, up from 24.94% in September 2023. Urban inflation for the month stood at 2.67%, while rural inflation was recorded at 2.39%.
Among the states, Bauchi had the highest year-on-year inflation at 44.83%, followed by Sokoto at 38.74% and Jigawa at 38.39%. Delta, Benue, and Katsina experienced the slowest inflation rise, with rates between 26.35% and 27.71%. Month-on-month, Sokoto led with a 4.63% increase, followed by Taraba at 4.07% and Anambra at 3.74%.
Core inflation, which excludes volatile items like food and energy, rose to 27.43% in September, up by 5.59% from the 21.84% recorded in the same period last year. Significant price increases were noted in housing, transport, and medical services.
This rise in inflation rate comes after a brief period of relief, driven by lower food prices following the harvest season in Nigeria. However, with food prices continuing to rise, the inflation outlook remains challenging.
