Nigeria’s inflation rate revved up the second straight month in October 2024, climbing to a four-month high of 33.9 per cent from it peak of 32.7 per cent in September.
The rise was driven primarily by escalating food prices, soaring energy costs and ongoing volatility in foreign exchange markets.
Food inflation, which makes up most of Nigeria’s inflation basket, quickened further to 39.2 per cent in October, up from 37.8 per cent in September, amid reduced harvests caused by severe flooding and ongoing crisis in key agricultural regions.
Transportation inflation also rose to 29.3 per cent, driven by higher petrol and gas prices after subsidy removal, while housing and utilities inflation rose to 28.8 per cent, up from 28.6 per cent in September amid higher electricity tariffs.
The core inflation, which excludes the prices of volatile agricultural products and energy quickened to an all-time high of 28.4 per cent in October, up from 27.4 per cent in the previous month.
On a monthly basis, consumer prices climbed by 2.6 percent, after a 2.5 per cent rise in the previous month.
In October 2024, the headline inflation increased by 1.18 per cent points compared to the September 2024 Headline inflation rate. On a year-on-year basis, the Headline inflation rate was 6.55 per cent points higher than the rate rec orded in October 2023 (27.33%).
This shows that the Headline inflation rate (year-on-year basis) increased in October 2024 when compared to the same month in the preceding year (i.e., Octo ber 2023). Furthermore, on a month-on-month basis, the Headline inflation rate in October 2024 was 2.64 per cent, which was 0.12 per cent higher than the rate recorded in September 2024 (2.52%).
This means that in October 2024, the rate of increase in the average price level was higher than the rate of increase in the average price level in September 2024.
The percentage change in the average CPI for the twelve months ending October 2024 over the average for the previous twelve-month period was 32.26 per cent, showing an 8.82 per cent increase compared to 23.44 per cent recorded in October 2023.
On a yearly basis, in October 2024, the Urban inflation rate was 36.38 per cent, 7.09 per cent points higher compared to the 29.29 per cent recorded in October 2023. On a month-on-month basis, the Urban inflation rate was 2.75 per cent in October 2024, 0.08 points higher compared to September 2024 (2.67%).
The corresponding twelve-month average for the Urban inflation rate was 34.52 per cent in October 2024. This was 9.76 per cent points higher compared to the 24.76 per cent reported in October 2023.
The Rural inflation rate in October 2024 was 31.59 per cent on a year-on-year basis. This was 6.01 per cent higher compared to the 25.58 per cent recorded in October 2023. On a month-on-month basis, the Rural inflation rate in October 2024 was 2.53 per cent, up by 0.14 per cent points compared to September 2024 (2.39%).
The corresponding twelve-month average for the Rural inflation rate in October 2024 was 30.24 per cent, an 8.01 per cent higher compared to the 22.23% recorded in October 2023.
All Items inflation rate on a Year-on-Year basis was highest in Bauchi (46.68%), Kebbi (40.02%), Sokoto (39.65%), while Delta (27.85%), Benue (28.22%), and Katsina (29.59%) recorded the lowest rise in headline inflation on Year-on-Year basis.
On a Month-on-Month basis, however, October 2024 recorded the highest increases in Kano (3.77%), Bauchi (3.74%), Adamawa (3.59%), while Kwara (1.27%), Ondo (1.49%) and Lagos (1.91%) recorded the slowest rise on Month-on-Month inflation.
Food inflation on a Year-on-Year basis was highest in Sokoto (52.18%), Edo (46.55%), Borno (45.85%), while Kwara (31.68%), Kogi (33.30%), and Rivers (33.87%) recorded the slowest rise in Food inflation on Year-on-Year basis.
On a Month-on-Month basis, however, October 2024 Food inflation was highest in Adamawa (5.08%), Sokoto (4.86%), Yobe (4.34%), while Kwara (1.11%), Ondo (1.31%) and Kogi (1.50%) recorded the slowest rise in Food inflation on Month-on-Month basis.
