The National Bureau of Statistics (NBS) says the nation’s inflation rate increased to 34.80% in December 2024, relative to the 34.60% recorded in the month November 2024.
NBS, in its Consumer Price Index (CPI) report released on Wednesday said, the December 2024 Headline inflation rate showed a marginal increase of 0.20% compared to the November 2024 Headline inflation rate.
This, it attributed to the December festive period increases in demand for goods and services.
On a year-on-year basis, the Bureau said, the Headline inflation rate was 5.87% higher than the rate recorded in December 2023 (28.92%). This shows that the Headline inflation rate (year-on-year basis) increased in December 2024 compared to the same month in the preceding year (i.e., December 2023).
On the contrary, the month-on-month basis, the Headline inflation rate in December 2024 was 2.44%, which was 0.20% lower than the rate recorded in November 2024 (2.64%). This means that in December 2024, the rate of increase in the average price level is slightly lower than the rate of increase in the average price level in November 2024.
The percentage change in the average CPI for the twelve months ending December 2024 over the average for the previous twelve-month period was 33.24%, showing an 8.58% increase compared to 24.66% recorded in December 2023.
The Food inflation rate in December 2024 was 39.84% on a year-on-year basis, 5.91% points higher compared to the rate recorded in December 2023 (33.93%). The rise in Food inflation on a year-on-year basis was caused by increases in prices of the following items; Yam, Water Yam, Sweet Potatoes, etc (Potatoes, Yam & Other Tubers Class), Beer, Pinto (Tobacco Class), Guinea Corn, Maize Grains, Rice, etc (Bread and Cereals Class), and Dried Fish-Sadine, Catfish Dried, etc (Fish Class).
On a month-on-month basis, the Food inflation rate in December 2024 was 2.66% which shows a 0.32% decrease compared to the rate recorded in November 2024 (2.98%). The decline could be attributed to the rate of decrease in the average prices of Local Beer (Burukutu), Pinto (Tobacco Class), Fruit Juice in tin, Malt drinks, etc (Soft Drinks Class), Rice, Millet, Maize flour, etc (Bread and Cereals Class) and Water Yam, Irish Potatoes, Coco Yam, etc (Potatoes, Yam & Other Tubers Class).
The average annual rate of Food inflation for the twelve months ending December 2024 over the previous twelve-month average was 39.12%, which was 11.16% points higher compared with the average annual rate of change recorded in December 2023 (27.96%).
Core inflation, which is “All items less farm produces and energy” (that is it excludes the prices of volatile agricultural produces and energy) stood at 29.28% in December 2024 on a year-on year basis; up by 6.21% when compared to the 23.06% recorded in December 2023.
The highest increases were recorded in prices of the following items; Taxi journey per drop, Bus journey intercity, Journey by motorcycle, etc (under Passenger Transport by Road Class), Meal at a local Restaurant (Accommodation Service Class), hair cut service, women’s hairdressing, women hair brush etc (Hairdressing salons & personal grooming establishments Class), and Women hand bag, Traveling bags (Medium size), Suitcase etc (Appliances, articles and products for personal care Class).
On a month-on-month basis, the Core Inflation rate was 2.24% in December 2024. It stood at 1.83% in November 2024, up by 0.41%. The average twelve-month annual inflation rate was 27.15% for the twelve months ending December 2024, this was 6.39% points higher than the 20.76% recorded in December 2023.
On a year-on-year basis, in December 2024, the Urban inflation rate was 37.29%, 6.30% points higher compared to the 31.00% recorded in December 2023. On a month-on-month basis, the Urban inflation rate was 2.56% in December 2024, this was 0.21% points lower compared to November 2024 (2.77%). The corresponding twelve-month average for the Urban inflation rate was 35.57% in December 2024. This was 9.36% points higher compared to the 26.22% reported in December 2023.
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The Rural inflation rate in December 2024 was 32.47% on a year-on-year basis. This was 5.37% higher compared to the 27.10% recorded in December 2023. On a month-on-month basis, the Rural inflation rate in December 2024 was 2.32%, down by 0.19% points compared to November 2024 (2.51%). The corresponding twelve-month average for the Rural inflation rate in December 2024 was 31.14%. This was 7.89% higher compared to the 23.25% recorded in December 2023.