The annual inflation rate increased for the 10th consecutive month in November to 21.47%, the highest in 17 years, from 21.09 percent in October, owing to yuletide-induced increases in demand for goods and services, persistent naira depreciation, and rising production costs.
Thus, the annual (headline) inflation rate has risen by 5.87 percentage points in ten months, from 15.6% in February to 15.7% now.
The National Bureau of Statistics, NBS, revealed this in its November Consumer Price Index, CPI report.
The NBS said: “In November 2022, on a year–on- year basis, the headline inflation rate was 21.47%. This was 6.07% points higher compared to the rate recorded in November 2021, which was 15.40%. This means that in the month of November 2022, the general price level was 6.07% higher relative to November 2021.
“On a month-on-month basis, the Headline inflation rate in November 2022 was 1.39%, this was 0.15% higher than the rate recorded in October 2022 (1.24%). This means that in the month of November 2022, the general price level was 0.15% higher relative to October 2022.
“The percentage change in the average CPI for the twelve months period ending November 2022 over the average of the CPI for the previous twelve months period was 18.37%, showing a 1.39% increase compared to 16.98% recorded in November 2021. The Increases were recorded in all COICOP divisions that yielded the Headline index.”
On the likely factors responsible for the increase in the monthly inflation rate, the NBS said: “(Month-on-month basis). The increase in the monthly inflation rate can be attributed to the sharp increase in demand usually experience during the festive season.”
The NBS attributed the increase in the annual inflation rate (Year-on-Year basis) to two factors namely: “ Increase in cost of importation due to the persistent currency depreciation; and General increase in the cost of production e.g increase in energy cost.”