Nigeria’s inflation rate drops to 17.75 percent in June

— as food prices continue to soar

The consumer price index (CPI), which measures the rate of change in prices of goods and services, dropped to 17.75 percent in June from 17.93 in May.

This is according to the ‘Consumer Price Index Report for June’, released by the National Bureau of Statistics (NBS), on Friday.

This implies that prices continued to rise in June 2021 — but at a slightly slower pace than it did in May 2021.

On month-on-month basis, the Headline index increased by 1.06 percent in June 2021. This is 0.05 percentage points higher than the rate recorded in May 2021 (1.01 percent).

The urban inflation rate increased by 18.35 percent (year-on-year) in June 2021 from 18.51 percent recorded in May 2021, while the rural inflation rate increased by 17.16 percent in June 2021 from 17.36 percent in May 2021.

The composite food index rose by 21.83 percent in June 2021 compared to 22.28 percent in May 2021.

This implies that food prices continued to rise in June 2021 — but at a slightly slower rate than it did in May 2021.

The rise in the food index was driven by increases in prices of Bread and cereals, Potatoes, Yam and other Tubers, Milk, Cheese and Eggs, Fish, Soft drinks, Vegetables, Oils and fats and Meat.

On month-on-month basis, the food sub-index increased by 1.11 percent in June 2021, up by 0.06 percent points from 1.05 percent recorded in May 2021.

“In June 2021, food inflation on a year on year basis was highest in Kogi (30.34%), Enugu (25.18%) and Kwara (24.78%), while Bauchi (18.97%), River (18.92%) and Abuja (17.09%) recorded the slowest rise in year on year inflation,” the report said

“On month on month basis however, June 2021 food inflation was highest in Jigawa (2.67%), Edo (2.43) and Cross River (2.16%), while Lagos (0.14%), Borno (0.06%) and Kwara (0.02% recorded the slowest rise in food inflation.”