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Inflation hits 11-year high at 18.55%

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Inflation hits 11-year high at 18.55%

Inflation rate, which measures changes in prices of items, trended upward to its highest in more than 11 years in December 2016. 

This beats several analysts’ projections of a moderation to increase to 18.55 per cent.

A report just released by the National Bureau of Statistics showed that the Consumer Price Index (CPI), which measures inflation, rose by 0.07 per cent from 18.48 per cent in November to 18.55 per cent in December, the 11th straight monthly increase.

The report indicated that the increase in the inflation rate was driven by increases in housing, water and electricity, while the food index also rose to 17.39 per cent in December from 17.19 per cent in November.

The report showed that increases were recorded in all Classification of Individual Consumption by Purpose (COICOP) divisions that yield the headline index with communication and restaurants and hotels recording the slowest pace of growth in December, growing year-on-year at 5.33 percent and 8.91 percent respectively.

Read also: Why Onitsha Port may remain abandoned

The report showed that the food index rose by 17.39 per cent in December 2016, up by 0.20 per cent points from 17.19 per cent recorded in November. During the month, all major food sub-indexes increased, with soft drinks recording the slowest pace of increase at 7.66 per cent. 

Price movements recorded by all items less farm produce or core sub-index rose by 18.10 per cent in December, down by 0.10 per cent points from 18.20 per cent recorded in November. 

During the month, the highest increases were seen in housing, water, electricity, gas and other fuels, clothing and footwear and education, growing at 27.27, 21.62 and 17.84 per cent respectively.

On a month-on-month basis, the headline index rose by 1.06 per cent point in December, higher from 0.78 per cent recorded in November.

The Nigerian economy which has laid prostrate in more than one year recently received a positive nudge as World Bank officials expressed hope that the country may come out of recession in 2017 given the various economic therapies being administered on it.

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0 Comments

  1. JOHNSON PETER

    January 14, 2017 at 7:28 am

    Inflation in everything in Nigeria has made the massess so vulnerable, most people can’t afford to eat even once a day again. Even so many people have moved out of one bedroom apartment they are managing before to sleeping around in uncompleted buildings as house rent of #70k skyrocketed to #100k,
    Buhari needs to understand the plights of the masses.

    • chichi emerue

      January 14, 2017 at 8:12 am

      Buhari will never understand the plights of Nigerians, as he doesn’t know what plights denote, you people voted out Jonathan who understand the plights of Nigerians, no one should complain.

      • Johnson Amadi

        January 14, 2017 at 9:04 am

        Buhari is not aware of what is going on outside Aso Villa, people who are supposed to be giving him vital information are deceiving him. This government we have is deaf to the out-pours of its citizens and it’s blind to the cries of the masses.

  2. yanju omotodun

    January 14, 2017 at 7:38 am

    Please, who can lend me money to migrate to another country, when I get there, in two months time, I will double pay my lender the amount he lend me, I can live in this country anymore.

    • seyi jelili

      January 14, 2017 at 7:57 am

      I can lend you money to migrate to Niger or Timbuktu but not to overseas. Lol.
      But sincerely, migrating out of the country won’t solve the problem, let us storm the weather together. Nigeria will be better soon.

      • Joy Madu

        January 14, 2017 at 8:09 am

        What weather are we storming together? It seems you can still afford to drink garri in this recession. You won’t understand how people are suffering, if you have means of leaving this country, do not hesitate to leave.

  3. Margret Dickson

    January 14, 2017 at 9:01 am

    There’s apparently nothing we can do about all this inflation at the moment, our economy is terribly bad, we just have to adapt to the system until our economy returns to a good standing

  4. Animashaun Ayodeji

    January 14, 2017 at 9:10 am

    Nigeria needs to retrace her path in order to know what is going on, we cannot keep reading heartbreaking news like this always, they are becoming too much. Boko Haram bombing today, Kidnapping tomorrow, poor economy next tomorrow, the following day, inflation and striking workers… when will good news return to Nigeria?

    • Roland Uchendu Pele

      January 14, 2017 at 9:58 am

      It’s terrible.
      We all hoping that someday the light will shine on us in this country.
      But alas, that day is not known by anyone.
      Everything looks dim at the moment.

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