The inflation rate in Nigeria has risen to 18.17% for the month of March 2021 from 17.33% recorded the previous year. This indicates 0.82% points higher than the February figures.
This is according to the Consumer Price Index report, released by the country’s National Bureau of Statistics (NBS).
It is an indication of the dwindling purchasing power of Nigerians as it implies that Nigerians spent more on purchasing goods and services in the month of March, compared to February.
The National Bureau of Statistics also explains that the rise in the food index was spiked by increases in prices of bread and cereals, Potatoes, yam and other tubers, Meat, Vegetable, Fish, Oils and fats and fruits.
Also, on a monthly basis, the Headline index increased by 1.56% in March 2021, higher than the 1.54 per cent rate recorded in the previous month.
Nigeria’s food inflation index spiked to 22.95% from 21.79% recorded in February 2021.
On a month-on-month basis, the food sub-index increased by 1.9% in March 2021, up by 0.01% points from 1.89% recorded in February 2021.
The rise in the food index was mainly due to the increase in prices of Bread and cereals, Potatoes, yam, and other tubers, Meat, Vegetables, Fish, Oils and fats, and fruits.
The average annual rate of change of the Food sub-index for the twelve-month period ending March 2021 over the previous twelve-month average was 17.93%, representing 0.68% points from the average annual rate of change recorded in February 2021 (17.25%) in Nigeria.
The Core inflation, which excludes the prices of volatile agricultural produce rose to 12.67% in March 2021, up by 0.29% when compared with 12.38% recorded in February 2021.
On a month-on-month basis, the core sub-index increased by 1.06% in March 2021. This was down by 0.15% when compared with 1.21% recorded in February 2021.
The highest increases were recorded in prices of Passenger transport, medical services, and miscellaneous services, followed by pharmaceutical products, Paramedical services, and personal grooming establishment.
Meanwhile, the urban inflation rate rose to 18.76% (year-on-year) in March 2021 from 17.92%
recorded in February 2021, while the rural inflation rate jumped to 17.6% in March 2021 from 16.77% in February 2021.