For the second time, Nigeria’s annual inflation dropped to 17.26% compared to 17.78% recorded in February.

This is according to Consumer Price Index, CPI released by Nigeria Bureau of Statistics, NBS on Thursday.

According to the NBS report, “This is the second consecutive month of a decline in the headline CPI on a year on year basis, representing the effects of stabilizing prices in already high food and non-food prices as well as favourable base effects over 2016 prices.

"It is also indicative of early effects of a strengthened Naira in the foreign exchange rate market.”

The report shows price increases were recorded in all classification of individual consumption by purpose that yield the Headline Index.

However, the major areas responsible for accelerating the pace of the increase include: Housing, Water, Electricity, Gas and Other Fuel, Education, Food and Alcholoic Beverages, Clothing and Footware and Transportation Services.

On a month-on-month basis, the Headline index increased by 1.72% in March 2017, 0.23% points higher from the rate recorded in February.

The Food Index, however, increased by 18.44% (year-on-year) in March, slightly down 0.09% points from rate recorded in February which was 18.53% driven by increases in the prices of bread, cereals, meat, fish, potatoes, yams and other tubers and wine, while the slowest increase in food prices year on year were recorded by Soft Drinks, Fruits, Coffee, Tea and Cocoa.