December Inflation At 11.44%, Highest In 7-Months
Nigeria’s annual inflation is climbing even as general elections comes next month.
The National Bureau of Statistics, NBS’s inflation report for December released on Wednesday has shown that annual inflation in Nigeria stood at 11.44%, a seven-month high, up from 11.28% in November.
This implies that the cost of living is getting higher.
The consumer price index peaked at 18.7% in January last year and has been in double digits for the past three years.
In November, Governor Godwin Emefiele said he expected the central bank’s tight monetary policy
Food prices, which make up the bulk of the inflation basket, rose to 13.56% in December, up from 13.30% a month earlier.
The NBS in its report said: “the consumer price index increased by 11.44% year-on-year in December 2018. This is 0.16% points higher than the 11.28% recorded in November 2018.
The report shows inflation is however getting higher in the urban centres, as “the urban inflation rate increased by 11.73%, year-on-year, in December 2018 from 11.61% recorded in November 2018”.
The rural inflation rate increased by 11.18% in December 2018 from 10.99% in November 2018.
The increase inflation may compel the Central Bank Nigeria, CBN to raise benchmark interest rate when it holds its rate meeting next week, in order to tighten money supply and rein in the inflation.
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