Nigeria inflation crosses 30% mark — highest in 28 years

Consumer prices rose 31.7 percent in the year through February, an uptick in the inflation rate, above 29.9 percent the previous month. It is the fastest pace since 1996.

The Consumer Price Index inflation report released by the National Bureau of Statistics on Friday showed that price increases inched up in February on an overall basis.

By the numbers:

• The February figures also show a rise in monthly inflation, with prices jumping 12 percent between February, compared to 2.64 percent between January and December.
• Core inflation, which excludes food and fuel prices, also rose 25.13 percent in February 2024, and the highest increases were recorded in prices of passenger transport by road, actual and imputed rentals for housing, medical services, and pharmaceutical products.
• The food inflation rate was 37.92 percent on a year-on-year basis, which was 13.57% points higher compared to the rate recorded in February 2023 (24.35%).

“The rise in food inflation on a year-on-year basis was caused by increases in prices of bread and cereals, potatoes, yam and other tubers, fish, oil and fat, meat, fruit, coffee, tea, and cocoa,” the NBS said.

Here’s why this matters:

The latest inflation numbers show that prices for everyday items Nigerians rely on are still going up, not down. This means the squeeze on your wallet is likely to get worse before it gets better.

• Cost of Living Crisis Deepens: Imagine needing more naira for the same groceries, transportation, and bills you pay every month. That’s the reality of high inflation, and it makes it harder for everyday Nigerians to make ends meet.
• Higher Interest Rates on the Horizon: To fight inflation, the central bank might raise interest rates even further than the recent increase. This could make it more expensive to borrow money, impacting things like loans for businesses and homes.

Pluboard will keep you updated: We’ll continue to track inflation and explain its impact on your daily life.