Inflation eases for the sixth time, dropping to 16.05% in July- NBS

The National Bureau of Statistics (NBS) in its report on Monday said inflation rate in Nigeria dropped to 16.05 per cent in July from 16.10 per cent in June.
The Inflation dropped by 0.05 per cent in July, making it the sixth consecutive decline in inflation rate since January 2017.
According to NBS, “On a month-on-month basis, the Headline Index increased by 1.21 per cent in July 2017, 0.37 per cent points lower from the rate of 1.58 per cent recorded in June.
“The percentage change in the average composite Consumer Price Index (CPI) for the twelve-month period ending in July 2017 over the average of the CPI for the previous twelve-month period was 17.47 per cent, 0.11 per cent point lower from 17.58 per cent recorded in June 2017.
“The Urban index rose by 16.04 per cent (year-on-year) in July 2017, down by 0.11 per cent point from 16.15 per cent recorded in June, and the Rural index increased by 16.08 per cent in July from 16.01 per cent in June.
“On month-on-month basis, the urban index rose by 1.25 per cent in July 2017, down by 0.35 per cent point from 1.60 per cent recorded in June, while the rural index rose by 1.18 per cent in July 2017, down by 0.39 per cent point from 1.57 per cent in June.
“The corresponding twelve month year-on-year average percentage change for the urban index increased from 18.69 percent in June to 18.43 per cent in July, while the corresponding rural index also increased from 16.56 per cent in June to 16.60 per cent in July.”
NBS said in the report that the food price pressure continued into July as all major food sub-indexes increased.
“The Food Index increased by 20.28 per cent (year-on-year) in July, up by 0.37 per cent points from the rate recorded in June (19.91 per cent). This represents the highest year on year increase in food inflation since the beginning of the new series in 2009.
“The rise in the index was caused by increases in prices of bread and cereals, meat, fish, oils and fats, coffee, tea and cocoa, potatoes yam and other tubers and vegetables.
“On a month-on-month basis, the Food sub-index increased by 1.52 per cent in July, down by 0.47 per cent points from 1.99 per cent recorded in June.
“The average annual rate of change of the Food sub-index for the twelve-month period ending in July 2017 over the previous twelve month average was 18.25 per cent, 0.38 per cent points from the average annual rate of change recorded in June (17.87)per cent,” the Inflation rate by NBS added.