The Consumer Price Index (CPI), which measures the rate of change in prices of goods and commodities, increased to 24.23 per cent in March, compared to 23.18 per cent in February, the National Bureau of Statistics (NBS) said on Tuesday.
Month-on-month, headline inflation also increased to 3.90 per cent in March, compared to 2.04 per cent in February.
Food inflation stood at 21.79 per cent year-on-year, compared to 23.51 per cent in February. Month-on-month, the food index increased to 2.18 per cent, compared to 1.67 per cent.
Food inflation was attributed to an increase in the average prices of fresh ginger, yellow garri, broken rice (ofada), honey, crabs, potatoes, plantain flour, periwinkle, and fresh pepper, among others.
Core inflation, which excludes the prices of volatile agricultural produces and energy, stood at 24.43 per cent, year-on-year, in March, compared to 23.01 per cent in the preceding month. Month-on month, core inflation increased to 3.73 per cent compared to 2.52 per cent in February.
Year-on-year, food and non-alcoholic beverages contributed 9.28 per cent to headline inflation; restaurants and accommodation services 2.99 per cent, transport 2.47 per cent, housing, water, electricity, gas, and other fuels 1.19 per cent.
Education services contributed 1.44 per cent, health 1.40 per cent, clothing and footwear 1.17 per cent, information and communication 0.76 per cent, personal care, social protection, and miscellaneous goods and services 0.76 per cent.
Other contributors included furnishing, household equipment, and routine household maintenance 0.69 per cent, insurance and financial services 0.11 per cent, alcoholic beverages, tobacco, and narcotics 0.09 per cent, and recreation, sport, and culture 0.07 per cent.
Month-on-month, items that contributed to inflation included food and non-alcoholic beverages 0.82 per cent, restaurants and accommodation services 0.26 per cent, transport 0.22 per cent, housing, water, electricity, gas, and other fuels 0.17 per cent. Others were education services 0.13 per cent, health 0.12 per cent, clothing and footwear 0.10 per cent, information and communication 0.07 per cent, personal care, social protection, and miscellaneous goods and services 0.07 per cent.
Other contributors to inflation included furnishing, household equipment, and routine household maintenance 0.06 per cent, insurance and financial services, 0.01 per cent, alcoholic beverages, tobacco, and narcotics 0.01 per cent, and recreation, sport, and culture 0.01 per cent.
Year-on-year, urban inflation stood at 26.12 per cent compared to 25.15 per cent in March. Month-on-month, the urban index stood at 3.96 per cent, compared to 2.40 per cent in February.
On the other hand, rural inflation stood at 20.89 per cent, year-on-year, in March, from 19.89 per cent in the preceding month. Month-on-month, rural inflation was 3.73 per cent, compared to 1.16 per cent in February.
At state level, headline inflation on a year-on-year basis was highest in Kaduna (33.33 per cent), Osun (32.08 per cent), and Kebbi (30.74 per cent), while Akwa Ibom (12.81 per cent), Bayelsa (14.02 per cent), Sokoto (14.83 per cent) recorded the lowest rise in prices.
Month-on-Month, however, the highest increases were recorded in Kaduna (18.85 per cent), Osun (16.49 per cent), Oyo (14.44 per cent), while Sokoto (-8.66 per cent), Nasarawa (-4.38 per cent) and Kwara (-3.69 per cent) recorded the lowest rise.
Year-on-year, food inflation was highest in Oyo (34.41 per cent), Kaduna (31.14 per cent), and Kebbi (30.85 per cent), while Bayelsa (9.61 per cent), Adamawa (12.41per cent), and Akwa Ibom (12.60 per cent) recorded the slowest increase.
Month-on-month, inflation was highest in Oyo (19.74 per cent), Kaduna (17.24 per cent), and Kebbi (14.03 per cent), while Sokoto (-14.10 per cent), Nasarawa (-9.91 per cent) and Edo (-5.78 per cent) recorded decline in prices.
Following its rebasing, CPI declined to 24.48 per cent year-on-year in January, compared to 34.80 per cent in December 2024, using the old template.
CPI rebasing means updating the reference year used to gauge price levels in the country by essentially changing the basket of goods and services used to measure inflation, to better reflect current consumer spending patterns and ensure the inflation data accurately reflects the economy’s current state.
It involves replacing outdated items with new ones that better represent what people are buying today.
The statistical agency, however, pointed out that the decline in the rebased inflation did not mean the general price level was declining.
NBS explained that the major factor responsible for the decline was the base year being closer to the current period from 2009 to 2024.
Following on the decline at rebasing, headline inflation further declined to 23.18 per cent in February, compared to 24.48 per cent in the preceding month.
James Emejo
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