In July 2023, the headline inflation rate surged to 24.08%, marking an uptick from June 2023’s 22.79%, as reported by the National Bureau of Statistics (NBS).
The increase of 1.29% over June 2023’s inflation was highlighted in the NBS report.
This rise was driven by heightened contributions from specific items within the basket of goods and services at the divisional level.
“These increases were witnessed in Food & Non-Alcoholic Beverages (12.47%), Housing, Water, Electricity, Gas & Other Fuel (4.03%), Clothing & Footwear (1.84%), Transport (1.57%), Furnishings & Household Equipment & Maintenance (1.21%), Education (0.95%) and Health (0.72%). Others are Miscellaneous Goods & Services (0.40%), Restaurants & Hotels (0.29%), Alcoholic Beverages, Tobacco & Kola (0.26%), Recreation & Culture (0.17%) and Communication (0.16%).”
It showed that food component sub-index increased by 26.98% on a year-on-year basis, which was 4.97% points higher relative to the rate recorded in June 2022 (22.02%).
“The rise in Food index on a year-on-year basis was caused by increases in prices of Oil and fat, Bread and cereals, Fish, Potatoes, Yam and other tubers, Fruits, Meat, Vegetable, Milk, Cheese, and Eggs.”
“Similarly, the food inflation rate on a month-on-month basis, in July 2023, rose to 3.45%, which was 1.06% points higher compared to the rate recorded in June 2023 (2.40%).”
For all items less farm produce, its figure stood at 20.47% in July 2023 on a year-on-year basis.
It added, “This was driven by an increase in prices of Passenger Transport by Air, Passenger Transport by Road, Vehicle Spare parts, Medical Services, Maintenance and repair of personal transport equipment, etc.”