WorldStage Newsonline– Nigeria’s headline inflation maintained its upward trend, as it expanded by 26bps in July 2020 to 12.82% y/y from 12.56% y/y in June. It is the highest since level since March 2018.
According to a release from the National Bureau of Statistics (NBS), food inflation rose by 30bps to 15.48% y/y in the period under review.
Specifically, the rise in the food index was caused by increases in prices of Bread and Cereals, Potatoes, Yam and other tubers, Meat, Fruits, Oils and fats, and Fruits. Compared to June 2020, food inflation expanded by 4bps, to 1.52% m/m.
Observers believed that the seasonality effect typically associated with the onset of the planting season, as well as flooding in some parts of the country must have negatively influenced the food basket.
Elsewhere, core inflation was down by 3bps to 10.10% y/y. Pressures were most significant in the prices of Medical services, Passenger transport by road, Maintenance and repair of personal transport equipment, Paramedical services and Vehicle spare parts. On a month-on-month basis, the core index was down by 11bps to 0.75%.
