All Items Index
In November 2023, the headline inflation rate increased to 28.20% relative to October 2023 headline inflation rate which was 27.33%. Looking at the movement, the November 2023 headline inflation rate showed an increase of 0.87% points when compared to October 2023 headline inflation rate.
On a year-on-year basis, the headline inflation rate was 6.73% points higher compared to the rate recorded in November 2022, which was 21.47%. This shows that the headline inflation rate (year-on-year basis) increased in November 2023 when compared to the same month in the preceding year (i.e., November 2022).
Furthermore, on a month-on-month basis, the headline inflation rate in November 2023 was 2.09%, which was 0.35% higher than the rate recorded in October 2023 (1.73%). This means that in November 2023, the rate of increase in the average price level is more than the rate of increase in average price level in October 2023.
The contributions of items on Divisional level to the increase in the Headline index are presented below:
The percentage change in the average CPI for the twelve-months period ending November 2023 over the average of the CPI for the previous twelve-months period was 24.01%, showing 5.64% increase compared to 18.37% recorded in November 2022.
Urban Inflation
On a year-on-year basis, in November 2023, the Urban inflation rate was 30.21%, this was 8.13% points higher compared to the 22.09% recorded in November 2022. On a month-onmonth basis, the Urban inflation rate was 2.23% in November 2023, this was 0.41% points higher compared to October 2023 (1.81%). The corresponding twelve-month average for the Urban inflation rate was 25.45% in November 2023. This was 6.56% points higher compared to the 18.90% reported in November 2022.
Rural Inflation
The Rural inflation rate in November 2023 was 26.43% on a year-on-year basis; this was 5.55% points higher compared to the 20.88% recorded in November 2022. On a month-onmonth basis, the Rural inflation rate in November 2023 was 1.99%, up by 0.31% points compared to October 2023 (1.67%). The corresponding twelve-month average for the Rural inflation rate in November 2023 was 22.71%. This was 4.83% points higher compared to the 17.88% recorded in November 2022.
Food Inflation
The Food inflation rate in November 2023 was 32.84% on a year-on-year basis, which was 8.72% points higher compared to the rate recorded in November 2022 (24.13%). The rise in Food inflation on a year-on-year basis was caused by increases in prices of Bread and cereals, Oil and fat, Potatoes, Yam and other Tubers, Fish, Fruit, Meat, Vegetables and Coffee, Tea and Cocoa.
On a month-on-month basis, the Food inflation rate in November 2023 was 2.42% this was 0.51% higher compared to the rate recorded in October 2023 (1.91%). The rise in Food inflation on a month-on-month basis was caused by rise in the rate of increase in the average prices of Bread and Cereals, Oil and fat, Meat, Coffee, Tea and Cocoa, Potatoes, Yam & Other Tubers.
Read Also: Inflation Up +21.34% YoY in December 2022, Food Inflation Rise +23.75%
The average annual rate of Food inflation for the twelve-months ending November 2023 over the previous twelve-month average was 27.09%, which was 6.68% points increase from the average annual rate of change recorded in November 2022 (20.41%).
All Items Less Farm Produce
Before now, “all items less farm produces” is referred to as the Core inflation. This was because the prices of items that constitute energy were regulated by the government e.g, Petroleum Motor Spirit (PMS). Due to the deregulation of the sector and the removal of the fuel subsidy, all the items that constitute energy are now determined by market forces and hence their prices are termed volatiles. Therefore, Core inflation is referred to as all items index less farm produces and energy.
The “All items less farm produces and energy” or Core inflation, which excludes the prices of volatile agricultural produces and energy stood at 22.38% in November 2023 on a year-onyear basis; up by 4.39% when compared to the 17.99% recorded in November 2022. The highest increases were recorded in prices of Passenger Transport by Road, Medical Services, Passenger Transport by Air, Actual and Imputed Rentals for Housing, Pharmaceutical products, Accommodation service etc.
On a month-on-month basis, the Core Inflation rate was 1.53% in November 2023. It stood at 1.39% in October 2023, up by 0.14%. The average twelve-month annual inflation rate was 20.35% for the twelve-months ending November 2023; this was 4.66% points higher than the 15.69% recorded in November 2022.
State Profile
In analysing price movements under this section, it should be noted that CPI is weighted by consumption expenditure patterns which differ across States and locations. Accordingly, the weight assigned to a particular Food or Non-Food item may differ from State to State making interstate comparisons of consumption basket inadvisable and potentially misleading.
All Items Inflation
In November 2023, All Items inflation rate on a Year-on-Year basis was highest in Kogi (33.28%), Lagos (32.30%), Rivers (32.25%), while Borno (22.47%), Katsina (24.91%) and Plateau (25.53%) recorded the slowest rise in Headline inflation on Year-on-Year basis. On a Month-on-Month basis, however, November 2023 recorded the highest increases in Kano (3.55%), Kebbi (3.34%), Borno (3.24%), while Taraba (0.74%), Anambra (1.00%) and Enugu (1.18%) recorded the slowest rise on Month-on-Month inflation
Food Inflation
In November 2023, Food inflation on a Year-on-Year basis was highest in Kogi (41.29%), Kwara (40.72%) and Rivers (40.22%), while Bauchi (26.14%), Borno (27.34%) and Jigawa (27.63%) recorded the slowest rise in Food inflation on Year-on-Year basis. On a Month-on -Month basis, however, November 2023 Food inflation was highest in Cross River (4.37%), Edo (3.95%) and Rivers (3.91%), while Anambra (0.63%), Oyo (0.91%) and Bauchi (1.00%) recorded the slowest rise in inflation on Month-on-Month basis.
