Nigerian masses are in for harder times as June headline inflation rate rose to 34.19% from 33.95% in May 2024. This uptick of 0.24 percentage points underscores a persistent inflationary trend that has been unfolding since last year.
The National Bureau of Statistics (NBS), which released the figure on Monday, attributed the rise primarily to a sharp increase in food prices, which surged to 40.87% year-on-year in June 2024, marking a substantial 15.62 percentage points higher than the 25.25% recorded in June 2023. The escalation in food inflation was driven by notable price hikes across various categories such as cereals, tubers, oils, and fish products.
On a month-on-month basis, food inflation in June 2024 stood at 2.55%, up from 2.28% in May 2024, highlighting a 0.26 percentage point increase. This rise can be attributed to continued price escalations in essential food items like oils, tubers, and fish varieties.
Looking at the annual average, the twelve-month food inflation rate up to June 2024 was 35.35%, marking an 11.31 percentage point increase from the 24.03% recorded in June 2023, reflecting sustained pressure on food prices over the past year.
Meanwhile, the headline inflation rate on a year-on-year basis in June 2024 was significantly higher at 34.19% compared to 22.79% in June 2023, indicating an 11.40 percentage point increase. Month-on-month, headline inflation also saw a slight rise to 2.31% in June 2024 from 2.14% in May 2024, signifying a 0.17 percentage point increase in the average price level within that month.
In summary, the latest data from the NBS shows that inflationary pressures, particularly in food prices, continue to weigh heavily on Nigeria’s economy, influencing consumer spending and overall economic stability.
Meanwhile, the federal government has assured Nigerians that food insecurity is being addressed and that the prices of commodities will soon come down.
The Minister of State for Agriculture, Aliyu Abdullahi, who made the disclosure on television yesterday admitted that “over the past few years we have not been taking our dry season agriculture seriously,” he said but noted that the ministry is addressing it.
He said with several programmes by the Federal Government, the prices of commodities will reduce.
“You will see a lot of programmes trying to dampen [reduce prices] the situation,” he said on Monday’s edition of Channels Television’s Sunrise Daily.
“Agriculture has a time frame. Now, a lot of production is ongoing. We are in the rainy season and if you look at the fields, there is a lot of cropping going on. Those croppings are not food. They will only translate to food after three months. So, until then, this story you are talking about will continue
“We realised over the past few years that we have not been taking our dry season agriculture seriously,” he said.
Food inflation has reached over 40 per cent in recent months according to data from the NBS, pushing the prices of essential commodities beyond the reach of millions of Nigerians, while the headline inflation is 34.19% as at June 2024.
By Isaac Anumihe, (Abuja) and Merit Ibe
