The National Bureau of Statistics has said Nigeria’s headline inflation rate dropped to 33.2 percent in August 2024.
It was 33.4 percent in July 2024.
The NBS, in its Consumer Price Index report posted on its website on Monday showed that decrease represents a 1.25% percentage and the second consecutive monthly slowdown.
This is an indication of a slower pace in the increase of the average price level compared to the previous month.
“In August 2024, the headline inflation rate further eased to 32.15 per cent relative to the July 2024 headline inflation rate of 33.40 per cent,” the report disclosed.
On a year-on-year basis, the August 2024 inflation rate was 6.35 percentage points higher than the 25.80 per cent rate recorded in August 2023, which shows a remarkable increase over the past year.
On a month-on-month basis, the inflation rate in August 2024, which stood at 2.22 percent, is lower than July’s rate of 2.28 per cent.
Compared to the previous month, this signals a slower pace in the increase of the average price level.
The report added that food inflation was 37.52 per cent in August 2024, while Month-on-Month headline inflation was 2.22 per cent.
It said: “Month-on-month headline inflation was 2.22%. Food inflation was 37.52% in August 2024.”
The report is full of surprises, considering the challenges posed by the recent increase in petrol price, which is a major pricing component for most commodities in the country.
Added to this is the continued slide of the country’s currency, the naira.
The naira’s steady decline has ensured that it currently exchanges for over N1600 per dollar and there seems to be no remedy since the government decided to float it.
Nigerians are sceptical about the reported fall in inflation as the lack of productive backup has contributed to the weakening of the naira.
Many have expressed the view that unless corruption is effectively fought to a standstill and the focus of the economy is shifted from oil, even the touted marginal fall in inflation will be eroded soon.