Reports shown by the National Bureau of Statistics (NBS) yesterday indicated that inflation rose above the January 2023 figure of 21.82 percent, showing an increase of 0.09 percent points when compared to January 2023 headline inflation rate.
General election spending and scarcity of banknotes that caused much economic hardship for individuals and small-scale businesses were responsible for the rise in inflation during the month under review.
Currency scarcity due to redesigning of higher-denominations of the banknotes and the surge in internet banking activities at high costs combined to jack up the inflation figures. Many Nigerians have had to pay more for financial transactions due to the cash crunch that engulfed the entire nation.
On a year-on-year basis, the headline inflation rate was 6.21 percent points higher compared to the rate recorded in February 2022, which was 15.70 percent. This shows that the headline inflation rate (year-on-year basis) increased in February 2023 when compared
The report published yesterday showed that on a month-on-month basis, the percentage change in the All-Items Index in February 2023 was 1.71 percent, which was 0.16 percent points lower than the rate recorded in January 2023 (1.87 percent).
This means that in February 2023, on average, the general price level was 0.16 percent lower relative to January 2023. Urban inflation rate in February 2023 was 22.78 percent, a 6.53 percent points higher compared to the 16.25 per cent recorded in February 2022.
However, rural inflation rate in February 2023 was 21.10 percent on a year-on-year basis. This was 5.92 percent points higher compared to the 15.18 percent recorded in February 2022. On a month-on-month basis, the rural inflation rate in February 2023 was 1.58 percent, down by 0.19 percentage points compared to January 2023 (1.77 per cent).
The corresponding twelve-month average for the rural inflation rate in February 2023 was 19.33 percent. This was 3.15 percent points higher compared to the 16.18 percent recorded in February 2022.
The percentage change in the average Consumer Price Index (CPI) for the twelve-month period ending February 2023 over the average of the CPI for the previous twelve-month period was 19.87 percent, showing a 3.15 per cent points increase compared to 16.73 percent recorded in February 2022.
