Nigeria’s Inflation Rate Surges to 33.20% in March 2024: NBS Report
By Patience Ikpeme
The National Bureau of Statistics (NBS) has revealed that Nigeria’s inflation rate soared to 33.20% in March 2024, marking a significant increase from the 31.70% recorded in February 2024. This data was disclosed in the Consumer Price Index (CPI) report released by the NBS on Monday, highlighting persistent inflationary pressures in the country.
The latest figures show a 1.50 percentage point rise in headline inflation compared to February 2024. On a year-on-year basis, the headline inflation rate surged by 11.16 percentage points from March 2023, which stood at 22.04%. This indicates a substantial acceleration in inflation levels over the past year.
In March 2024, the month-on-month headline inflation rate was 3.02%, slightly lower than the 3.12% recorded in February 2024. Despite this marginal dip, the overall trend underscores ongoing challenges with rising prices.
The NBS highlighted that food inflation significantly contributed to the overall inflationary pressures. The year-on-year food inflation rate in March 2024 was 40.01%, reflecting a substantial increase of 15.56 percentage points compared to March 2023 (24.45%). On a month-on-month basis, food inflation in March 2024 was 3.62%, down slightly from February 2024 (3.79%).
The rise in food prices was attributed to increases in essential items such as garri, millet, yam, dried fish, oils, meat products, and various beverages, among others. These factors collectively contributed to higher inflationary pressures in the food sector.
Additionally, urban inflation stood at 35.18% year-on-year in March 2024, showing a notable increase of 12.11 percentage points from March 2023 (23.07%). Rural inflation also surged to 31.45% year-on-year, indicating a 10.37 percentage point rise compared to the previous year.
State-wise, inflation rankings varied across Nigeria. Kogi, Bauchi, Kwara, and Oyo experienced the highest food inflation rates on a year-on-year basis, while Borno, Benue/Taraba, and Katsina recorded the slowest rise in headline inflation. On a month-on-month basis, Zamfara, Abia, and Ondo registered the highest inflation figures, whereas Borno, Yobe, and Adamawa recorded the slowest rises.
Economic analysts had predicted a headline inflation rate around 32% prior to the release of the NBS report, underscoring concerns over sustained inflationary pressures in the Nigerian economy.
The persistently high inflation rate poses challenges for consumers and policymakers, impacting purchasing power and economic stability. Efforts to mitigate inflationary pressures will likely remain a key focus for economic management and policy formulation in the coming months.
