Nigeria: Inflation reaches yet another multi-year high, driven by weak naira
October 15, 2016
In September, consumer prices increased 0.8% from the previous month, which was below August’s 1.0% rise.
Inflation edged up from August’s 17.6% to 17.9% in September, marking the highest reading since October 2005, which reflects that the weakening naira has been heightening inflationary pressures in recent months. According to the National Bureau of Statistics, inflation was fueled by higher prices across all categories, particularly for electricity and fuels as well as imported food products. Annual average inflation continued to rise from August’s 12.7% to 13.5% in September, thereby reaching an over five-year high.
Core consumer prices, which exclude farm products and energy prices, rose 0.8% in September from the previous month, matching August’s result. Core inflation increased from 13.9% in August to 14.1% in September.