All Item Index
The consumer price index, (CPI) which measures inflation increased by 11.44 percent (year-on-year) in December 2018. This is 0.16 percent points higher than the rate recorded in November 2018 (11.28) percent.
Increases were recorded in all COICOP divisions that yielded the Headline index.
On month-on-month basis, the Headline index increased by 0.74 percent in December 2018, up by 0.06 percent points from the rate recorded in November 2018 (0.80) percent.
The percentage change in the average composite CPI for the twelve months period ending December 2018 over the average of the CPI for the previous twelve months period was 12.10 percent, showing 0.31 percent point from 12.41 percent recorded in November 2018.
The urban inflation rate increased by 11.73 percent (year-on-year) in December 2018 from 11.61 percent recorded in November 2018, while the rural inflation rate increased by 11.18 percent in December 2018 from 10.99 percent in November 2018.
On a month-on-month basis, the urban index rose by 0.76 percent in December 2018, down by 0.07 from 0.83 percent recorded in November 2018, while the rural index also rose by 0.72 percent in December 2018, down by 0.06 percent from the rate recorded in November 2018 (0.78) percent.
The corresponding twelve-month year-on-year average percentage change for the urban index is 12.51 percent in December 2018. This is less than 12.83 percent reported in November 2018, while the corresponding rural inflation rate in December 2018 is 11.75 percent compared to 12.05 percent recorded in November 2018.
Food Index
The composite food index rose by 13.56 percent in December 2018 compared to 13.30 percent in November 2018.
This rise in the food index was caused by increases in prices of soft drinks, Fish, Bread and Cereals, Oils and fats, Coffee, tea and cocoa, Meat, Milk, Cheese and egg, Vegetables, Potatoes, yam and other tubers.
On month-on-month basis, the food sub-index increased by 0.81 percent in December 2018, down by 0.09 percent points from 0.90 percent recorded in November 2018.
The average annual rate of change of the Food sub-index for the twelve-month period ending December 2018 over the previous twelve-month average was 14.35 percent, 0.45 percent points from the average annual rate of change recorded in November 2018 (14.80) percent.
All Items Less Farm Produce
The All items less farm produce’’ or Core inflation, which excludes the prices of volatile agricultural produce stood at 9.8 percent in December 2018, maintaining the same rate recorded in November 2018 (9.8 percent).
On month-on-month basis, the core sub-index increased by 0.50 percent in December 2018. This was down by 0.18 percent when compared with 0.68 percent recorded in November 2018.
The highest increases were recorded in prices of Domestic services and household services, Dental services, Garments, Narcotics, major household appliances whether electronic or not, Medical services, Cleaning, repair and hire of clothing and Tobacco.
The average 12-month annual rate of change of the index was 10.51 percent for the twelve-month period ending December 2018; this is 0.19 percent points lower than 10.70 percent recorded in November.
State Profiles
In analysing price movements under this section, note that the CPI is weighted by consumption expenditure patterns which differ across states. Accordingly, the weight assigned to a particular food or non-food item may differ from state to state making interstate comparisons of consumption basket inadvisable and potentially misleading.
All Items Inflation
In December 2018, all items inflation on year on year basis was highest in Bayelsa (13.32%), Zamfara (13.23%) and Ekiti (13.18%), while Kwara (9.12%) Ogun (8.71%), and Cross River (8.21%) recorded the slowest rise in headline Year on Year inflation.
On month on month basis however, December 2018 all items inflation was highest in Kebbi (1.72%), Kaduna (1.69%), and Zamfara (1.68%), while Ogun (0.07%) had the least with Kwara and Edo recording negative inflation or price deflation (general decrease in the general price level of goods and services or a negative inflation rate) in December 2018.
Food Inflation
In December 2018, food inflation on a year on year basis was highest in Abuja (16.50%), Bayelsa (16.23%) and Nasarawa (16.15%), while Oyo (10.79%), Cross River (10.57%) and Ogun (10.46%) recorded the slowest rise in food inflation.
On month on month basis however, December 2018 food inflation was highest in Yobe (2.40%), Kebbi and Zamfara (2.36%) and Kaduna (2.35%), while Cross River, Edo, Kwara, Ogun and Oyo all recorded food price deflation or negative inflation (general decrease in the general price level of goods and services or a negative inflation rate) in December 2018.
