The National Bureau of Statistics (NBS), the nation’s official statistics producer and custodian, reported today that the Consumer Price Index (CPI), which measures inflation, increased by 11.61 percent year-on-year in May 2018.
The latest inflation rate represented 0.87 percent points less than the 13.34 percent rate recorded in the preceding month and the 16th consecutive disinflation since January 2017.
The Bureau, in the Consumer Price Index May 2018 report, stated that despite the disinflation, increases were recorded in all Classification of Individual Consumption by Purpose (COICOP) divisions that yield the Headline Index.
According to the agency, on a month-on-month basis, the Headline index increased by 1.09 percent in May 2018, up by 0.26 percent points from the rate recorded in the preceding month.
It reported further that the percentage change in the average composite CPI for the 12-month period ended May 2018 over the average of the CPI for the previous twelve months period was 14.79 percent, showing 0.41 percent point lower from 15.20 percent recorded in April 2018.
A further analysis of the general price level in the economy showed that the urban inflation rate eased by 12.08 percent year-on-year in the month under review down from the 12.89 percent recorded in April.
Similarly, the report showed that the rural inflation rate also eased 11.20 percent in May from 12.13 percent in April.
However, NBS reported that on month-on-month basis, the urban index rose by 1.10 percent in May 2018, up by 0.25 percent points from 0.85 percent recorded April, just as the rural index also rose by 1.08 percent in the month in review, up by 0.26 percent from the 0.82 percent rate recorded in the preceding month.
The agency disclosed that the corresponding 12 month year-on-year average percentage change for the urban index was 15.10 percent in May, less than the 15.47 percent reported in April,.
This is even as reported that the corresponding rural inflation rate in the month in review stood at 14.53 percent compared to 14.95 percent recorded in the preceding month.
On the Food Index rate, the Bureau reported that the composite food index rose by 13.45 percent in May 2018 due to increases in prices of potatoes, yam and other tubers, vegetables, fish, bread and cereals, fruits and meat.
It stated further that on month-on-month basis, the food sub-index increased by 1.33 percent in the month in review, up by 0.42 percent points from 0.91 percent recorded in April.
The Bureau reported that the average annual rate of change of the Food sub-index for the 12-month period ended May over the previous 12-month average was 18.36 percent, 0.53 percent points from the 18.89 percent average annual rate of change recorded in April, 2018.
On the ”All items less farm produce” or Core inflation trend, which excludes the prices of volatile agricultural produce, the Bureau reported that the inflation stood at 10.7 percent in May 2018, down by 0.2 percent from the 10.9 percent rate recorded in the preceding month.
This is even as the agency noted that on month-on-month basis, the core sub-index increased by 0.98 percent in May, rising by 0.11 percent when compared with 0.87 percent recorded in April.
The agency stated that the highest increases were recorded in prices of hairdressing saloons and personal grooming establishment, vehicle spare parts, fuels and lubricants for transport equipment, books and stationery, domestic services and household services, pharmaceutical products, paramedical services, medical services and passenger transport by road.
The CPI report also indicated that the average 12-month annual rate of change of the index was 11.83 percent for the 12-month period ended May, representing 0.19 percent points lower than 12.02 percent recorded in the preceding month.
