• Nigeria's consumer price index (CPI) drops marginally in July 2019 
  • The figure is 0.14% lower than the rate recorded in June 2019.
  • CBN expects moderation towards the head of the year, eyeing a single digit rate

Nigeria's inflation rate has dropped to 11.08% year-on-year in July 2019, the National Bureau of Statistics (NBS) said.

The NBS stated this in its CPI and Inflation Report July 2019, released in Abuja on Friday, August 16th.

This is 0.14 percent points lower than the rate recorded in June 2019 (11.22%) as increases were recorded in all individual consumption by purpose that yielded the headline index.

On a month-on-month basis, the Headline index increased by 1.01% in July 2019. This is 0.06 percent rate lower than the rate recorded in June 2019 (1.07%).

The percentage change in the average composite CPI for the twelve months ending July 2019 over the average of the CPI for the previous twelve months period was 11.29%, compared to 11.29% recorded in June 2019.

Infograhic: Nigeria's inflation rate in 2019
Infograhic: Nigeria's inflation rate in 2019

Here are the highlights of the report:

  • The composite food index rose by 13.39% in July 2019 compared to 13.56% in June 2019.
  • The urban inflation rate increased by 11.43% (year-on-year) in July 2019 from 11.61% recorded in June 2019, while the rural inflation rate increased by 10.64% in July 2019 from 10.87% in June 2019.
  • Year-on-year, Kebbi (15.41%), Kano (13.47%) and Zamfara (13.13%) recorded the highest inflation in July 2019 while Cross River (8.87%), Delta (8.76%) and Kwara (7.93%) recorded the slowest rise in headline inflation.
  • On month on month basis, Yobe (2.06%), Kano (2.04%) and Taraba (1.84%) recorded highest while Akwa Ibom (0.19%) recorded the slowest rise with Bauchi and Ondo recording price deflation.

In the CBN's post-election strategies, Godwin Emefiele said the monetary authority will continue to tighten economic policy due to the inflation outlook. 

He said the Central Bank had projected that Nigerian economy to grow by 3% in 2019, higher than the 1.93% recorded in 2018 and inflation rising to 12% this year before moderating.