Nigeria’s headline inflation continued its deceleration as it moderated to 17.38 per cent year-on-year, in July 2021.
Analyst at Cordros Capital said this was the slowest rise since February 2021 (17.33 per cent). On a month-on-month basis, headline inflation moderated by 13 basis points to 0.93 percent.
According to the Nigeria Bureau of Statistics, food inflation moderated for the fourth consecutive month, declining by 80 basis points to 21.03 per cent in July 2021, while 21.83 per cent was recorded in June.
Notably, the highest price increases were recorded in Milk, Cheese and Eggs, Coffee, Tea and Cocoa, Vegetables, Bread and Cereals, Soft Drinks, and Meat.
On a month-on-month basis, food inflation grew slower by 0.86 per cent in July, compared to 1.11 per cent in June.
Conversely, core inflation increased by 63 basis points to 13.72 per cent year-on-year (June: 13.09 per cent).
Pressures were most significant in the prices of Garments, Shoes and other footwear, Clothing materials, other articles of clothing and clothing accessories, Vehicle spare parts.
Others were major household appliances whether electric or not, Pharmaceutical products, Cleaning, repair and hire of clothing, furniture and furnishing, Medical services and Hospital services.
Compared to the previous month, the core index increased by 50 basis points to 1.31 per cent month-on-month in July, 2021.