Nigeria’s inflation rate climbed to 31.70% in February, up from 29.90% recorded in January 2024, according to the latest CPI and inflation report released by the National Bureau of Statistics on Friday.
This represents a 1.80% increase, indicating that the average price level rose at a faster pace in February compared to January.
The report stated, “In February 2024, the headline inflation rate increased to 31.70% relative to the January 2024 headline inflation rate, which was 29.90%.”
On an annual basis, February 2024’s inflation rate was 9.79% higher than the 21.91% recorded in February 2023.
Additionally, the month-on-month headline inflation rate in February 2024 stood at 3.12%, a 0.48% increase from January 2024.
The NBS noted, “Looking at the movement, the February 2024 headline inflation rate showed an increase of 1.80 percent points when compared to the January 2024 headline inflation rate. On a year-on-year basis, the headline inflation rate was 9.79 percent points higher compared to the rate recorded in February 2023, which was 21.91 percent.
“Furthermore, on a month-on-month basis, the headline inflation rate in February 2024 was 3.12 percent, which was 0.48 percent higher than the rate recorded in January 2024 (2.64 percent).”
Despite the Central Bank’s tightened monetary policy, the latest inflation surge occurred.
At the recent Monetary Policy Meeting, the apex bank raised the benchmark interest rate by 400 basis points to a record 22.75%.
The CBN Governor, Olayemi Cardoso, explained that the decision was made to address inflation concerns, considering various scenarios and potential regulatory issues if inflation persisted.
The policy rate hike aims to effectively reduce inflation, addressing distortions in the foreign exchange market and mitigating inflationary pressures caused by speculators.
