Nigeria’s inflation rate slightly increased in December 2024, rising to 34.8% from 34.6% in November. This increase was due to a surge in demand for goods and services during the festive period.
The National Bureau of Statistics (NBS) made this disclosure in its Consumer Price Index (CPI) report for December 2024.
Inflation Rate Up by 0.20% from November
According to the NBS, the Headline inflation rate for December 2024 was 34.80%, a marginal increase of 0.20% from the 34.60% recorded in November 2024.
The report attributes this increase to the seasonal rise in demand during the December festive period.
The NBS stated, “Looking at the movement, the December 2024 Headline inflation rate showed a marginal increase of 0.20% compared to the November 2024 Headline inflation rate. This was due to December festive period increases in demand for goods and services.”
Year-On-Year Inflation Shows Significant Increase
On a year-on-year basis, Nigeria’s Headline inflation rate for December 2024 was 5.87% higher than the rate recorded in December 2023, which stood at 28.92%.
This indicates a significant rise in inflation when comparing the end of 2024 to the same period in 2023.
“This shows that the Headline inflation rate (year-on-year basis) increased in December 2024 compared to the same month in the preceding year (i.e., December 2023),” the NBS report noted.
However, when considering the month-on-month inflation rate, the NBS reported a slight decrease in December 2024. The month-on-month inflation rate for December was 2.44%, which is 0.20% lower than the 2.64% recorded in November.
“This means that in December 2024, the rate of increase in the average price level is slightly lower than the rate of increase in the average price level in November 2024,” the report explained.
Meanwhile, Britain’s annual inflation rate unexpectedly fell to 2.5% in December, offering some relief to the Labour government amid ongoing economic unrest.
The latest official data released on Wednesday showed a slight decrease from November’s inflation rate of 2.6%, easing some pressure on the government as it grapples with rising economic challenges.
Analysts had anticipated no change in the Consumer Prices Index (CPI) for December, expecting it to remain at 2.6%.
However, the Office for National Statistics (ONS) reported a drop to 2.5%, which has provided a glimmer of hope for the government amidst broader economic concerns.