Anxiety as inflation hits 16.5 per cent

By Moses Ebosele – 
  Economic challenges confronting Nigeria assumes more disturbing dimensions as the Consumer Price Index (CPI) increased to its highest point of 16.5 per cent since 2005.
The report released by the National Bureau of Statistics (NBS) indicates that inflation for the month of June increased to its highest point since October 2005.
  According to the report, inflation rose from 15.6 percent in May 2016 to 16.5 percent in June 2016, as energy and food prices weigh in heavy on inflation for the month.
 The report said:  “In June, the Consumer Price Index (CPI) which measures inflation continued to record relatively strong increases for the fifth consecutive month. The Headline index increased by 16.5% (year-on-year), 0.9% points higher from rates recorded in May (15.6%).
  “Most COICOP divisions which contribute to the headline index increased at a faster pace, the increase was however weighed upon by a slower increase in three divisions; Recreation & Culture, Restaurant & Hotels, and Miscellaneous Goods & Services Year on year, energy prices, imported items and related products continue to be persistent drivers of the core sub-index.
 “The Core index increased by 16.2% in June, up by approximately 1.2% points from rates recorded in May (15.1%). During the month, the highest increases were seen in the electricity, liquid Fuel (kerosene), furniture and furnishings, passenger transport by road, fuels and lubricants for personal transport equipment.”
  Besides farm produce, the core sub-index increased by 16.2% in June (year-on-year), up approximately by 1.2% points from 15.1% recorded in May.
 *Contact Editor through Citybusinessnews@yahoo.com