Inflation increases by 0.82% in March, Nigerians react
The consumer price index, (CPI) which measures inflation maintained an upward trend in March 2021 as it increased by 18.17 percent (year-on-year) indicating 0.82 percent points higher than the 17.33 percent rate recorded in February 2021.
According to the National Bureau of Statistics (NBS), in its Consumer Price Index report, increases were recorded in all COICOP divisions that yielded the Headline index.
On a month-on-month basis, the Headline index increased by 1.56 percent in March 2021 signifying a 0.02 percentage points higher than the rate recorded in February 2021 (1.54 percent).
The percentage change in the average composite CPI for the twelve months period ending March 2021, over the average of the CPI for the previous twelve months period, was 14.55 percent, representing a 0.50 percent point increase over 14.05 percent recorded in February 2021
The urban inflation rate increased by 18.76 percent (year-on-year) in March 2021 from 17.92 percent recorded in February 2021, while the rural inflation rate increased by 17.60 percent in March 2021 from 16.77 percent in February 2021.
On a month-on-month basis, the urban index rose by 1.60 percent in March 2021, up by 0.02 compared to the rate recorded in February 2021, while the rural index also rose by 1.52 percent in March 2021, up by 0.02 compared to the rate that was recorded in February 2021 (1.50 percent).
The corresponding twelve-month year-on-year average percentage change for the urban index is 15.15 percent in March 2021. This is higher than 14.66 percent reported in February 2021, while the corresponding rural inflation rate in March 2021 is 13.99 percent compared to 13.48 percent recorded in February 2021.
The composite food index rose by 22.95 percent in March 2021 compared to 21.79 percent in February 2021.
This rise in the food index was caused by increases in prices of Bread and cereals, Potatoes, yam and other tubers, Meat, Vegetable, Fish, Oils and fats and fruits.
On month-on-month basis, the food sub-index increased by 1.90 percent in March 2021, up by 0.01 percent points from 1.89 percent recorded in February 2021.
The average annual rate of change of the Food sub-index for the twelve-month period ending March 2021 over the previous twelve-month average was 17.93 percent, 0.68 percent points from the average annual rate of change recorded in February 2021 (17.25) percent.
Reacting to the development, Activist Reno Omokri said ” Today NBS revealed that inflation rate is 18%. Savings interest rate is less than 5%. Stop saving, except it is to save to invest. Savings CANT grow as fast as inflation rate. Investments are the only thing capable of growing faster than inflation”