LAGOS — Inflation rate rose to 12.1 per cent in January from 11.8 per cent the previous month, says National Bureau of Statistics, NBS.

Photo: toonpool

Inflation rate is the rate of increase in general prices of goods and services in the economy, and it is measured by the Consumer  Price Index, CPI.

This implies that for the first time in five months prices of goods and services increased at a faster pace than the previous month.

In a statement issued yesterday, NBS said: “The Composite Consumer Price Index, CPI, rose by 12.1 per cent year-on-year in January 2011. This is higher than 11.8 per cent recorded in the previous month in the new CPI series. The monthly change of the CPI was 1.20 percent increase when compared with December 2010.

“The urban All Items monthly index declined by 1.4 per cent while the corresponding rural index increased by 3.3 per cent when compared with the preceding month.

The year-an-year average consumer price level as at January 2011 for Urban and Rural dwellers rose by 7.9 and 15.6 percent respectively.

“The percentage change in the average composite CPI for the 12-month period ending January 2011 over the average of the CPI for the previous 12-month period was 13.5. This was slightly lower than the figure for the preceding month.”

“The corresponding 12_ month average percent change for urban and rural indices rose by 10.8 and 15.3 respectively.

“FOOD INDEX: Average monthly food prices marginally declined by 0.9 percent in January 2011 when compared with December 2010 figure. The level of the Composite Food Index was higher than the corresponding level a year ago by 10.3 percent.

The average annual rate of rise of the index was 14.2 percent for the twelve_month period ending January 2011.
“The decrease in the month_on_month index was caused mainly by decline in the prices of some food items like Meat, Fish and Oil & fats, after festive period.

The “All items less Farm Produce” index which excludes the prices of agricultural products increased by 1.7 percent in January 2011 when compared with December 2010 . The increase was mainly on d some household items, building materials and kerosene.

In the twelve_month to January 2011, the index rose by 12.1 percent while the average annual rate of rise of the index was 12.4 percent for the twelve_month period ending January 2011.”