All Items Index

In January 2023, the headline inflation rate rose to 21.82% compared to December 2022 headline inflation rate which was 21.34%. Looking at the trend, the January 2023 inflation rate showed an increase of 0.47% points when compared to December 2022 inflation rate. 

However, on a year-on-year basis, the headline inflation rate was 6.22% points higher compared to the rate recorded in January 2022, which was 15.60%. This shows that the headline inflation rate (year-on-year basis) increased in the month of January 2023 when compared to the same month in the preceding year (i.e., January 2022). 

The contributions of items on a class basis to the increase in the headline index are: Bread and Cereal (21.67%), Actual and Imputed Rent (7.74%), Potatoes, Yam and Tuber (6.06%), Vegetable (5.44%), and Meat (4.78%). 

On a month-on-month basis, the percentage change in the All-Items Index in January 2023 was 1.87%, which was 0.15% points higher than the rate recorded in December 2022 (1.71%). This means that in the month of January 2023, on average, the general price level was 0.15% higher relative to December 2022. 

The percentage change in the average CPI for the twelve months period ending January 2023 over the average of the CPI for the previous twelve months period was 19.36%, showing a 2.49% increase compared to 16.87% recorded in January 2022. 

The increases were recorded in all COICOP divisions that yielded the headline index

Urban Inflation 

On a year-on-year basis, in January 2023, the urban inflation rate was 22.55%, this was 6.38% points higher compared to the 16.17% recorded in January 2022. On a month-on-month basis, the urban inflation rate was 1.98% in January 2023, this was 0.17% points higher compared to December 2022 (1.80%). The corresponding twelve-months average for the urban inflation rate was 19.91% in January 2023. This was 2.48% points higher compared to the 17.44% reported in January 2022.

Rural Inflation 

The rural inflation rate in January 2023 was 21.13% on a year-on-year basis; this was 6.08% points higher compared to the 15.06% recorded in January 2022. On a month-on-month basis, the rural inflation rate in January 2023 was 1.77%, up by 0.14% points compared to December 2022 (1.63%). The corresponding twelve-months average for the rural inflation rate in January 2023 was 18.84%. This was 2.53% points higher compared to the 16.31% recorded in January 2022.

Food Index

The food inflation rate in January 2023 was 24.32% on a year-on-year basis; which was 7.19% points higher compared to the rate recorded in January 2022 (17.13%). The rise in food inflation was caused by increases in prices of Bread and Cereals, Oil and Fat, Potatoes, Yam and Other Tubers, Fish, Vegetable, Fruits, Meat, and Food Products n.e.c. On a month-on-month basis, the food inflation rate in January 2023 was 2.08%, this was 0.20% points higher compared to the rate recorded in December 2022 (1.89%). This increase was attributed to increase in the prices of some food items like Oil and Fat, Bread and Cereals, Fish, Potatoes, Yam & Tubers, etc. The average annual rate of food inflation for the twelve -months ending January 2023 over the previous twelve-months average was 21.53%, which was a 1.44% points increase from the average annual rate of change recorded in January 2022 (20.09%).

All Items Less Farm Produce

The ‘’All items less farm produce’’ or Core inflation, which excludes the prices of volatile agricultural produce stood at 19.16% in January 2023 on a year-on-year basis; up by 5.29% when compared to the 13.87% recorded in January 2022. On a month-on-month basis, the core inflation rate was 1.82% in January 2023, up by 0.49% points from the 1.33% recorded in December 2022. The highest increases were recorded in prices of Gas, Liquid Fuel, Passenger Transport by Air, Vehicles Spare Parts, Fuels, and Lubricants for Personal Transport Equipment, Solid Fuel, etc. The average twelve-months annual inflation rate was 16.52% for the twelve-months ending January 2023; this was 3.19% points higher than the 13.33% recorded in January 2022.

State Profiles

In analysing price movements under this section, it should be noted that CPI is weighted by consumption expenditure patterns which differ across states and locations. Accordingly, the weight assigned to a particular food or non-food item may differ from state to state making interstate comparisons of consumption basket inadvisable and potentially misleading .

All Items Inflation 

In January 2023, all items inflation rate on a year-on-year basis was highest in Bauchi (24.79%), Ondo (24.54%), Anambra (24.51%), while Jigawa (19.09%), Borno (19.62%) and Sokoto (19.90%) recorded the slowest rise in headline year-on-year inflation. On a monthon-month basis, however, January 2023 recorded the highest increases in Lagos (2.91%), Taraba (2.84%), Ondo (2.68%), while Yobe (0.54%), Jigawa (0.73%) and Oyo (0.87%) recorded the slowest rise on month-on-month inflation .

Food Inflation 

In January 2023, food inflation on a year-on-year basis was highest in Kwara (29.03%), Lagos (27.67%), and Ondo (27.38%), while Jigawa (19.22%), Sokoto (20.80%) and Yobe (21.32%) recorded the slowest rise in year-on-year food inflation. On a month-on-month basis, however, January 2023 food inflation was highest in Lagos (3.67%), Ogun (3.54%), and Ekiti (3.32%), while Yobe (-0.50%), Jigawa (0.18%) and Kebbi (0.92%) recorded the slowest rise on month-on-month inflation