All Items Index

In June 2023, the Headline inflation rate rose to 22.79% relative to May 2023 headline inflation rate which was 22.41%. Looking at the movement, the June 2023 Headline inflation rate showed an increase of 0.38% points when compared to May 2023 headline inflation rate. On a year-on-year basis, the Headline inflation rate was 4.19% points higher compared to the rate recorded in June 2022, which was 18.60%. This shows that the Headline inflation rate (year-on-year basis) increased in June 2023 when compared to the same month in the preceding year (i.e., June 2022). 

The contributions of items on the divisional level to the increase in the Headline index are presented below:

On a month-on-month basis, the Headline inflation rate in June 2023 was 2.13%, this was 0.19% points higher than the rate recorded in May 2023 (1.94%). This means that in June 2023, on average, the general price level was 0.19% higher relative to May 2023.

The percentage change in the average CPI for the twelve months period ending June 2023 over the average of the CPI for the previous twelve months period was 21.54%, showing a 5.00% increase compared to 16.54% recorded in June 2022.

Urban Inflation 

On a year-on-year basis, the Urban inflation rate in June 2023 was 24.33%, this was 5.23% points higher compared to the 19.09% recorded in June 2022. On a month-on-month basis, the Urban inflation rate was 2.31% in June 2023, which was 0.21% points higher compared to May 2023 (2.09%). The corresponding twelve-month average for the Urban inflation rate was 22.38% in June 2023. This was 5.30% points higher compared to the 17.09% reported in June 2022.

Rural Inflation 

The Rural inflation rate in June 2023 was 21.37% on a year-on-year basis; this was 3.25% points higher compared to the 18.13% recorded in June 2022. On a month-on-month basis, the Rural inflation rate in June 2023 was 1.96%, up by 0.16% points compared to May 2023 (1.80%). The corresponding twelve months average for the Rural inflation rate in June 2023 was 20.76%. This was 4.75% points higher compared to the 16.02% recorded in June 2022.

Food Index

The Food inflation rate in June 2023 was 25.25% on a year-on-year basis; this was 4.65% points higher relative to the rate recorded in June 2022 (20.60%). The rise in Food inflation on a year-on-year basis was caused by increases in prices of Oil and fat, Bread and cereals, Fish, Potatoes, Yam and other tubers, Fruits, Meat, Vegetable, Milk, Cheese, and Eggs. 

On a month-on-month basis, the Food inflation rate in June 2023 was 2.40%, this was 0.21% points higher compared to the rate recorded in May 2023 (2.19%). The average annual rate of Food inflation for the twelve months ending June 2023 over the previous twelve-month average was 24.03%, this was 5.41% points increase from the average annual rate of change recorded in June 2022 (18.62%).

All Items Less Farm Produce

The “All items less farm produce” or Core inflation, which excludes the prices of volatile agricultural produce stood at 20.27% in June 2023 on a year-on-year basis; up by 4.53% when compared to the 15.75% recorded in June 2022. The highest increases were recorded in prices of Passenger Transport by Air, Gas, Vehicles Spare Parts, Liquid Fuel, Fuels and Lubricants for Personal Transport Equipment, Medical Services, Passenger Transport by Road etc. 

On a month-on-month basis, the Core Inflation rate was 1.74% in June 2023. It stood at 1.81% in May 2023, down by 0.07%. The average twelve months annual inflation rate was 18.71% for the twelve months ending June 2023; this was 4.65% points higher than the 14.06% recorded in June 2022.

State Profile

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 June 2023, all items inflation rate on a year-on-year basis was highest in Lagos (25.75%), Ondo (25.40%), Kogi (25.23%), while Borno (20.44%), Zamfara (20.93%) and Ekiti (21.06%) recorded the slowest rise in headline inflation on a year-on-year basis. On a month-on-month basis, however, June 2023 recorded the highest increases in Ogun (3.21%), Plateau (3.05%), Jigawa (3.00%), while Zamfara (1.40%), Delta (1.42%) and Rivers (1.54%) recorded the slowest rise on month-on-month inflation.

Food Inflation 

In June 2023, Food inflation on a year-on-year basis was highest in Kwara (30.80%), Lagos (30.37%), and Kogi (29.71%), while Zamfara (21.38%), Sokoto (21.60%) and Borno (21.75%) recorded the slowest rise in Food inflation on a year-on-year basis. On a month-on-month basis, however, June 2023 Food inflation was highest in Kwara (3.82%), Abuja (3.64%), and Ogun (3.56%), while Rivers (0.75%), Zamfara (1.33%) and Adamawa (1.47%) recorded the slowest rise in Food inflation on a month-on-month basis.