The National Bureau of Statistics (NBS) today released the Consumer Price Index (CPI) for June 2018. The CPI measures the average change over time in prices of goods and services consumed by people for day-to-day living, according to reports gathered by Nairametrics.
The report shows inflation increased by 11.23% (year-on-year) in June 2018 which is 0.37% less than the recorded rate in May, 2018 (11.61%). This reduction is the seventeenth consecutive time inflation rate has been dropping since January, 2017.
Reports from the Guardian Newspaper explained that the inflation rate fell even as the Nigerian government started releasing funding for its record 2018 budget of 9.12 trillion naira ($25 billion), which some analysts had anticipated would cause prices to rise.
Price pressures are still expected to kick in on growing election-related spending ahead of February’s federal and state vote, with President Muhammadu Buhari seeking a second mandate.
The central bank’s monetary policy committee will tomorrow announce its decision on its main interest rate, which it has held at 14 percent since July 2016 to curb inflation.
The bank targets an inflation rate of 6 percent to 9 percent and has signaled rate cuts when price growth moves closer to this band.