The headline inflation rate in August 2024 stood at 32.15%, marking a slight decrease of 1.25%-points from 33.40% in July 2024, according to the National Bureau of Statistics (NBS).
Despite this reduction on a month-to-month basis, when compared year-on-year, the August 2024 headline inflation rate increased by 6.35%-points from the 25.80% recorded in August 2023, indicating that the overall inflationary pressures are still significantly higher than they were a year ago.
On a month-to-month basis, the headline inflation rate for August 2024 was recorded at 2.22%, reflecting a marginal decrease from 2.28% in July 2024.
This means that while prices continued to rise, the rate at which they increased slowed slightly between July and August.
When it comes to food inflation, the rate in August 2024 was 37.52%, which was 8.18%-points higher than the 29.34% recorded in August 2023. The year-on-year increase in food inflation was driven by rising prices of essential food items such as bread, maize grains, yams, palm oil, and other staples.
On a month-to-month basis, food inflation stood at 2.37% in August 2024, representing a slight decrease of 0.10%-points from 2.47% in July 2024.
The slight decline in the month-to-month figure can be attributed to the moderation in the prices of some food items like tea, cocoa, coffee, milk, and various tubers.
Overall, while both headline and food inflation showed some short-term easing in August, the year-on-year data indicates that inflationary pressures, particularly driven by food prices, remain a significant challenge for the Nigerian economy.
Inflationary pressures in Nigeria varied significantly across states, with food inflation serving as a major driver of overall inflation in most cases. Overall, while some states saw a decrease in inflation rates, the high cost of food and other goods continues to pose a significant challenge for consumers across Nigeria.
Below is a list of the 10 most expensive states in Nigeria based on their all-item inflation rate for August 2024:
After maintaining the sixth position on the list of most expensive states in Nigeria twice, Abia experienced a significant drop in both all-item and food inflation in August 2024.
Leaving its seventh position on the previous month’s list, Oyo State recorded a drop in the all-item inflation rate from 35.6% in July to 34.44% in August 2024, representing a 1.16% decrease.
From its ninth position in July 2024, Lagos, known for its high cost of living, saw a 0.74% decrease in all-item inflation, which dropped from 35.5% in July to 34.76% in August 2024.
Moving higher from its 10th position in the previous month, Gombe recorded a slight decrease in all-item inflation, from 35.5% in July to 35.23% in August, reflecting a 0.27% drop.
Niger State saw a 0.53% increase in all-item inflation, with the rate rising from 34.88% in July to 35.41% in August 2024.
Yobe experienced a 0.29% increase in all-item inflation, with the rate moving from 35.14% in July to 35.43% in August 2024.
From its fifth position on the list in July 2024, Sokoto’s all-item inflation remained relatively stable between July and August 2024, holding steady at 35.89%.
After being the second most expensive state in Nigeria in July 2024, Jigawa witnessed a significant decrease in both all-item and food inflation in August 2024.
Leaving its third position to Jigawa, Kebbi’s all-item inflation rate remained unchanged at 37.50% between July and August 2024.
For the fourth consecutive time, Bauchi recorded the highest all-item inflation rate among the top 10 states, with a rate of 46.46% in August 2024, up from 46.0% in July.
