With Nigerians grappling under the burden of high cost of living as food prices continue to soar, residents of Kogi, Ekiti and Bauchi are having it harder paying the most for food, goods and services in May, latest data from the National Bureau of Statistics have shown.
According to the data, Nigerians living in one of the nation’s food baskets, Kogi state, are paying the most for food as the rate at which prices of food items in the state rise is the highest in the country. The state, which has consistently been in the news over scores being killed as armed herdsmen and farmers clash, has continued to experience the highest food inflation in the country.
NBS Consumer Price Index data for May has shown an headline inflation rate of 33.95 per cent and a food inflation of 40.66 per cent year on year. The rates recorded for Kogi was however higher. Whilst Bauchi state recorded the highest inflation rate of 42.3 per cent, Kogi had the highest food inflation of 46.32 per cent and the second highest headline inflation of 39.38 per cent.
In April, when the national headline inflation was 33.69 per cent Kogi state had recorded the highest inflation of 40.84 per cent and the highest food inflation of 48.62 per cent compared to 40.53 per cent recorded for the country.
Kogi state had seen its headline inflation which was the highest in the country rise from 35.79 per cent in January to 37.98 per cent in February and 39.97 per cent in March, rising further to 40.84 per cent in April before slowing to 39.38 per cent in May.
Similarly, its food inflation had risen from 44.18 per cent in January to 46.32 per cent, to 46.32 per cent in February, 48.46 in March and 48.62 per cent in April before slowing to 46.32 per cent in May. The state has consistently recorded the highest food inflation in the country.
Ekiti state had the second highest food inflation in the country in May as it recorded 44.94 per cent, followed by Kwara state which recorded 44.66 per cent. Other states on the top 10 states which highest food inflation are Osun with 44.57 per cent, Edo with 44.46 per cent, Enugu with 44.42 per cent, Imo with 44.32 per cent, Cross River, Abia and Akwa Ibom with 44.24, 44.02 and 43.83 per cents respectively.
Meanwhile, residents of Borno Adamawa and Benue states are not having it as bad as other states, as they recorded the lowest inflation and food inflation in the country in the month of May. According to the NBS data, Borno state recorded an inflation rate of 25.97 per cent while Benue and Delta states recorded inflation rates of 27.74 and 28.67 per cent respectively.
On food inflation, Adamawa residents are experiencing the slowest rise in prices of food items as the state recorded a food inflation of 31.72 per cent. Bauchi which had recorded the highest inflation rate in the country had the second slowest rise in food prices as the food inflation rate for the state was at 34.35 per cent followed by Borno with 34.74 per cent food inflation.
Analysts say they expect that inflation will begin a moderation having peaked amidst a slower year on year increase and the persistent decline in the month-on-month inflation. Analysts at Cordros Research, say they “suspect that headline inflation may have peaked and could ease in June, albeit at a moderate pace. Additionally, our projection of disinflation is hinged on the expectation of a further decline in the month-on-month inflation for June, supported by tamer currency volatility amid the CBN’s sustained efforts to support the naira and a slower increase in energy prices, particularly diesel.
“Specifically for food inflation, we expect the off-season harvest and lower logistics costs to once again support a slower rise in food prices. However, we note that the off-season harvest has been below average. This, coupled with festive-induced demand following the Eid-el-Kabir celebrations in June, presents upside risks that could potentially moderate these gains. Consequently, we project food inflation to settle at 2.35 per cent in June, with the year-on-year food inflation easing slightly to 40.60 per cent.”
