Aug 16 (Lagos) - July’s headline inflation eased by -80bps to 33.4% y/y compared with 34.2% in June ’24. This was largely on the back of positive base effects.
On a month-on-month basis, headline inflation eased slightly by -3bps to 2.28% from 2.31% recorded in the previous month.
Food inflation declined by -134bps to 39.53% y/y. The highest increases were recorded in the prices of bread, cereals, oil and fat, fish, potatoes, yam, and other tubers. On a y/y basis, imported food price inflation rose by +50bps to 36.9% y/y from 36.4% y/y recorded in the previous month. In the FX market, the NGN/USD recorded a m/m depreciation of -6.9% in the NAFEM window. It closed the month (July) at N1,608.7/USD.
Core inflation increased by +7bps to 27.47% y/y from 27.4% y/y recorded in the previous month.
This is a positive for CBN leadership that has increased interest rates to control the inflation.