Alcoholic Beverages, Tobacco Lead Nigeria’s Inflation Charge.

Keep up with the latest news and be part of our weekly giveaways and airtime sharing; follow our WhatsApp channel for more updates. Click to Follow us

Nigeria’s National Bureau of Statistics has released its latest rebased Consumer Price Index for January 2025, revealing that alcoholic beverages, tobacco, and narcotics have recorded the highest inflation rate at 14.80%.

The report shows that the alcohol and tobacco item division is closely followed by restaurants and accommodation services, with an inflation rate of 14.14%, while transport and clothing and footwear recorded 12.77% and 12.73%, respectively.

According to the NBS, the headline inflation rate stood at 24.48% in January 2025, indicating a significant rise in the general price level of goods and services compared to the same period in 2024. The report states, “The rebased All Items index in January 2025 was 110.68, while the headline inflation rate on a year-on-year basis stood at 24.48% in January 2025. This means that the general prices of goods and services in Nigeria increased by 24.48% compared to January 2024.”

The CPI rebasing was necessary to reflect current economic realities and consumption patterns in Nigeria. The new CPI structure covers 934 product varieties, classified under 13 divisions, including food and non-alcoholic beverages, clothing and footwear, transport, and housing and utilities.

*Key Inflation Rates by Category:*

– _Food and Beverages:_ 10.64%

– _Personal Care, Social Protection, and Miscellaneous Goods and Services:_ 12.04%

– _Furnishings, Household Equipment, and Routine Household Maintenance:_ 11.48%

– _Health:_ 9.42%

– _Housing, Water, Electricity, Gas, and Other Fuels:_ 7.61%

– _Education:_ 4.88%

– _Insurance and Financial Services:_ 4.65%

The NBS report also highlights the divergence in inflation trends between urban and rural areas, with urban inflation at 26.09% and rural inflation at 22.15%.

Prince Semiu Adeyemi, the Statistician-General of the Federation and Chief Executive of the NBS, emphasised the importance of rebasing the GDP and CPI, saying, “Rebasing our GDP and CPI allows us to align with these transformations, providing a more precise and relevant picture of Nigeria’s economic landscape. 

“This process is foundational to informed policymaking, strategic planning, and effective governance; hence, it is one exercise that the NBS is conducting with significant importance and professionalism.”

Please don’t forget to “Allow the notification” so you will be the first to get our gist when we publish it. 
Drop your comment in the section below, and don’t forget to share the post.