Nigeria’s headline inflation grew stronger by 72bps to 28.92% in December against 28.20% in November. The outturn is 90bps and 32bps higher than Cordros’ (28.02% y/y) and Bloomberg’s median consensus 28.60%  estimates, respectively.

Similarly, on a month-on-month basis, headline inflation rose by 20bps to 2.29% (November: 2.09% m/m). Food inflation maintained its uptrend in December, rising by 109bps to 33.93% compared to November: 32.84% .

Notably, the pressure was most significant in the prices of bread and cereals, oil and fat, potatoes, yam and other tubers, fish, meat, fruit, milk, cheese, and eggs. On a month-on-month basis, food inflation increased to 2.72%, relative to the 2.42% m/m print recorded in the previous month.

Similarly, the core inflation (All items less farm produce and energy) rose by 68bps to 23.0%  against November: 22.38%. The highest increases were recorded in prices of Passenger Transport by Road.

Medical Services, Actual and Imputed Rentals for Housing, Passenger Transport by Air, Pharmaceutical products, Accommodation services, etc.

Sequentially, the core index increased by 29bps to 1.82% m/m in December 2023 compared to the previous month (1.53% m/m).