Inflation Rises to 12.1% in the Month of March

The consumer price index rose to 12.1% in March according to data released by the National Bureau of Statistics yesterday. This figure represents an increase of 0.2% over the figure in February.

According to the Statistical organization, the increase was due to the planting season which drove food prices up. The increase in prices was however dulled by the lack of liquidity in the economy due to a delay in the distribution of proceeds from the monthly Federal Accounts Allocation Committee.

According to a statement released by the NBS, “In March, the level of the Composite Food Index was higher than the corresponding level a year ago by 11.8 percent. This was higher than 9.7 percent recorded in the previous month. Compared with February 2012 figure, average monthly food prices rose in March 2012 by 2.3 percent. The rise in the food inflation was mainly due to the increasing cost of food products especially yams and other tubers as food products have become relatively scarce due to the drawdown from the end of year harvest. The average annual rate of rise of the index was 10.3 percent (year-on-year) for the twelve-month period ending March 2012.”