The National Bureau of Statistics has reported that Nigeria’s inflation rate rose to 34.80% in December 2024, reflecting a slight increase from the 34.60% recorded in November.
The marginal rise of 0.20% has been attributed to heightened demand for goods and services during the festive season.
On a year-on-year basis, the December inflation rate marked a significant increase of 5.87%-points compared to 28.92 per cent in December 2023.
This highlights a continued upward trajectory in consumer prices, driven by economic challenges such as currency depreciation, high energy costs, and persistent supply chain disruptions.
According to the NBS report, the average inflation rate for the twelve months ending December 2024 stood at 33.24%, up from 24.66% recorded during the same period in 2023.
The latest Consumer Price Index (CPI) report by the National Bureau of Statistics (NBS) highlights the ten states with the highest inflation rates in December 2024. These figures reveal the rising cost of living across Nigeria, driven by both food and non-food components.
The December 2024 CPI report highlights the diverse factors driving inflation across Nigeria’s states. While food inflation remains a dominant factor, non-food components such as energy, transport, and housing also contribute significantly in certain states. The continued rise in inflation highlights the need for policy measures to address structural inefficiencies and ensure price stability nationwide.
Using data from the NBS on inflation rates, here is an analysis of the ten most expensive states in Nigeria in December 2024:
10. Oyo
Oyo State recorded an all-item inflation rate of 36.93% in December 2024, a notable decline from 39.5% in November. Food inflation also eased to 41.01% from 44.38% in the preceding month.
The reduction in both rates suggests a slight relief for residents, despite the rising demand for food during the festive period.
However, the high food inflation still highlights the continued strain on households’ food budgets.
9. Plateau
Plateau’s all-item inflation rate increased marginally to 37.19% in December from 36.62% in November, while food inflation rose to 44.65% from 43.86%.
This indicates that food prices remain a primary driver of inflation in the state, possibly due to the festive season’s heightened demand for agricultural produce.
Plateau’s position as an agrarian state means disruptions in the supply chain or high transportation costs can exacerbate price levels.
8. Niger
Niger State’s all-item inflation surged to 37.76% in December, up from 35.27% in November. Food inflation also rose significantly to 43.96% from 42.25%.
The sharp increase in both metrics could be linked to logistics challenges and insecurity affecting farming communities, which in turn impacts food supply.
Also, rising costs of energy and transportation in the state contribute to overall inflationary pressures.
7. Gombe
In Gombe, the all-item inflation rate climbed slightly to 38.32% in December from 38.1% in November. However, food inflation dropped to 45.90% from 46.63%, indicating that non-food items such as energy, housing, and transportation costs are becoming more influential in driving inflation.
6. Jigawa
Jigawa recorded an all-item inflation rate of 38.73% in December, rising from 37.5% in November. Food inflation increased to 43.74% from 42.32%, reflecting higher demand during the festive season.
Jigawa’s economy, heavily reliant on agriculture, likely felt the impact of rising input costs and limited access to markets, driving food prices upward.
5. Anambra
Anambra’s inflation rate dropped slightly to 39.37% in December from 40.48% in November, with food inflation also declining to 43.03% from 45.94%.
The decrease may indicate a stabilisation in food supply chains, particularly for staple foods such as rice and yam, which are prevalent in the state.
However, the still-high rates highlight persistent pressures from transport costs and general price levels for non-food items.
4. Zamfara
Zamfara’s all-item inflation rose marginally to 39.63% in December from 39.41% in November. Food inflation followed a similar trend, increasing to 46.39% from 46.01%.
The sustained high food inflation suggests continued challenges in food production and distribution, likely exacerbated by security issues in the region. Non-food inflation, driven by costs of essential services, also contributes to the state’s high inflation rate.
3. Kebbi
Kebbi saw its all-item inflation rate drop slightly to 41.47% in December from 42.4% in November, while food inflation also fell to 45.01% from 46.29%.
The reduction suggests some easing in price pressures, possibly due to improved food supply conditions.
However, the high food inflation rate indicates lingering pressures, especially in staples like grains, which are key to the state’s agricultural output.
2. Sokoto
Sokoto experienced a significant surge in both all-item and food inflation rates. All-item inflation jumped to 42.43% in December from 38.7% in November, while food inflation skyrocketed to 57.47% from 51.3%.
The sharp rise reflects a combination of heightened food demand during the festive season and challenges in food production and distribution.
The state’s proximity to conflict zones may also disrupt supply chains, exacerbating inflationary pressures.
1. Bauchi
Maintaining the lead for most of 2024, Bauchi recorded the highest all-item inflation rate in December at 44.06%, though this represented a slight decline from 46.2% in November.
Similarly, food inflation eased to 39.37% from 40.48%.
The decline may reflect seasonal adjustments in food prices following the harvest season. However, the overall inflation rate remains the highest in the country, driven by non-food items such as energy costs, which continue to weigh heavily on household budgets.
