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Nigeria’s inflation rate further declines to 32.15% in August- NBS

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The National Bureau of Statistics (NBS), says Nigeria’s headline inflation rate further declined to 32.15 per cent in August 2024.

The NBS said this in its Consumer Price Index (CPI) and Inflation Report for August 2024, which was released in Abuja on Monday.

According to the report, the figure is 1.25 per cent points lower compared to the 33.40 per cent recorded in July 2024.

It said on a year-on-year basis, the headline inflation rate in August 2024 was 6.35 per cent higher than the rate recorded in August 2023 at 25.80 per cent.

In addition, the report said on a month-on-month basis, the headline inflation rate in August 2024 was 2.22 per cent, which was 0.06 per cent lower than the rate recorded in July 2024 at 2.28 per cent.

“This means that in August 2024, the rate of increase in the average price level is lower than the rate of increase in the average price level in July 2024.”

The report said the increase in the headline index for August 2024 on a year-on-year basis and month-on-month basis was attributed to the increase in some items in the basket of goods and services at the divisional level.

It said these increases were observed in food and non-alcoholic beverages, housing, water, electricity, gas, and other fuel, clothing and footwear, and transport.

Others were furnishings, household equipment and maintenance, education, health, miscellaneous goods and services, restaurants and hotels, alcoholic beverages, tobacco and kola, recreation and culture, and communication.

It said the percentage change in the average CPI for the 12 months ending August 2024 over the average of the CPI for the previous corresponding 12-month period was 31.26 per cent.

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“This indicates an 8.88 per cent increase compared to 22.38 per cent recorded in August 2023.”

The report said the food inflation rate in August 2024 increased to 37.52 per cent on a year-on-year basis, which was 8.18 per cent higher compared to the rate recorded in August 2023 at 29.34 per cent.

“The rise in food inflation on a year-on-year basis is caused by increases in prices of bread, maize, grains, guinea corn, yam, Irish potatoes, water yam, cassava tuber.

“Others are palm oil, vegetable oil, Ovaltine, Milo, Lipton, etc.”

It said on a month-on-month basis, the food inflation rate in August was 2.37 per cent, which was a 0.10 per cent decrease compared to the rate recorded in July 2024 at 2.24 per cent.

“The decline in food inflation on a month-on-month basis was caused by a decrease in the average prices of tobacco, tea, cocoa, coffee,
Groundnut oil, and milk.

“Others are yam, Irish potatoes, water yam, cassava tuber, palm oil, and vegetable etc.”

The report said that “all items less farm produce and energy’’ or core inflation, which excludes the prices of volatile agricultural produce and energy, stood at 27.58 per cent in August on a year-on-year basis.

“This increased by 6.43 per cent compared to 21.15 per cent recorded in August 2023.’’

“The exclusion of the PMS is due to the deregulation of the commodity by removal of subsidy.”

It said the highest increases were recorded in prices of rents, bus Journey intercity, Journey by motorcycle, etc.

“Others are accommodation service, laboratory service, x-ray photog­raphy, consultation fee of a medical doctor, among others.”

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The NBS said on a month-on-month basis, the core inflation rate was 2.27 per cent in August 2024.

“This indicates a 0.11 per cent increase compared to what was recorded in July 2024 at 2.16 per cent.

“The average 12-month annual inflation rate was 25.18 per cent for the 12 months ending August 2024, this was 6.00 per cent points higher than the 19.18 per cent recorded in August 2023.”

The report said on a year-on-year basis in August 2024, the urban inflation rate was 34.58 per cent, which was 6.89 per cent higher compared to the 27.69 per cent recorded in August 2023.

“On a month-on-month basis, the urban inflation rate was 2.39 per cent, which decreased by 0.07 per cent compared to July 024 at 2.46 per cent.’’

The report said on a year-on-year basis in August 2024, the rural inflation rate was 29.95 per cent, which was 5.87 per cent higher compared to the 24.10 per cent recorded in August 2023.

“On a month-on-month basis, the rural inflation rate was 2.06 per cent, which decreased by 0.04 per cent compared to July 2024 at 2.10 per cent.’’

On states’ profile analysis, the report showed that in August, all items’ inflation rate on a year-on-year basis was highest in Bauchi at 46.46 per cent, followed by Kebbi at 37.51 per cent, and Jigawa at 37.43 per cent.

It, however, said the slowest rise in headline inflation on a year-on-year basis was recorded in Benue at 25.13 per cent, followed by Delta at 28.86 per cent, and Imo at 28.05 per cent.

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The report, however, said in August 2024, all items inflation rate on a month-on-month basis was highest in Kwara at 4.45 per cent, followed by Bauchi at 4.22 per cent, and Adamawa at 3.99 per cent.

“Ogun at at 0.21 per cent, followed by Abuja at 0.92 per cent and Kogi at 1.14 per cent recorded the slowest rise in month-on-month inflation.”

The report said on a year-on-year basis, food inflation was highest in Sokoto at 46.98 per cent, followed by Gombe at 43.25 per cent, and Yobe at 43.21 per cent.

“Benue at 33.33 per cent, followed by Rivers at 33.01 per cent and Bayelsa at 33.36 per cent recorded the slowest rise in food inflation on a year-on-year basis.’’

The report, however, said on a month-on-month basis, food inflation was highest in Adamawa at 5.46 per cent, followed by Kebbi at 4.48 per cent, and Borno at 3.88 per cent.

“Ogun at 0.08 per cent, followed by Akwa Ibom at 0.45 per cent and Sokoto at 1.00 per cent, recorded the slowest rise in inflation on a month-on-month basis.” (NAN)

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Bayelsa Hits N4.2bn Monthly IGR, Credits e-Ticketing System

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The Bayelsa State Internal Revenue Service has announced a historic increase in the state’s Internally Generated Revenue hitting N4.2 billion in a single month, marking a 320 per cent surge from previous figures.

The development, disclosed in a statement by BIRS on Saturday, was attributed to the introduction of an electronic ticketing (e-ticketing) system, which has eliminated cash leakages, curbed corruption, and improved transparency in tax collection.

BIRS chairman, Daniel Eniekezimene,
stated that the government transitioned to a fully automated tax collection system, ensuring that all payments from transport operators, traders, and businesses go directly into state coffers.

Unlike the old manual system, the e-ticketing platform generates instant receipts, making transactions traceable and reducing opportunities for extortion.

“This is a turning point for Bayelsa. We have blocked revenue leakages and ensured that every kobo collected goes straight into government accounts,” Eniekezimene stated.

A commercial tricycle operator, Isaac Tamuno, described the shift as a relief.

No individual is bigger than PDP – Bayelsa gov
He stated, “Before now, we never knew where our money was going. But with this e-ticket, we get receipts instantly, and no one can cheat us. It’s a big change for us.”

The chairman said the surge in IGR is expected to fund critical infrastructure projects, education, and healthcare.

Speaking on the significance of the revenue jump, Governor Douye Diri said, “This unprecedented revenue growth means we can now invest more in roads, schools, and healthcare. Our administration is committed to ensuring that every Bayelsan benefits from these reforms.”

Bayelsa’s success with e-ticketing is already being touted as a model for other states struggling with low IGR.

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Eniekezimene emphasised the broader implications of the reform.

“What we have achieved in Bayelsa proves that technology is the way forward. Other states facing similar challenges should consider e-ticketing to improve revenue collection and accountability,” he stated.

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Stock market declines further by N31bn

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Trading activities on the Nigerian Exchange Ltd. (NGX) on Thursday closed on a negative note, with the market capitalisation declining further by N31 billion.

Specifically, the NGX market capitalisation fell by N31 billion, or 0.05 per cent, to close at N66.109 trillion from N66.140 trillion recorded on Wednesday.

Also, the All-Share Index dropped by 0.05 per cent, or 49.26 points, to close at 105,426.12, against 105,475.38 posted the previous day.

The negative performance was attributed to reactionary behaviour exhibited by some investors.

The market breadth closed negative, with 29 losers and 23 gainers.

On the losers’ chart, John Holt declined by 10 per cent to close at N7.74, while Chams Holding dropped by 8.52 per cent to close at N2.04 per share.

Secure Electronic Technology fell by 8.42 per cent to close at 54 kobo, and May & Baker Nigeria lost 7.95 per cent to close at N8.10 per share.

Similarly, UPDC Real Estate Investment Trust declined by 6.90 per cent to close at N2.70 per share.

On the gainers’ chart, FG202031S1 rose by 12.09 percent to close at N97.52, while The Initiates Plc soared by 9.85 per cent to close at N4.46 per share.

Universal Insurance increased by 9.09 per cent to close at 60k, and Mutual Benefits rose by 9.09 per cent to close at 96 kobo per share.

Also, Royal Exchange gained 8.99 percent to close at 97k per share.

A total of 423.62 million shares, worth N9.181 billion, were exchanged across 11,393 transactions.

This is compared to 5.760 billion shares, worth N342.605 billion, exchanged across 10,908 transactions recorded earlier.

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Transactions in Access Corporation shares topped the activity chart, with 64.962 million shares worth N1.430 billion.

Zenith Bank followed with 41.504 million shares valued at N1.972 billion, while Fidelity Bank transacted 40.703 million shares worth N773.215 million.

Secure Electronic Technology sold 38.419 million shares valued at N20.832 million, and Tantalizers traded 31.503 million shares worth N89.914 million.

Meanwhile, Tajudeen Olayinka, Chief Executive Officer, Wyoming Capital and Partners, said that considering the recent impressive financial results released by United Bank for Africa and Zenith Bank, the stock market should have followed a positive trend.

Olayinka attributed the negative performance to reactionary behaviour from some investors who were not pleased with Zenith Bank’s dividend and reduced share price.

He further described this as mispricing and misjudgment by some investors. (NAN)

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Senate Moves To Slash Data Prices, Calls For FG’s Intervention

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The senate has called on the federal government to take urgent action to address the rising cost of data services in the country.

During Wednesday’s plenary, lawmakers debated a motion sponsored by Asuquo Ekpeyong, senator representing Cross River south, highlighting the financial strain caused by recent hike in data tariffs.

Ekpeyong warned that the surge in data costs was a major setback for young Nigerians who depend on the internet for their livelihoods.

He argued that many young people use digital platforms for freelancing, e-commerce, content creation, and software development, making affordable internet access crucial to their economic survival.

“Telecommunication providers in Nigeria have recently increased the cost of data services by as much as 200%. A move that has placed significant financial strain on millions of Nigerians, especially young people who rely on the internet for their livelihood,” he said.

“Young Nigerians have embraced the digital economy, leveraging the internet for various income-generating activities including freelancing and remote work, direct marketing and social media management, e-commerce, content creation on various platforms, online training, software development, web design, mobile app creation, content creation of various platforms, online education, etc.

“The senate notes that young Nigerians have embraced the digital economy, leveraging the internet for their livelihood, leaving them heavily dependent on mobile telecommunications companies for internet access, and that the sudden and substantial increase in data cost threatens their economic survival and limits access to critical digital services.

“The senate is further concerned that the reasons provided by telecom providers for the data price hike, including high operational costs of favourable exchanges, are untenable, and appears that instead of addressing the root causes of the high cost of doing business in Nigeria, the burden is being unfairly transferred to end-users.

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“Senate is aware that the high cost of doing business in Nigeria is driven by multiple challenges, such as increased operational risk and insurance costs.

“The senate believes that urgent government intervention is required to ensure that affordable internet access remains available to all Nigerians, particularly to the young Nigerians who are at the backbone of Nigeria’s digital economy.

“The senate accordingly resolves to urge the federal government to engage with telecommunication providers to review the recent increase in data costs and ensure the pricing remains fair and affordable for all Nigerians.”

The motion was seconded by Titus Zam, senator representing Benue north-west, and received the support of other lawmakers.

Victor Umeh, senator representing Anambra central, criticised not just the rising cost of data but also increases in telecom charges and Pay TV tariffs, accusing regulatory bodies of failing to protect Nigerians.

“If you buy airtime or data, within minutes, you are out of it. Nigerians are suffering so much, and we cannot turn a blind eye,” he said.

Sadiq Umar, senator representing Kwara North, warned that the price hike disproportionately affects young people, who form a significant part of Nigeria’s workforce.

“These service providers must make life easier for young Nigerians, not harder. The government needs to step in before this situation worsens,” he said.

Lawmakers urged the federal government to engage telecom providers to review and reduce the recent increase in data costs.

They also called on the ministry of communications, innovation, and digital economy to develop a policy framework for affordable internet access.

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Lawmakers further recommended the creation of tech hubs across the country to provide free or subsidised internet for entrepreneurs, students, and innovators.

They also directed the senate committee on communications to investigate the factors driving high data costs and propose solutions to make the telecom sector more business-friendly.

Following the debate, Senate President Godswill Akpabio put the motion to a vote, and it was unanimously adopted.

Akpabio praised Ekpeyong for raising the issue, saying the intervention would support young entrepreneurs and ensure fair pricing in the digital economy.

“This motion, when implemented, will assist our young entrepreneurs, not only to remain in business but also to ensure that they have affordable pricing that allows them to generate profits,” he said.

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