The nationwide core consumer price index, or CPI - which includes oil costs but excludes volatile fresh food prices - fell 0.2% in April to 101.6, according to data released by the Ministry of Internal Affairs.
The National Bureau of Statistics (NBS) disclosed this yesterday in its Consumer Price Index (CPI) Report for April 2020.
The 12.34 per cent April 2020 inflation rate is the highest to be recorded by the economy in the last two years. It is the first time for the index to fall since December 2016.
Increases were recorded in all Classification of Individual Consumption by Purpose (COICOP) divisions that yielded the Headline index.
That was below the median market forecast of a 0.1 per cent decline, and followed a 0.4 per cent increase in March.
It noted that on month-on-month basis, the headline index increased by 1.02 per cent in April.
"Inflation rates in this fiscal year 2020 will be negative, but in fiscal 2021 and 22 inflation rates will be positive", he said at a Financial Times forum. This is 0.18 percent rate higher than the rate recorded in March 2020 (0.84 percent).
Analysts said the central bank was unlikely to be pressured into a rate cut by the declining trend of prices, even if modest falls would continue over the coming months.
The corresponding 12-month year-on-year average percentage change for the urban index was 12.26 per cent in April 2020.
The Central Bank of Nigeria Governor, Godwin Emefiele, had said the rise in inflation in the last six months was due to structural factors.
Attributing the rise in food prices to the continued border closure and increased demand for food, Professor Uche Uwaleke, stressed the need to enhance flow of stimulus packages to farmers in order to increase food production.
He said, "The lockdowns such as the global travels lockdown, interstate movement lockdown led to disruption in the commodity supply chain".
While the government kept its state of emergency for the metropolitan area of Tokyo in place on Thursday, it lifted it for three western prefectures in the country, taking a step toward a gradual economic recovery.