Nigeria’s food inflation rate surged to 21.79% in February 2021, which is the highest rate recorded in Nigeria since October 2005—exactly 15 years and 4 months ago.

The February 2021 CPI and Inflation Report as released by the National Bureau of Statistics (NBS) revealed that the rise in the food index was caused by increases recorded in the prices of bread and cereals, potatoes, yams, and other tubers.

Also, the increase in the prices of meat, food products, fruits, oil, and fats, vegetables, and fish contributed to the recorded spike in the food inflation rate.

The persistent increase in inflationary pressure, especially food inflation, can be attributed to the closure of land borders in 2019 which was further affected by the outbreak of the covid-19 pandemic in 2020.

A cursory look at the historical data shows that Nigeria’s food inflation rate has witnessed persistent increase since September 2019, which was around the time President Muhammadu Buhari ordered the closure of land borders in the country. It is however, worth noting that the President ordered the reopening of the land borders in December 2020.

Source: NairaMetrics