Government

Oyo’s inflation figures lowest in February-NBS

…why Oyo recorded best inflation rates- Makinde’s Economic Adviser

Statistics released by the National Bureau of Statistics (NBS) for February 2021 have shown that Oyo State’s month-on-month as well as year-on-year inflation figures were the slowest in the country within the time under review.

Data made available by the NBS in February indicated that the inflation rate rose to 17.33 per cent (year-on-year); 1.54 percent rise month-on-month above the January 2021, while urban rate increased by 17.92 percent (year-on-year) in February 2021 from 17.03 percent recorded in January.

However, the NBS report indicated that price increase remained the slowest in Oyo at all levels, with the Economic Adviser to Governor ‘Seyi Makinde, Professor Musbau ‘Tunji Babatunde, stating that the effective management of the state’s economy by the governor were responsible for the development.

A statement by the Chief Press Secretary to the governor, Mr. Taiwo Adisa, quoted Prof. Babatunde as saying that Oyo State was able to record the slowest growth in headline inflation and food inflation month-on-month and year-on-year because of the sound economic policies of the Governor Makinde administration.

He pointed out that the regular payment of salaries, which according to him, increased effective demand in the food system, support to farmers with inputs at the height of the pandemic and the expansionary fiscal policy from the various capital projects embarked on by the state were among factors responsible for the slow inflation increase.

According to Babatunde, a professor of Economics at the University of Ibadan, the NBS Data had indicated that “the consumer price index, at the national level, (CPI) which measures inflation, increased by 17.33% (year-on-year) in February 2021. This is 0.86% higher than the rate recorded in January 2021 (16.47) %.

“On a month-on-month basis, the Headline index increased by 1.54% in February 2021, this is 0.05% rate higher than the rate recorded in January 2021 (1.49%).

“The urban inflation rate increased by 17.92% (year-on-year) in February 2021 from 17.03 % recorded in January 2021, while the rural inflation rate increased by 16.77 % in February 2021 from 15.92% in January 2021.

“The upward increase in inflation can be attributed to the lingering effect of the COVID-19 pandemic, fluctuations in the price of crude oil, weakened Naira that has increased the price of imported input, insecurity in the food producing parts of Northern Nigeria, the food blockade during the Shasa riot, among others.

He added:

“The components of inflation that witnessed surges in the review period are food, health care, imported food and transportation.

“However, food price is the main component of the inflation basket. It rose to 21.79% in February, a jump of 1.22 % point from the January figure.

“This rise in the food index was caused by increases in prices of Bread and cereals, Potatoes, yam and other tubers, Meat, Food products, Fruits, Vegetable, Fish and Oils and fats.”

Further analysis of the performances of the state had shown that on month on month basis in February 2021 all items inflation was highest in Kogi (3.25%), Ondo (2.46%) and Kebbi (2.43%), while Kwara (0.84%), Kano (0.70%), while that of Oyo stood at (0.38%), the slowest rise in headline month on month.

On month on month basis, however, February 2021 food inflation was highest in Kogi (3.34%), Ondo (3.33%) and Ebonyi (3.26%), while Benue and Niger (0.90%), Kano (0.70%), oyo again recorded (0.09%), the slowest rise in month on month food inflation.

Babatunde, who explained that the implication of the slowest rise in headline and food inflation in Oyo State meant that the state has the lowest cost of living in Nigeria, said that the cost of health care services in Oyo State has not risen due to the strategic investment that the state has made in the management of COVID-19 pandemic.

He said: “The conversion of isolation centres to Level 3 primary health care centres has improved access to health care services. “The effects of the strategic investment in the health sector by the State has manifested in the stable service cost.

“Transportation cost has also been stable in the State despite the fluctuation in domestic price of petroleum products. The positive effect of the Park Manager System with respect to managing the commercial transport sector is showing positive with respect to the regulation of transportation costs across the routes.

“So, one can say that there is good value for money can be obtained in Oyo State.”

He further said that the positive inflation figures recorded in Oyo State in headline and food inflation month on month across the 36 States can be attributed to the regular payment of salary, which has increased effective demand in the state.

He said that the regular payment of salary in the State has improved demand.

“Similarly, the effective support to farmers with inputs at the height of the COVID-19 pandemic has paid off. The strategy of supporting farmers with inputs impacted positively on their output level which has been translated to the moderation in price increase of agric. output.

“Also, the effective distribution of the COVID-19 palliatives to different categories of people in the state moderated the demand for those goods that were distributed in December 2020.

“More so, the expansionary fiscal policy from the various capital projects embarked on by the State also had impacts. The contractors have employed a sizable number of artisans across the geopolitical zones in the State. This has created both direct and indirect jobs.”

Babatunde added that the effective management of the government deficit structure and the use of alternative infrastructural financing framework have also allowed the government to simultaneously embark on welfare enhancing projects, a factor which, according to him, also contributed to the slow inflation growth.

He further stated that the ongoing construction of the Moniya-Iseyin road has also enhanced the movement of agricultural goods to the main city and has reduced farm-gate losses, which he said, has also improved the supply of agricultural goods.

“The merit driven staff recruitment across the educational, health and environmental sectors of the State have boosted household confidence about the activities of Government given the economic opportunities available to the newly employed candidates.

“Low interest fund support to SMEs to cushion the impact of COVID-19 pandemic that is being coordinated by OYSIPA has enhanced the business framework in the State. It has enhanced the business performance of the beneficiaries with feedback to the Oyo State economy.

“In conclusion, effective economic management has been very supportive of the low headline and food inflation being witnessed in the state,” the Prof. added.

Signed

Taiwo Adisa

Chief Press Secretary to Governor Seyi Makinde

March

Leave a Comment

Your email address will not be published.

You may also like

Agriculture Business Culture Economy

Yam Farming Trends in Nigeria: Regional Insights and Cultural Significance

post-image

 

Yam, one of Africa’s most revered staple crops, continues to hold a central role in the agricultural and cultural fabric of Nigeria. The recently released General Household Survey (GHS) report from the National Bureau of Statistics (NBS) highlights the distribution of farming households engaged in yam cultivation across the country, revealing significant regional disparities in its production for the 2023/24 farming season.

Regional Analysis of Yam Farming

The report shows that the South East dominates yam farming activities in Nigeria, with 41.9% of households engaged in cultivation. This high percentage underscores the region’s historical and cultural ties to yam farming, particularly in Igbo land, where yam holds immense socio-cultural and economic significance.

The South West follows with 28.9%, reflecting its robust agricultural base and a growing interest in diversifying staple crop production. The South South region also records a strong showing, with 27% of households involved in yam farming, emphasizing its adaptability…

Read More
Announcements Business Culture Economy Technology Technology Trends Telecoms Travels Trends

Airtel Nigeria Spreads Festive Cheer with 10th Edition of “5 Days of Love”

post-image

Airtel Nigeria has brought love and joy to communities nationwide with the successful conclusion of the 10th edition of its annual “5 Days of Love” initiative. The event, which spanned six states, reinforced Airtel’s commitment to giving back and spreading goodwill during the festive season.

This year, over 6,000 people across Lagos, Abuja, Borno, Enugu, Rivers, and Osun experienced the generosity of Airtel’s “Love train,” which made celebratory stops in each state. The initiative featured the distribution of hot meals and refreshing drinks to individuals and families, emphasizing the spirit of togetherness and care that defines the festive season.No alt text provided for this image

A Decade of Giving

Since its…

Read More
Business Culture Economy Investments

Nigeria Needs Industrialists, Not Traders: Efe Obiomah Champions Economic Change

post-image

“Nigeria doesn’t need more traders; it needs more industrialists,” says Efe Obiomah, a Marketing & PR Consultant and Trainer, as she reflects on the country’s economic challenges. Her call to action is not just a critique but a rallying cry for a shift in mindset and priorities.

Efe recalls a defining moment when she decided to leave an alumni WhatsApp group. The group was abuzz with conversations about a celebrity’s extravagant display of wealth at his mother’s funeral. While many applauded his success in supporting importers and traders, Efe took a different stance.

“I argued that Nigeria didn’t need more traders. We needed more Dangotes—people willing to build industries that could transform the economy. But my perspective wasn’t well received,”…

Read More
Business Gadgets Government Investments Opinion

Opinion: Why the NCC’s Telecom Tariff Hike is the Right Call

post-image

By Anthony Emeka Nwosu

When the Nigerian Communications Commission (NCC) announced the upcoming telecom tariff hike, many Nigerians understandably expressed concern. Starting January 2025, call charges will rise from ₦11 to ₦15.40 per minute, SMS from ₦4 to ₦5.60, and a 1GB data bundle will increase from ₦1,000 to at least ₦1,400. Change often comes with resistance, especially when it hits our pockets. But looking closer, this isn’t just about higher prices—it’s about ensuring the survival and growth of an industry that keeps Nigeria connected and moving forward.

For years, telecom operators have been struggling under immense financial pressure. Think about it: MTN Nigeria recorded a jaw-dropping ₦514.9 billion loss in just nine months of 2024. Airtel Africa, another major…

Read More
Business Economy Energy

NNPC Limited Joins OGMP 2.0, Strengthens Global Efforts on Methane Transparency and Net Zero Goals

post-image

 

In a landmark move that underscores its commitment to environmental sustainability and global climate action, NNPC Limited, Nigeria’s national energy company, has officially joined the Oil and Gas Methane Partnership (OGMP) 2.0. This decision is a significant milestone in the company’s strategy to address methane emissions as part of its decarbonisation agenda and achieve net zero methane intensity by 2030.

As a key player in Africa’s energy sector, NNPC Limited recognises the critical importance of methane mitigation in addressing climate change. Methane, a potent greenhouse gas, has a global warming potential over 80 times that of carbon dioxide over a 20-year period. Its reduction is pivotal to slowing the pace of global warming. NNPC’s decision to join OGMP 2.0 demonstrates its proactive approach to tackling methane emissions at the source while setting a standard for accountability and environmental stewardship in the oil and gas industry.

Global Framework for Local Impact
The OGMP…

Read More
Art Business Culture Entertainment

The Perilous Contracts Nigerian Artists Must Navigate By Onyedika Anambra

post-image

The Nigerian music industry is undoubtedly one of the fastest-growing in the world, producing global superstars and chart-topping hits that resonate far beyond the continent. Yet, behind the glitz and glamour lies a dark reality that continues to plague many artists—a cycle of exploitative contracts that rob them of their creativity, autonomy, and, in many cases, financial stability.

The recent ordeals of Seyi Vibez and Shallipopi serve as stark reminders of this grim reality. Seyi Vibez, one of the country’s rising stars, is embroiled in a bitter contractual dispute with Dapper Entertainment. His desire to break free from the label has led to a proposed out-of-court settlement that is nothing short of career-threatening. According to reports, Seyi Vibez would be required to stop releasing music for 13 months—a virtual death sentence in an industry that thrives on consistency and visibility. To compound…

Read More
Business Economy Education

Deborah Paul Enenche: A Bold Inspiration and a Celebration of Motherhood

post-image

 

The arrival of a new life is always a reason for joy, and I extend my heartfelt congratulations to Deborah Paul Enenche on the birth of her baby boy! This milestone is as unique as the woman herself, and it’s inspiring to witness how gracefully she navigated this chapter of her life.

One of the things I deeply respect about Deborah is how she chose to keep her pregnancy private, resisting the common temptation to share every moment on social media. Instead, she revealed those precious moments only after safely delivering her baby—a thoughtful decision that speaks to her wisdom and sense of priority. In today’s oversharing culture, it’s refreshing to see someone protect their journey with such intentionality.

If I’m being honest, Deborah, you looked absolutely radiant while pregnant. That special glow made your beauty shine even brighter. And, of course, your…

Read More
Business Economy Technology Trends Telecoms

NCC: Driving Transformation in Nigeria’s Telecommunications Sector Through Transparency and Innovation

post-image

 

The Nigerian Communications Commission (NCC) has solidified its position as a key pillar of growth, innovation, and stability in Nigeria’s telecommunications industry. Through consistent publication of factual reports and detailed statistics, the NCC has fostered trust, enabled informed decision-making, and empowered stakeholders, including Nigerians, investors, and operators. Its role as an exceptional regulator continues to serve as a benchmark for transparency and efficiency, driving the telecom industry to unparalleled heights.

Empowering Nigerians with Accurate and Actionable Data

The NCC has consistently delivered on its mandate to provide Nigerians with critical insights into the telecommunications sector. Through its quarterly and annual reports, the Commission ensures that Nigerians, whether consumers or businesses, are equipped with reliable data to understand the state of…

Read More