The most expensive states to live in Nigeria based on October 2023 all items inflation rate

Food inflation, food price, cooking gas, rice

Sami Tunji

Nigeria’s economic climate is ever-evolving, with inflation rates playing a critical role in determining the cost of living across the country.

Inflation is currently at an 18-year high at about 27.33%; however, the burden of this rising inflation is felt differently across the country.

Year-on-Year Inflation Across States

Based on the latest data for October 2023 from the National Bureau of Statistics, here’s a listicle ranking the states from the least to the most expensive in terms of all items inflation rate, with a comparative look at the previous month’s figures and the food inflation stats:

Kwara State – Starting the list is Kwara State, with the lowest inflation rate among the ten listed states at 28.2%. While this rate reflects the lowest on the list, it’s still a noteworthy increase from September’s 24.4%. The food inflation in Kwara is quite high at 31.7%, indicating that food prices are a significant part of the inflation dynamics in the state.

Bayelsa State – Bayelsa follows with an all-items inflation rate of 29.0%, a notable jump from the 21.0% recorded in September. Despite this increase, Bayelsa recorded the lowest food inflation rate at 24.4%, suggesting a relatively lesser impact on the food sector.

Ebonyi State – With an all-items inflation rate of 29.3%, Ebonyi State is next. It has seen a substantial rise from September’s 23.2%, with food inflation also high at 31.5%. This suggests a significant month-on-month escalation in the cost of living.

Abia State – Abia’s inflation rate stands at 29.3%, mirroring that of Ebonyi. However, it’s worth noting the significant food inflation rate of 33.2%, which is higher than the overall inflation, emphasizing the hefty cost of food in the state.

Ondo State – Ondo presents a slightly better scenario with an all-items inflation rate of 29.4%. This rate has held steady from September’s figures. The food inflation rate also remains constant at 27.7%, indicating a stable but high cost for food items.

Akwa Ibom State – Midway on the list is Akwa Ibom, with a 30.7% inflation rate. Food inflation is particularly high at 31.3%, showing that the general increase in prices is heavily influenced by food costs.

Oyo State – Oyo State ranks higher with an all-items inflation rate of 31.2%. However, the food inflation rate stands out at a staggering 37.0%, the highest among the states listed, signifying a significant surge in food prices compared to September’s 34.3%.

Lagos State – Lagos, the commercial heartbeat of Nigeria, also has an all-items inflation rate of 31.2%. The food inflation here is 27.0%, which, while high, is not as steep as Oyo’s. The slight increase from September’s all-items rate of 26.1% indicates a steady climb in living costs.

Rivers State – Rivers State is the second most expensive state with an all-items inflation rate of 31.4%. Food inflation is a bit lower at 29.3%, but the jump from September’s 27.0% all items inflation rate points to a growing trend of increased living expenses.

Kogi State – Topping the list as the most expensive state to live in Nigeria is Kogi State, with an all-items inflation rate of 34.2%. This represents a significant rise from the 28.5% reported in September. The food inflation rate, also at 34.2%, suggests that the spike in food prices is a major driver of the overall inflation in Kogi.

More Insight

During the launch of the June 2023 edition of the Nigeria Development Update, the World Bank stated that Nigeria has one of the highest inflation rates, which pushed an estimated four million people into poverty between January and May 2023.

The global lender also said about 7.1 million poor Nigerians would become poor if the Federal Government failed to compensate or provide palliatives for them, following the removal of fuel subsidy, which has contributed significantly to inflationary pressures.

This ranking reveals that while some states experience a more pronounced increase in the cost of living, the trend of rising prices is a nationwide concern.

Also, the escalation in food prices remains a common thread, pointing to the need for interventions that can cushion the impact of inflation on the average Nigerian.

With such insights, stakeholders and policymakers can better strategize to tackle inflation and ease the financial burden on citizens across the country.

Nairametrics