Afrigather In December 2023, the buying energy of Nigerian households was squeezed much more as shopper costs rose all through 2023, rising the chance that the nation’s central financial institution would elevate rates of interest. Official information from the Nationwide Bureau of Statistics (NBS) confirmed that headline inflation, which tracks the costs of meals, power and different commodities, rose to twenty-eight.92%. December’s inflation determine is decrease than KPMG’s prediction of 30%.
The key driver of Nigeria’s inflation is meals, and costs of staples like bread and yam rose as many consumers within the nation struggled to afford their proteins through the festive interval. December’s meals inflation determine was 33.93%.
“The federal government has to start out doing one thing with respect to the value of gasoline and power, together with electrical energy, and enhancing the change price depreciation state of affairs,” mentioned Sheriffdeen Tella, a professor of Economics at Olabisi Onabanjo College. “As soon as these issues are executed, we are going to begin getting diminished inflation.”
Final week, the World Financial institution projected Nigeria’s inflation to ease in 2024, hinged on last year’s reforms and the expectation of the easing of the consequences of petroleum subsidy elimination. Nevertheless, different analysts aren’t optimistic that inflation will sluggish any time quickly.
The Central Financial institution Governor, Yemi Cardoso, dismissed the impact of price hike conferences on curbing inflation at his final public outing.
