Tag:

Inflation

Business

With God’s help, we’ll reduce inflation from 34.6% to 15% in 2025 – FG

by Folarin Kehinde
written by Folarin Kehinde

President Bola Tinubu has again said that his administration is focused on reducing inflation from 34.6 percent to 15 per cent by 2025.

Addressing Nigerians in a New Year Day broadcast, the president said the high cost of food and essential drugs has remained a significant concern for several households across the country.

He said that in the new year, he is committed to intensifying all efforts to reduce the cost of living and through an improved food production.

Tinubu also said that his administration would promote local manufacturing of essential drugs and other medical supplies.

His words, “We are resolute in our ambition to reduce inflation from its current high of 34.6 per cent to 15 per cent. With diligent work and God’s help, we will achieve this goal and provide relief to all our people.”

0 comments
0 FacebookTwitterPinterestThreadsBlueskyEmail
Business

BREAKING: Nigeria’s inflation hits 24.08% as food prices rise

by Folarin Kehinde
written by Folarin Kehinde

Nigeria’s annual inflation rate rose to 24.08 per cent in July from 22.79 per cent in the previous month, the National Bureau of Statistics (NBS) said Tuesday.

The NBS said on a year-on-year basis, the headline inflation rate was 4.44 per cent points higher compared to the rate recorded in July 2022, which was 19.64 per cent.

“This shows that the headline inflation rate (year-on-year basis) increased in July 2023 when compared to the same month in the preceding year (i.e., July 2022),” it said.

According to the report, the food inflation rate increased to 26.98 per cent in July from 25.25 per cent in June.

Although the prices of food have been on the rise across Nigeria in recent years, the situation deteriorated due to the impact of government policies such as the removal of subsidy on petrol, among others.

On 29 May, during his inauguration, President Tinubu announced the removal of subsidy on petrol. This development has caused hardship for many Nigerians with its attendant increase in the prices of goods and services.

Apart from the removal of subsidy, the Central Bank of Nigeria (CBN) also announced the unification of all segments of the forex exchange (FX) market as part of efforts to engender transparency in the markets and boost investors’ confidence.

The policy has been widely applauded as well-intentioned and necessary but it has put additional pressure on the local currency and manufacturers, with ripple effects on prices.

Inflation has remained high in Africa’s largest economy, prompting the apex bank to hike interest rates to their highest levels in nearly two decades.

In July, the Central Bank of Nigeria (CBN), raised its benchmark lending rate to 18.75 per cent.

The bank said, “hiking the interest rate has made a lot of difference in moderating the rate of inflation”.

It noted that the option to continue the hike in the policy rate, albeit moderately, also presented a strong alternative premised on the expected liquidity injections into the economy from the recent efforts to unify the nation’s foreign exchange markets.

0 comments
0 FacebookTwitterPinterestThreadsBlueskyEmail
HeadlinesBusiness

JUST IN: Central Bank Raises Interest Rate To Fight Inflation

by Folarin Kehinde
written by Folarin Kehinde

The Central Bank of Nigeria has raised the monetary policy rate which measures interest rate to 14%.

This was disclosed by the central Bank Governor, Godwin Emefiele after the monetary policy committee meeting at CBN headquarters in Abuja.

The Governor disclosed to reporters that the increased interest rate would help curtail rising inflation in the country.

The new interest rate comes barely two months after the apex bank raised the interest rate to 13 per cent. At its last meeting in May, the committee also raised MPR from 11.5 percent to 13 per cent over the surge in fuel and food costs.

Emefiele said the committee members voted to hike the rate by 100 basis points and retained the asymmetric corridor at +100 and -700 basis points around the MPR and liquidity ratio at 30 percent.

Details later….

0 comments
0 FacebookTwitterPinterestThreadsBlueskyEmail