Nigeria Records Inflation Drop But Not Enough
Nigeria has recorded an Inflation drop from 11.40 percent to 11.22 percent with analysts saying it is not enough to make even the slightest dent on rising poverty.
Consumer Price Index (CPI), which measures inflation, declined to 11.22 percent year-on-year in June compared to 11.40 percent in May, according to the National Bureau of Statistics (NBS).
Food inflation also reduced to 13.56 percent in June compared to 13.79 percent in the preceding month.
According to the CPI figures for June, which was released this week by the NBS, core inflation, which excludes the prices of volatile agricultural produce dropped to 8.8 percent in June, down by 0.2 percent compared with 9.0 percent recorded in May.
A deceleration in the headline index could encourage the monetary authority to cut the monetary policy rate, thereby lowering the cost of borrowing in the economy.
Nigeria remains one of the countries with the highest inflation rate in West Africa which threatens its efforts to make it to the West Africa monetary criteria for joining the single currency, ECO.
Kelechi Deca
Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry.