JUST IN: Nigeria’s inflation hits 4-year record high of 15.75%,
The inflation rate in Nigeria jumped in December to its highest level in more than three years, data released on Friday by the National Bureau of Statistics showed.
Inflation stood at 15.75 per cent in January, compared with 14.89 per cent in December, marking the 16th straight month of increases.
The consumer inflation rate in December was the highest since November 2017, when it stood at 15.90 per cent.
The NBS said the composite food index rose by 19.56 per cent in December from 18.30 percent in November.
“This rise in the food index was caused by increases in prices of bread and cereals, potatoes, yam, and other tubers, meat, fruits, vegetable, fish and oils, and fats,” it added.
Analysts at the Financial Derivatives Company Limited, led by foremost economist Bismarck Rewane, had said last week predicted that headline inflation would increase by 0.51 per cent to 15.4 per cent in December, describing it as “a hydra-headed monster that has eroded the disposable and discretionary income of consumers”.
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I think those doing this analysis are not using the right index.
It is not rise in price of commodities but depreciation and devaluation of the naira that is causing the high increase in price and index.
Something need be done to stop further erosion of the naira value otherwise the index will soon hit 20%.
My thinking and suggestions.
Recall I told you it was going to be on the upwards side and that the figure the government is declaring is fake? I’ll be looking at a realistic figure of nothing less than 25-30%at this time.