Nigeria Declares Food Emergency After Sixth Consecutive Increase in Inflation Rate

The Nigerian authorities declared a nutrient terms exigency aft the latest information from the National Bureau of Statistics (NBS) showed that the country’s ostentation complaint had gone up by 0.38% to 22.79%. The NBS said the June ostentation fig does not “fully seizure the interaction of the substance subsidy removal and the unification of the speech rate.”

Naira Depreciation

According to information from the Nigerian National Bureau of Statistics, the country’s June ostentation complaint roseate to 22.79%. The astir 0.4% summation from the May fig of 22.41% is the sixth consecutive clip the complaint has gone up prompting the Nigerian authorities to declare a nutrient terms emergency.

In its latest report, the NBS besides said the West African nation’s “headline ostentation complaint was 4.19% points higher compared to the complaint recorded successful June 2022, which was 18.60%.” The information from NBS besides showed that successful the past 12 months, Dec. 2022 is the lone period erstwhile the ostentation complaint dropped.

The June Consumer Price Index (CPI) numbers whitethorn not afloat seizure the interaction of the substance subsidy removal and the unification of the speech rate.

— NBS Nigeria (@NBS_Nigeria) July 17, 2023

In the past, Nigerian authorities person attributed the surge successful the ostentation complaint to the depreciation of the naira. However, aft Bola Ahmed Tinubu was inaugurated arsenic Nigeria’s president successful precocious May, his authorities honored its pledge to region the decades-old subsidy connected fuel. Removal of the subsidy saw the terms of petrol reportedly emergence by much than 100%.

Impact of Subsidy Removal

Commenting connected the apt interaction of the subsidy removal, the NBS suggested successful a tweet that the information captured does not afloat relationship for what has happened since the terms of petrol went up. The statistical assemblage added:

This is due to the fact that the information postulation for computing the complaint for the notation period typically stops astir the mediate of the month, meaning that the June numbers lone bespeak astir 2 weeks of the argumentation interaction connected user prices.

According to NBS, the afloat effect of the argumentation alteration volition lone beryllium seen “in consequent months.”

In summation to the subsidy removal, the devaluation of the naira successful aboriginal June from conscionable nether NGN470 per dollar to much than NGN700 per dollar is besides believed to person contributed to the marginal summation successful the ostentation rate.

Register your email present to get a play update connected African quality sent to your inbox:

What are your thoughts connected this story? Let america cognize what you deliberation successful the comments conception below.