Nigerians have been reassured by the Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, that the country’s inflation rate will decline despite the market’s growing costs for food and other necessities.
The National Bureau of Statistics (NBS) reports that Nigeria’s inflation increased for 11 straight months, peaking in December 2023.
In December, the annual inflation rate increased from 28.20 percent in November to 28.92 percent.
In comparison to the headline inflation rate for November 2023, there was a 0.72 percentage point increase in the headline inflation rate.
During the House of Representatives’ sectoral discussion on the economy, the governor of the CBN, however, told members that inflation will drop to 21%.
Providing an outlook for 2024, he said: “Inflationary pressures are expected to decline in 2024 due to the CBN’s inflationary targeting policy aiming to rein in inflation to 21.4 per cent, aided by improved agricultural productivity and easy global supply chain pressures.
“The Nigerian foreign exchange market is currently facing increased demand pressures causing a continuous decrease in the value of naira.”
He stated that the CBN intends to foster trust by maintaining stability in the foreign currency market and consumer pricing.
In his opinion, the CBN’s policy initiatives will have a positive effect on inflation.
Other key officials at the House of Representatives include; the Minister of Finance and Coordinating Minister of the Economy, Wale Edun; Miniser of Budget and National Planning, Abubakar Bagudu and the Executive Chairman of the Federal Inland Revenue Service (FIRS) Zacch Adedeji.