Nigeria’s inflation rate has recorded a second consecutive decline, dropping to 32.15 percent in August 2024, down from 33.40 percent in July, according to the National Bureau of Statistics (NBS).
The NBS’s latest Consumer Price Index and Inflation Data, released on Monday, shows a 1.25 percent decrease in headline inflation. Food inflation also decreased to 37.52 percent in August, from 39.53 percent in July.
Despite this decline, economic experts warn that the recent fuel pump price hike will have a delayed impact on inflation. Johnson Chukwu, Managing Director of Cowry Asset Management, noted, “The effect of the recent petrol price adjustments would be felt in the coming months.”
The Central Bank of Nigeria’s Monetary Policy Committee has consistently raised interest rates, with the latest increase to 26.75 percent in July. However, Nigerians continue to feel the pinch of rising prices, with many lamenting the increasing cost of goods and services.
The inflation decline offers a glimmer of hope for the economy, but experts caution that sustained efforts are needed to address underlying structural issues driving inflation. As the country navigates its economic challenges, the NBS data provides a snapshot of the current state of the economy.
Key Highlights:
– Headline inflation drops to 32.15% in August 2024– Food inflation decreases to 37.52% in August
– Second consecutive decline in inflation rate
– Experts warn of delayed impact from fuel price hike
– Central Bank of Nigeria’s interest rate stands at 26.75%
