On Monday, citizens of Minna, the capital of Niger State, and Kano city staged protests in the streets, calling for an end to the nation’s skyrocketing cost of living.
Given that inflation was skyrocketing, their actions made sense. In response, the Federal Government called an emergency conference to discuss the rising cost of food and ordered key dealers and millers to release their reserves, among other actions.
The National Bureau of Statistics, or NBS, reported in January of this year that consumer inflation increased for the 12th consecutive month in December 2023, reaching its highest level in over 27 years at 28.92% year over year from November’s 28.20%, with food prices rising. This indicates that the situation is dire.
The majority of Nigeria’s inflation is attributed to the food inflation rate, which increased to 33.93% in December from 32.84% in the previous month.
A wide range of food items, including bread and cereals, oil, fish, meat, fruit, and eggs, saw price increases, according to the NBS.
Economic analysts predicted that “inflationary pressures are only likely to build from here,” citing the Naira’s depreciation and the second-round effects of last year’s removal of the fuel subsidy.
At that point, the NBC forecast that by the end of 2024’s first quarter, inflation would surpass 30%.
In an attempt to spur economic growth, President Bola Tinubu of Nigeria launched the country’s most radical reforms in decades last May when he devalued the currency and eliminated an expensive but well-liked fuel subsidy.
But inflation has gotten worse and growth hasn’t started to recover yet.
