The Nigerian Bureau of Statistics, NBS, said inflation in the country increased by 19.64 percent in July 2022.
This is the highest rate of inflation in the country since 2005 – 17 years ago.
The number is higher than the one that the country got in June of 18.6 percent.
The latest inflation data was obtained by considering the consumer price index released by the NBS.
But an expert on economics said that this new NBS report shows that the country is in trouble.
‘The situation is bad’
Dr. Muda Yusuf, the head of the Business Development Center in Nigeria said what this report shows is that life is getting more expensive.
He said the poor will become poorer “because of the high cost of goods and inflation.”
The expert said the report shows that people should be alarmed and realize the situation in Nigeria is beyond reason.
“The price of goods has collapsed in Nigeria in the last one year.
“You have shown the hardships people are going through in the struggle for food.
“This percentage of 19.64 percent shows that things have really deteriorated,” he said.
Yusuf added that “The situation is bad. Many people find it difficult to get food because of the high prices.”
What caused the price increase?
An expert on the economy said that this increase in price will have a negative impact on people.
The head of the business development center listed some of the reasons he said caused the economic crisis.
“You know what it means when it is said that people barely have enough to eat.”
- The problem of insecurity has contributed to the rise in prices
- The cost of electricity and fuel used to process food and other products
- Foreign currency costs
- The Central Bank of Nigeria has failed to provide funds to fill some of the economic gaps.
He explained that “the security problem has made people unable to go to the farm. The people who provide us with what to eat are there in refugee camps because of the attacks on them.
“As for the cost of electricity and fuel that are used to process food and other products, people spend more than they earn.
Then there is the cost of petrol, diesel and jet fuel.
“The high cost of foreign currencies in the exchange is a major problem that lowers the value of the naira,” he said.
What should the government do?
Dr. Muda Yusuf said that the government should keep an eye on the economy.
“There is nothing the government is doing, and the leader of the country’s economic monitoring is the vice president himself.
“He is also the head of Doyin Salami’s economic reform team as if he is not here.”
He said that the government should listen to what the experts say and the advice they give.
“The government has gathered people who understand this issue. Maybe even the president doesn’t know the situation,” he said.
There are those who are experts in the field of economics in Nigeria who can find a solution to the problem.
But the expert said that the first step to solving the problem is to first solve the problem of insecurity.
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