Nigeria’s inflation soars to 33.67%, piling pressure on consumers

Nigeria’s inflation rate continued its relentless climb in April 2024, reaching 33.69%, according to data released by the National Bureau of Statistics (NBS) today.

This marks a new high for the country in 28 years, highlighting the significant economic challenges Nigerians are facing.

The latest figure represents a further increase from March 2024, where the inflation rate stood at 33.20%. This upward trend signifies persistent price hikes across various goods and services.

The report further underscores the dire situation regarding food inflation, which hit a staggering 40.53% in April. This means that the cost of essential food items like bread, cereals, and vegetables has risen by over 40% compared to April 2023. This surge is particularly concerning as it directly impacts household budgets and threatens food security for many Nigerians.

On a month-on-month basis, the headline inflation rate in April was 2.29%, less than the rate of increase in the average price level in March. Core inflation, which excludes farm produce and energy costs, quickened to 26.8% from 25.9%.

The statistics bureau said the continued surge was caused by increases in prices of food.

Interest Rate to Stay Up

The acceleration, the 16th consecutive rise, raises the prospect of another hike of interest-rate when the central bank’s monetary policy committee meets next week. It’s already lifted borrowing costs to a record high to curb price growth and boost the naira.

Governor Olayemi Cardoso said earlier this week that interest rates will remain high for as long as necessary to tame inflation.