In the wake of Nigeria’s alarming inflation rate, the Central Bank of Nigeria (CBN) has adamantly maintained that its recent monetary policy reforms have indeed mitigated the surge in prices across the nation.
A recent report by Media Talk Africa revealed that Nigeria’s inflation rate reached 27.33 per cent in October, marking the highest level in 18 years.
Remarkably, the Director of Corporate Communications at the apex bank, Isa AbdulMunin, responded to the October inflation figures released by the National Bureau of Statistics, asserting that the current rate signifies a positive impact of the ongoing money market reforms on the economy.
AbdulMunin further explained that the marginal increase in the average price level in October is a clear indication that the CBN’s resolute monetary policy stance and the ongoing money market reforms are beginning to yield the intended results.
He specifically credited the moderation in the month-on-month changes in food prices and core consumer basket components to the effective implementation of the money market reforms by the banks, as well as the relative stability in the foreign exchange market.
“The additional reforms implemented in the money market from October onwards have significantly contributed to the reduction in price escalation, as evidenced by the significant decline in month-on-month changes recorded in October,” AbdulMunin stated.
He emphasised, “The moderation in the month-on-month changes in prices observed in the headline, food, and core components of the consumer basket is a direct result of the reforms in the money market and the relative stability in the FX market.”
Despite the optimism expressed by the CBN, the Nigerian populace continues to grapple with the relentless surge in prices of commodities and services.
According to a report by the National Bureau of Statistics, Nigeria’s food inflation rate surged to 31.52 per cent in October from 30.64 per cent in September 2023.
Likewise, the Bureau reported that the cost of transportation has skyrocketed by nearly 100 per cent since the implementation of the fuel subsidy removal in June.
