Index to Nigerian Newspapers

Food inflation is expected to cross 40 percent as consumer prices continued to rise, according to the official Consumer Price Index report from the National Bureau of Statistics, which also noted that overall national money supply has grown. The general inflation rate climbed to 34.6 percent in November 2024, driven primarily by higher prices for essential food items such as rice, corn, yams, and cooking oils. Economic experts and financial analysts attribute this continuous price increase to ongoing security problems affecting agriculture in northern states, high energy expenses, and increased transport and holiday shopping activities during the festive season.

Global economic uncertainty and an escalating trade tariff war between the United States and other major economies have triggered a surge in foreign exchange outflows from Nigeria, as foreign portfolio investors pull their assets out of the country. This capital flight, combined with panic buying and weak foreign exchange supply, caused the naira to depreciate significantly over a two-week period in both the official and parallel markets, despite an intervention by the Central Bank of Nigeria of up to five hundred million dollars. Currency dealers and financial experts have reported that severe dollar scarcity and reduced commercial bank allocations to bureau de change operators have intensified demand pressures, prompting industry stakeholders to urge the apex bank to maintain consistent market supply and strengthen policy oversight to curb speculative activities and stabilize the national currency.