By Elisha Bala-Gbogbo
Nigeria’s inflation rose to 32.70% in September, up from 32.15% in August, marking the first increase in three months, according to the statistics agency.
Analysts warned that the inflation slowdown seen in July and August might not last, following three increases in petrol prices since early September, which have affected citizens facing a serious cost-of-living crisis.
This increase in inflation suggests the Central Bank might continue raising rates after five hikes this year, with the next decision expected on November 26.
The rise in petrol prices is part of President Bola Tinubu’s strategy to end a costly fuel subsidy that has burdened Nigeria’s finances. Other measures include devaluing the naira and addressing crop damage from floods, both contributing to inflation.
Food inflation increased to 37.77% year on year in September, up from 37.52% in August. Economists predict that inflation may decrease again in the coming months, possibly allowing for rate cuts early next year.
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