AP

Concerns grow as Nigeria’s inflation surges to 17-year high

Sep 15, 2022, 7:18 AM | Updated: 9:58 am

FILE - People buy tomatoes from a vegetable market in the commercial capital Lagos, Nigeria, on Apr...

FILE - People buy tomatoes from a vegetable market in the commercial capital Lagos, Nigeria, on April. 17, 2020. Nigeria's consumer inflation surged to a 17-year high in August 2022, its statistics agency said on Thursday, Sept. 15, 2022, signalling more hardship for citizens and businesses in Africa's largest economy. (AP Photo/Sunday Alamba, File)

(AP Photo/Sunday Alamba, File)

ABUJA, Nigeria (AP) — Nigeria’s consumer inflation surged to a 17-year high in August 2022, its statistics agency said Thursday, signalling more hardship for citizens and businesses in Africa’s largest economy.

The Nigerian National Bureau of Statistics (NBS) reported in its latest consumer price index that inflation rose to 20.5% in August, up from 19.6% in July this year and 17% in August last year.

It is the seventh consecutive monthly increase in Nigeria’s inflation this year and the highest since 2005.

The rise in inflation was driven by “a disruption in the supply of food products, an increase in import cost due to the persistent currency depreciation and a general increase in the cost of production,” the statistics agency said.

The food inflation rate in August 2022 was 23.1%, the statistics agency said, blaming increases in prices of some of the most common food items in Nigeria including bread, cereals and tubers.

The 17-year high consumer inflation — more than double the Central Bank of Nigeria’s 9% target — draws more concerns of hardship from citizens and businesses in Nigeria, a country of more than 200 million people.

Despite being Africa’s largest economy and one of the continent’s top oil producers, corruption, insecurity and lack of good governance have caused economic hardship to many in this West African country.

Analysts also see “external shocks” from the war in Ukraine as a contributing factor to Nigeria’s growing inflation. With the rising price of oil and gas, for instance, “our importation numbers and payment of subsidies have gone up, impacting the price of retail petrol which is key to businesses in the Nigerian market,” said Ese Osawmonyi with the Lagos-based SBM Intelligence research firm.

The security challenges which have led to the death of thousands in the last year in Nigeria’s north have also further pushed food inflation higher by limiting supplies from some of Nigeria’s biggest food-producing states, said analyst Osawmonyi.

That is in addition to fears that floods — which have displaced many homes and damaged crops across huge swathes of farmland in Nigeria’s north — might further impact food prices.

The flour market is one of the worst hit by rising inflation in Nigeria. Some bakeries are now shutting down operations amid dwindling profits, according to Emmanuel Onuorah, who runs a bakery in the nation’s capital, Abuja.

“People are closing,” Onuorah said of the hardship faced by bakers and other businesses. “It is no longer profitable for us. You just sustain yourself.”

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

AP

President Joe Biden speaks at a campaign rally Saturday, March 9, 2024, at Pullman Yards in Atlanta...

Associated Press

US shoots down ‘nearly all’ Iran-launched attack drones as Biden vows support for Israel’s defense

Joe Biden cut short a weekend stay at his beach house to meet with his national security team as Iran launched an attack against Israel.

1 day ago

Protesters in Phoenix shout as they join thousands marching around the Arizona state Capitol after ...

Associated Press

Abortion ruling supercharges Arizona to be an especially important swing state

A ruling this week instituting a near-total abortion ban supercharged Arizona's role, turning it into the most critical battleground.

2 days ago

Former President Donald Trump, center, appears in court for his arraignment, Tuesday, April 4, 2023...

Associated Press

Manhattan court searching for jurors to hear first-ever criminal case against a former president

Jury selection is set to start Monday in former President Donald Trump's hush money case — the first trial of the presumptive nominee.

2 days ago

Emergency personnel arrive on the scene after a  an 18-wheeler crashed into the Texas Department of...

Associated Press

1 dead and 13 injured in semitrailer crash at a Texas public safety office, with the driver jailed

A driver rammed an 18-wheeler though the front of a building where his renewal for a commercial driver’s license had been rejected.

2 days ago

Republican presidential candidate former President Donald Trump speaks at a Get Out The Vote rally ...

Associated Press

Trump pushes Arizona lawmakers to ‘remedy’ state abortion ruling that he says ‘went too far’

Donald Trump urged Arizona lawmakers on Friday to swiftly “remedy” the state court ruling allowing prosecutors to enforce an abortion ban.

2 days ago

Biden to require more gun dealers to run background checks....

Associated Press

Biden administration will require thousands more gun dealers to run background checks on buyers

New Biden rule to require thousands more firearms dealers across the United States will have to run background checks on buyers.

3 days ago

Sponsored Articles

...

DESERT INSTITUTE FOR SPINE CARE

Desert Institute for Spine Care is the place for weekend warriors to fix their back pain

Spring has sprung and nothing is better than March in Arizona. The temperatures are perfect and with the beautiful weather, Arizona has become a hotbed for hikers, runners, golfers, pickleball players and all types of weekend warriors.

...

COLLINS COMFORT MASTERS

Here are 5 things Arizona residents need to know about their HVAC system

It's warming back up in the Valley, which means it's time to think about your air conditioning system's preparedness for summer.

...

Fiesta Bowl Foundation

The 51st annual Vrbo Fiesta Bowl Parade is excitingly upon us

The 51st annual Vrbo Fiesta Bowl Parade presented by Lerner & Rowe is upon us! The attraction honors Arizona and the history of the game.

Concerns grow as Nigeria’s inflation surges to 17-year high