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LequteMan
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Nigeria - After an extended period of price stability and consumer resistance, Nigerian inflation is now yielding to the impact of two bouts of naira devaluation, Proshare reports.
The first devaluation was in October 2014 and the other in February this year.
FDC forecasts that inflation for the month of April will increase by 0.14% to 8.64%, when the National Bureau of Statistics (NBS) announces its data on Thursday, May 14, 2015. If this forecast becomes a reality, then it will be the 5th consecutive spike in the price level since December 2014.
Nigerian inflation has tended to be more in the non-food items rather than the food basket. Imported inflation has been muted because of a general decline in global commodities including major imports in Nigeria. Nigeria imports significant amounts of wheat, rice, sugar and dairy products.
The Bloomberg commodity index in 2015 is down 13.5% so far, with wheat prices declining by 18%. This means that the price of flour or bread could increase by 6% after deducting the price decline of 18% from the devaluation of 26%. The price of wheat flour is still N6300 per 25kg bag
#Nigeria #Inflation #Proshare
The first devaluation was in October 2014 and the other in February this year.
FDC forecasts that inflation for the month of April will increase by 0.14% to 8.64%, when the National Bureau of Statistics (NBS) announces its data on Thursday, May 14, 2015. If this forecast becomes a reality, then it will be the 5th consecutive spike in the price level since December 2014.
Nigerian inflation has tended to be more in the non-food items rather than the food basket. Imported inflation has been muted because of a general decline in global commodities including major imports in Nigeria. Nigeria imports significant amounts of wheat, rice, sugar and dairy products.
The Bloomberg commodity index in 2015 is down 13.5% so far, with wheat prices declining by 18%. This means that the price of flour or bread could increase by 6% after deducting the price decline of 18% from the devaluation of 26%. The price of wheat flour is still N6300 per 25kg bag
#Nigeria #Inflation #Proshare
