Nigeria inflation slips to about 16.35 per cent
Nigerian inflation rates are projected to fall below 17 percent for the seventh straight month, driven by improved agricultural output and foreign exchange market stability that have strengthened purchasing power. Independent economic surveys indicate consumer price growth decelerated by more than 100 basis points to approximately 16.35 percent, while the naira gained half a percentage point to trade at 1,435 per dollar as foreign reserves climbed for seventeen consecutive weeks to reach 43.54 billion dollars.
Coronation Group and SCM Capital attribute the disinflationary trend to harvest season abundance, moderating import costs and currency resilience following economic reforms. The sustained price moderation has prompted speculation about additional monetary policy easing after the Central Bank reduced its benchmark lending rate by 50 basis points to 27 percent. CardinalStone analysts forecast the naira will trade between 1,400 and 1,450 per dollar through year-end, supported by current account surpluses.
