Posted 2/27/2024, 1:59:10 AM
Nigeria Faces Soaring Inflation and Stagnant Wages, Squeezing Households
- Annual inflation in Nigeria has reached 30%, food inflation 35%, highest in decades, while minimum wage unchanged since 2019
- Rising costs driven by end of fuel subsidy and fall in value of the naira after currency peg removed
- Previous government took out large short-term central bank loans to cover spending, fueling inflation
- Government measures like grain distribution and 25,000 naira monthly payments to poorer households provide little relief
- Import ban on rice lifted to reduce costs but fall in naira value means local rice still expensive
