Official figures released on Saturday indicated that Nigeria’s annual inflation reached a record 28-year high of 33.95% in May, exacerbating the hardships that have stoked popular ire against President Bola Tinubu’s economic reforms.
After rising from 33.69% in the previous month, inflation has now increased for 18 months in a row.
Tinubu’s measures, particularly the cutting of gasoline and energy subsidies and the devaluation of the naira twice in a single year, have increased price pressure.
Labour unions, who fought for a new minimum wage, called off a walkout, claiming the reforms harmed the poor and left millions facing the worst cost-of-living crisis in decades.
The National Bureau of Statistics data indicated that food and non-alcoholic beverages remained the main drivers of inflation in May.
The majority of Nigeria’s inflation is accounted for by food inflation, which increased to 40.66% from 40.53% the previous month.
Laptops 1000Analysts say the major causes of Nigeria’s inflation are rising food prices and a declining value of the naira.
For the third time this year, the central bank increased interest rates in May in reaction to the ongoing increase in inflation.
Rates will remain high for as long as it takes to reduce inflation, according to Governor Olayemi Cardoso.
