{"id":121136,"date":"2023-08-15T19:15:28","date_gmt":"2023-08-15T19:15:28","guid":{"rendered":"https:\/\/fdcng.com\/?p=121136"},"modified":"2023-08-15T19:15:28","modified_gmt":"2023-08-15T19:15:28","slug":"fdc-economic-bulletin-august-15-2023-re-headline-inflation-surges-to-24-08-as-cost-push-factors-go-awry","status":"publish","type":"post","link":"https:\/\/fdcng.com\/fdc-economic-bulletin-august-15-2023-re-headline-inflation-surges-to-24-08-as-cost-push-factors-go-awry\/","title":{"rendered":"FDC ECONOMIC BULLETIN \u2013 AUGUST 15, 2023 (Re: Headline Inflation Surges to 24.08% as Cost-Push Factors Go Awry)"},"content":{"rendered":"<p>[vc_row][vc_column]<div class=\"gem-button-container gem-button-position-inline\"><a class=\"gem-button gem-button-size-small gem-button-style-flat gem-button-text-weight-normal\" style=\"border-radius: 3px;background-color: #ddbd89;color: #ffffff;\" onmouseleave=\"this.style.backgroundColor='#ddbd89';this.style.color='#ffffff';\" onmouseenter=\"this.style.backgroundColor='#ddccaa';this.style.color='#000000';\" href=\"https:\/\/fdcng.com\/wp-content\/uploads\/2023\/08\/Post-Inflation-Bulletin-August-08-2023.pdf\" target=\"_blank\">DOWNLOAD PDF<\/a><\/div> [\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]Dear Subscriber,<\/p>\n<p>Nigeria\u2019s headline inflation maintained its runaway trend again in July, rising sharply by 1.29% to 24.08%, the seventh consecutive monthly increase and the highest inflation rate in 18 years. What is more striking is that the month-on-month inflation measure, which when annualized, jumped to 40.77%. Monthly inflation is a more accurate reading of inflation expectations and is a major red flag for policy-makers. The steep rise in consumer price inflation largely reflects the impact of recent policy changes on food and transport costs. Food inflation rose sharply by 1.73% to 26.98%. The commodities that spiked the most were oil and fat, bread and cereals, fish, potatoes, yam and other tubers, fruits, meat, vegetable, milk, cheese, and eggs.<\/p>\n<p>Another noticeable trend is the rural-urban inflation gap, which widened to 3.34% from 1.01% in June, largely reflecting the impact of higher logistics costs on commodity prices. The price of diesel, a major fuel used by trucks for food distribution and logistics surged by 18.06% to N850\/ltr due to naira depreciation and the 7.5% VAT.<\/p>\n<p><strong>MPC likely to maintain its hawkish stance in September<\/strong><\/p>\n<p>The Nigerian Monetary Policy Committee (MPC) is scheduled to meet on September 25\/26. This steep rise in consumer price inflation will be a major consideration at the meeting. Some policy-makers are beginning to question the effectiveness of interest rate increases as a panacea for controlling inflation. However, many analysts are of the view that a cocktail of policy measures including an interest rate hike is now imperative to rein in price inflation.<\/p>\n<p>In the download and link below, the FDC Think Tank analyzes the July inflation number and its impact on businesses and the economy.<\/p>\n<p>Do enjoy your read&#8230;[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>[vc_row][vc_column][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]Dear Subscriber, Nigeria\u2019s headline inflation maintained its runaway trend again in July, rising sharply by 1.29% to 24.08%, the seventh&#8230;<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18,35],"tags":[],"_links":{"self":[{"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/posts\/121136"}],"collection":[{"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/comments?post=121136"}],"version-history":[{"count":1,"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/posts\/121136\/revisions"}],"predecessor-version":[{"id":121137,"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/posts\/121136\/revisions\/121137"}],"wp:attachment":[{"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/media?parent=121136"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/categories?post=121136"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/fdcng.com\/wp-json\/wp\/v2\/tags?post=121136"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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