– It seems Nigerians will have to wait much longer for a better economy
– Findings indicate the inflation rate has hit a record high at 16.5%
– Economists say this is the highest rate since 2005
According to the Consumer Price Index (CPI), it states that inflation rate in Nigeria’s economy has hit the roof at of 16.5%. It said this is the highest figure ever since 2005.
The finding was released by the National Bureau of Statistics (NBS). It revealed that inflation for the month of June rose to its highest point since October 2005. This is an 11-year gap. Likewise, inflation rate increased from 15.6% in May to 16.5% in June 2016. This is because energy and food prices weigh in heavy on inflation for July.
President Muhammadu Buhari has been applauded in his war against corruption and decimating insurgency; he has however performed below expectations to make the lives of Nigerians better since May 29, 2015.
“In June, the Consumer Price Index (CPI) which measures inflation continued to record relatively strong increases for the fifth consecutive month. The Headline index increased by 16.5% (year-on-year), 0.9% points higher from rates recorded in May (15.6%),” the NBS said.

“Most COICOP divisions which contribute to the headline index increased at a faster pace, the increase was however weighed upon by a slower increase in three divisions; Recreation & Culture, Restaurant & Hotels, and Miscellaneous Goods & Services Year on year, energy prices, imported items and related products continue to be persistent drivers of the core sub-index.

“The Core index increased by 16.2% in June, up by approximately 1.2% points from rates recorded in May (15.1%). During the month, the highest increases were seen in the electricity, liquid Fuel (kerosene), furniture and furnishings, passenger transport by road, fuels and lubricants for personal transport equipment.”
Apart farm produce, the main sub-index rose by 16.2% in June (year-on-year) by approximately by 1.2% points from 15.1% recorded in May.
“The Core sub-index has increased at a faster pace for five consecutive months. Over the first six months of the year, the Core subindex increased by 12.8%, up 5.2% points from rates recorded in the corresponding period in 2015.”
Inflation rate has risen consistently since October 2015, with the change in exchange rate policy, in the latter part of June expected to weigh in on inflation for the month of July.
Goldman Sachs, an American multinational banking and investment firm, forecasts that Nigeria’s inflation will not rise above 20 percent in 2016, before it takes retreats to lower levels.
While there is palpable fear in the air based on the current staggering inflation rate by a good number of Nigerians,