Tribune Online
  • Home
  • #NigeriaElections2023
  • News
  • Columns
  • Editorial
  • Entertainment
  • Politics
  • Health
  • Sports
  • Opinions
No Result
View All Result
  • Home
  • #NigeriaElections2023
  • News
  • Columns
  • Editorial
  • Entertainment
  • Politics
  • Health
  • Sports
  • Opinions
No Result
View All Result
Tribune Online
No Result
View All Result

The unprecedented rate of inflation

by Tribune Online
March 24, 2023
in Editorial
Reading Time: 3 mins read
A A
The rising cases of political violence

OVER the years, Nigerians have been confronted with the steady rise of inflationary trends. However, the developments in recent times are disturbing and they call for urgent action. The National Bureau of Statistics (NBS) recently announced an inflation rate of 22.91 percent for February 2023, representing an increase on the 21. 82 percent rate recorded for January 2023. Amid the uncertainties faced by Nigerians over the scarcity of the recently redesigned naira notes, the inflation rate rose in January after recording a fall in December. According to the NBS, the headline inflation rate rose to 21.82 percent compared to the December 2022 headline inflation rate which was 21.34 percent. The January 2023 inflation rate showed an increase of 0.47 percent points compared to the December 2022 inflation rate.

    This month, in a hawkish move, the Central Bank of Nigeria’s (CBN) Monetary Policy Committee, while retaining other variables such as the cash reserve ratio and liquidity at 32 percent, raised the Monetary Policy Rate to 18 percent from the previous 17.5 percent. That means that the MPR has already been raised on two occasions this year alone. According to the CBN Governor, Mr. Godwin Emefiele, the decision was reached as part of the measures to stem rising inflation. But experts offering a word of caution to the CBN have argued that raising the MPR would not in itself tame inflation if the factors behind inflationary pressures were not addressed. Their argument is that increased interest rate would also lead to price increase since manufacturers and investors would pass the burden of the high cost of loans to the consumers of their goods and services. We concur.

It cannot but be disturbing that in 2022, every quarter witnessed an increase in the inflationary rate. The situation has not come as a surprise though given the rising cost of energy and food items. The real trouble is that the ugly trend will subsist because of the monopoly on oil imports. Inflation means reduction in income or revenue, and it is a no-brainer that with reduction in income or revenue, people become poorer, which means that the Federal Government must act decisively on the twin issues of energy and food crisis. High energy cost reduces the production capacity of industries. At best, they are forced to maintain the production capacity with negative consequences for the prices of their products.

To be sure, the government is well aware of the fact that the country has been on an inflationary trend for some time on account of the increasing prices of food items and the high cost of energy partly traceable to the Russia-Ukraine war. And with the rising cost of food and energy, it has been difficult for Nigerians to survive with income remaining static or even falling. This is the ugly condition under which Nigerians have been reproducing themselves, a haunting scenario that has engendered increasing poverty. The government has to address the galloping inflation in the land by working to stem the increasing food prices occasioned largely by a downward trend in food production. If farmers are unable to get to their farms due largely to the activities of bandits and kidnappers that are let loose by governmental inaction and ineffectiveness, then it is a given that they cannot produce food.

This same context has made real production and manufacturing to slow down in the country. It is therefore imperative for the government to provide a more congenial and conducive environment for production and farming. It must be seen to be addressing the root causes of inflation in the country. There must be a sense of urgency around the government’s action given that the current situation can easily precipitate social unrest. Nigerians deserve a respite from the increasing obliteration of their lives by poverty. It is the responsibility of the government to help ensure this by stopping the persisting rise in inflation.

Related News

Aminu Masari’s momentous birthday

Excellence in agric, technology and management: The OYSCATECH example

FERMA, Bauchi-Jos highway needs urgent intervention



ShareTweetSendShareShare

Related News

Ondo visa Osimhen EFCC Budget bill Obaseki UNESCO Okumakube Olaide Adekunle Enahoro Ikime Ayetoro Ogun Subsidy Adamawa collapse Herders sea ports doctors ombudsman Ofili NBS agberos defilement Olympics prophet election grandmother Emefiele Ogun PVCs accident Aderinto’s Herders
Editorial

The Ondo rapes and killings

May 29, 2023
The rising cases of political violence
Editorial

Political positions and leaders with integrity questions

May 26, 2023
The rising cases of political violence
Editorial

The attack on US embassy officials

May 25, 2023

Most Read

  • Akinwumi Ambode resurfaces
    Akinwumi Ambode resurfaces
  • I cried when I found out I wasn’t overall best-graduating student  —Ifesinachi Okafor, Joseph Ayo Babalola varsity second best graduating student
    I cried when I found out I wasn’t overall best-graduating student —Ifesinachi Okafor, Joseph Ayo Babalola varsity second best graduating student
  • NDLEA intercepts explosives going to bandits
    NDLEA intercepts explosives going to bandits
  • 'There shall be new Nigeria', Pastor Adeboye optimistic, composes new song
    'There shall be new Nigeria', Pastor Adeboye optimistic, composes new song
  • Anyaoku bags GCON, Emefiele, Akande, Osoba CFR, Remi Tinubu others awarded CON
    Anyaoku bags GCON, Emefiele, Akande, Osoba CFR, Remi Tinubu others awarded CON
  • Police clear air on detained officer who opted to resign
    Police clear air on detained officer who opted to resign
  • My wife is too beautiful, I want divorce, man tells court
    My wife is too beautiful, I want divorce, man tells court
  • Factors responsible for premature hair graying
    Factors responsible for premature hair graying
  • One dies as container falls on cart pusher in Lagos
    One dies as container falls on cart pusher in Lagos
  • You're not my president, Pastor Bakare tells Tinubu
    You're not my president, Pastor Bakare tells Tinubu

Subscribe to e-Paper

E-Vending, e paper, pdf, e-paper, Tribune

Frontpage Today

Editorial

EDITORIAL

Editorial
Opinion
Letters

BUSINESS

Capital Market
Money Market
Economy

ENTERTAINMENT

Friday Treat
Entertainment
Razzmattaz

REGIONS

South West
Niger Delta
Arewa

RELIGION

Tribune Church
Church News
Muslim Sermon
Eye of Islam
Islamic News
COLUMNS

Anike's Diary
Aplomb
Ask The Doctor
Autoclinic With The Mechanic
Awo's Thought
Borderless
Crucial Moment
Empowered For Life
Festus Adebayo's Flickers
Financewise
Gibbers
Intimacy
Language & Style
Leaders' Forum
Leadership & Management
Lynx Eye
Monday Lines
Mum & Child
Natural Health
Notes from Atlanta with Farooq Kperogi
On The Lord's Day
PENtagon
Political Panorama
Veritatem With Obadiah Mailafia
Voice of Courage
Whatsapp Conversation
You and Eye
Your Life Counts

WOMEN

Xquisite
Xquisite Food
Xquisite Style
Wondrous World of Women

MORE

Business Coach
Education
Event Digest
Crime & Court
Do It Yourself
Ecoscope
Property & Environment
Energy
Maritime
Aviation
Brands & Marketing
Agriculture
Info Tech
Labour
Leadership & Management
Achievers
Arewa Live
Arts & Culture
Arts & Reviews
Campus Beat
Politics
Health News
  • About Us
  • Contact us
  • Disclaimer
  • Privacy
  • Tribune Advertisement Rates

© 2023 Tribune Online, an online publication of African Newspapers of Nigeria Plc. All Rights Reserved.

No Result
View All Result
  • Home
  • #NigeriaElections2023
  • News
  • Columns
  • Editorial
  • Entertainment
  • Politics
  • Health
  • Sports
  • Opinions

© 2023 Tribune Online, an online publication of African Newspapers of Nigeria Plc. All Rights Reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist