CBN’s MPC blames fuel, hike in electricity tariff for rising inflation in Nigeria
The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) has blamed rising energy prices for the hike in inflation rate experienced within the country in February 2022.
In a communique released after the MPC meeting on Monday, the central bank body expressed concerns towards the rising inflation which has increased cost of living for Nigerians.
Ripples Nigeria had reported that the headline inflation was up from 15.60% in January 2022, to 15.70% in February 2022, posting a year-on-year growth, while keeping Nigeria in the double-digit inflation group.
Commenting on the inflationary environment in Nigeria, the MPC stated that the scarcity of Premium Motor Spirit (PMS) and rise in the cost of Automotive Gas Oil (AGO) are factors fuelling inflation rise.
Read also: CBN disburses over N159bn to 330,128 women
The group also mentioned hike in electricity tariff as another reason. In a bid to tame the uptrend of inflation rate, the CBN will intervene financially in various sectors of the economy, MPC wrote in their communique.
They said the intervention would improve production output, which in turn will moderate rises in prices. While the MPC stated that CBN would play its part, the group requested for “innovative ways of addressing the current critical supply-side challenges confronting the economy” from the fiscal authorities.
According to the MPC, it will “enable the unhindered transmission of all the recently deployed fiscal and monetary stimulus to the real economy.”
Join the conversation
Support Ripples Nigeria, hold up solutions journalism
Balanced, fearless journalism driven by data comes at huge financial costs.
As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.
If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.
Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.
INVESTIGATION: 4 yrs after completion, Kwara PHC facility inactive, rural dwellers in pains
In the middle of the night sometime in September 2019, Fatimah Ballah struggled with severe pains as she tries to...
INVESTIGATION: How Oyo State, contractors spent N1.1bn on water projects, but communities don’t have a drop
Multimillion naira water projects largely initiated by the late Abiola Ajimobi-led state government in Oyo State to benefit over 40...
INVESTIGATION: In Cross River, civil servants retire into poverty as govt looks away, squanders funds on frivolities
Thousands of civil servants in Cross River State struggle to stay alive as they are denied their gratuities and monthly...
Students suffer as contractors abandon Kano school projects after receiving over N70m
In 2019, to improve the condition of public schools in Kano State, the Federal Government disbursed millions of naira to...
SPECIAL REPORT: World Bank road projects go bad in Enugu, as state govt fails to fulfill promise
Counterpart funded road projects between the world Bank and Enugu State government have started to fail, as the state government...