Subdued spending, unemploymemt caused by the continued inflation – FBNQuest
January 1, 20201.4K views0 comments
As inflation goes on the uptick in Nigeria after a fall, analysts have said the rising inflation trend will lead to subdued spending, , rising unemployment and falling living standards, analysts at FBNQuest in a note titled’Inflationary pressure, impacting wallets, pointed out that food onflation had been the primary driver for acceleration of headline inflation with a year on year groewth of 14.48 percent.
At its latest meeting, the monetary policy committee noted the recent upticks in inflation were partly due to seasonal end-year festivities but further accentuated by the border closure. The food supply shock should adjust over the medium term, provided there are increased investments in food production.