LAGOS — The Centre for the Promotion of Private Enterprise (CPPE) has raised concerns that food prices remain stubbornly high despite Nigeria recording its fourth consecutive decline in headline inflation.
The Director of CPPE, Dr. Muda Yusuf, made this known in a statement on Sunday while reacting to the National Bureau of Statistics (NBS) July 2025 Consumer Price Index report.
According to NBS, headline inflation eased to 21.88 percent in July, down from 22.22 percent in June, reflecting a gradual moderation in price pressures.
CPPE attributed the decline to a stabilising macroeconomic environment, supported by exchange rate stability and improved investor confidence. However, the think tank warned that the gains were yet to translate into relief for households, particularly in food markets.
“The July 2025 inflation report provides a basis for cautious optimism. While progress has been made in moderating headline and core inflation, the persistence of food and month-on-month price increases highlights unresolved structural weaknesses,” the statement read.
Yusuf stressed that monetary tightening alone — through interest rates (27.50 percent) and cash reserve ratios — would not be enough. He urged the Central Bank of Nigeria’s Monetary Policy Committee (MPC) to adopt more innovative strategies to manage liquidity, alongside fiscal and structural reforms.
“Pressures persist on the economy, and a coordinated mix of monetary, fiscal, and structural interventions will be required to consolidate recent gains and steer the economy towards sustained stability,” CPPE added.
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