Nigeria’s Domestic Prices To Remain High In 2024, 2025 Fiscal Year – CBN

The Central Bank of Nigeria has said that Nigeria’s domestic prices are expected to remain high in the 2024/2025 fiscal year.

The apex bank made this known in its Monetary, Credit, Foreign Trade and Exchange Policy Guidelines for fiscal years 2024/2025.

CBN’s revelation comes amid the two consecutive decreases in Nigeria’s inflation in July and August which stood at 33.40 percent and 32.15 percent.

Meanwhile, CBN blamed elevated domestic prices on the back of spillovers from global supply constraints, exchange rate pass-through impact, persisting security and infrastructural challenges.

However, the apex bank said the country’s fiscal outlook remains positive contingent on the effective implementation of the Finance Act 2023, Foreign exchange reforms and restructuring of key revenue-generating MDAs to boost non-oil revenue.

“Domestic prices are expected to remain elevated through 2024/2025, on the back of spillovers from global supply constraints, and exchange rate pass-through.

“More so, the persisting security and infrastructural challenges could exacerbate inflationary pressures.

“The performance of the fiscal sector is expected to remain on a positive recovery trajectory in 2024/2025.

“This outlook is contingent on the effective implementation of the Finance Act 2023 and restructuring of key revenue-generating MDAs to boost non-oil revenue,” it said.