The Centre for the Promotion of Private Enterprise (CPPE) has warned that despite Nigeria’s October inflation rate dropping to 16.05 per cent, high costs of essential goods and services continue to burden households.
The Centre for the Promotion of Private Enterprise (CPPE) has stated that Nigerians are still grappling with a high cost of living, despite October’s inflation decline to 16.05 per cent, according to DAILY POST.
In a statement on Monday, CPPE Chief Executive Officer Yusuf noted that while the October data signals improving macroeconomic stability helped by exchange rate calm, better policy coordination, and strong base effects the impact on ordinary Nigerians remains limited. “This is a significant disinflation milestone for the economy, but the impact on welfare is still minimal because structural pressures remain very high,” he said.
Yusuf highlighted that essential sectors like food, transportation, housing, electricity, education, and health accounted for 84 per cent of the inflation burden in October, keeping living costs elevated. Though food inflation dropped from 16.87 per cent in September to 13.12 per cent in October, month-on-month food prices continued to rise.
CPPE attributed the disinflation to three factors: lower year-on-year comparison after October 2023’s 33.8 per cent inflation, modest naira appreciation reducing imported inflation, and tighter monetary policy alongside improved FX liquidity.
The think tank urged urgent government action to sustain the gains, recommending interventions such as expanding irrigation, storage, processing, and secure farming communities, as well as improving federal highways and freight rail. Yusuf concluded, “Disinflation is good news, but without structural reforms, it will not reduce the cost of living for ordinary Nigerians… we should double down on reforms.”