August inflation rate seen rising above July’s 15.43% – Analysts predict
Nigeria’s headline inflation rate is expected to remain elevated in August despite recording two consecutive months of disinflation, with analysts projecting the rate between 15.3% and 15.94%. The post August inflation rate seen rising above July’s 15.43% – Analysts predict appeared first on Nairametrics .
Nigeria's headline inflation is anticipated to stay high in August, with analysts projecting it to range between 15.3% and 15.94%, up from 15.43% in July. Despite two consecutive months of declining inflation, factors such as the harvest season, high petrol and diesel prices, base effects, and other cost pressures are expected to temper the disinflation trend.
Dr Ayodeji Ebo, CEO of MDU Capital Limited, expects headline inflation to hover around 15.6% year-on-year (YoY) in August, whereas FSDH Group expects it to rise to 15.94% YoY, marking the end of a two-month decline. Core inflation is also expected to moderate, with FSDH forecasting it to end at 14.68% YoY. The primary driver of the anticipated increase is expected to be food inflation, which FSDH projects to rise marginally to 20.49% YoY from 20.31%.
However, food inflation is expected to slow to 1.80% monthly, reflecting early gains from the main harvest season, especially for tubers and vegetables.
Written by urgent.news from Nairametrics's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
