- There is likelihood that inflation may drop further to 13% in March, from 14.33% that was recorded in February
- The managing director and chief executive of Financial Derivatives, Bismarck Rewane, said he expects this possibility
- Rewane stated that positive economic data would be released on inflation, growth and external reserves
Managing director and chief executive of Financial Derivatives, Bismarck Rewane, has said that he expects inflation to drop to 13.8% in March, down from 14.33% that was recorded for February.
He stated this during his presentation to the Lagos Business School at the weekend, in which he said that spending is expected to increase alongside currency pressures by May 2018. He said that positive economic data would be released on inflation, growth and external reserves.
Analysts at FSDH Research said they expect the year on year inflation rate to drop to 13.49% in March 2018 from 14.33% recorded in the month of February, Leadership reports.
NAIJ.com notes that the National Bureau of Statistics (NBS) is expected to release the inflation rate for the month of March on April 16, based on the data release calendar on the website of the NBS.
According to the monthly Food Price Index (FPI) from the Food and Agriculture Organization (FAO) of FSDH Research, the Index was up 1.05% to 172.8 points in March from the revised value for February. A strong recovery in dairy and cereal prices was responsible for the increase recorded in the FPI.
The FAO Dairy Price Index appreciated by 3.26% in March as prices of butter, whole milk powder and cheese were on the increase. This was mainly supported by strong global import demand and lower than expected milk output.
Meanwhile, NAIJ.com previously reported that for the 12th consecutive time, the Consumer Price Index (CPI) which measures inflation, revealed that inflation declined by 15.13% compared to 15.37% in Dec 2017.
This was disclosed in a National Bureau of Statistics (NBS) report published on the bureau's website on Wednesday, February 14.
The NBS in a statement said: "The Consumer Price Index (CPI) which measures inflation started the year 2018 increasing by 15.13 percent (year-on-year) in January 2018. This was 0.24 percent points lower than the rate recorded in December (15.37 percent) making it the twelfth consecutive disinflation (slowdown in the inflation rate though still positive) in headline year on year inflation since January 2017."
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