By Joshua Elekwachi,Abuja.
An economist, Miss Faith Anya has said that the current hike in prices of goods and commodities can only stop when devaluation of Naira stops.
The inflation rate in Nigeria jumped in December to its highest level in more than three years, data released on Friday by the National Bureau of Statistics (NBS) showed.
Inflation stood at 15.75 per cent in December, compared with 14.89 per cent in November, marking the 16th straight month of increases.
In a chat with our correspondent, she explained that Nigerians are the cause of the inflation in the country, stressing that they contributed to about 30 per cent to the problems.
According to her, “It is mostly business exploitative tendencies the very reason why Dangote cement is more costly in Nigeria than in Ghana.”
When asked if she thinks government can affect to market forces, she revealed that government can only create subsidies, taxing the public and giving money to an industry or adding taxes to foreign products to lift prices and make domestic products more appealing.
“On bankable solutions to mitigate recession and inflation she said the federal Government should impose a price freeze to set limits on the amount whether it be a lot or a little, a producer can sale his or her products, Business exploitation tendencies have to be controlled.
“Government should create subsidies and implement monetarism policy to help in controlling the money supply.”
Nigerian NewsDirect gathered according to report from the National Bureau of Statistics (NBS), Nigeria has officially moved into recession as the Gross Domestic products (GDP) for Q3 fell by 3.62.
Nigeria last experienced a recession in 2016 and this current reports makes it the second recession under president Muhammadu Buhari-led administration accompanied by economic hardship.
An owner of a restaurant in the Lokogoma district of Abuja told Nigerian NewsDirect that the situation has caused the price of every product in the market to skyrocket which in return has affected their profits and sales.
According to her, due to the hike the interest of profit in their business is gradually defeated as they no longer sell for profit making but in order not to be stay idle. She decried losses and called for the reviving of the economy.