Rewane predicts decline in food prices by June, cites positive economic outlook

By Sodiq Adelakun

Renowned Nigerian economist, Bismark Rewane, has forecasted a forthcoming decrease in the prices of essential food items, including rice and bread, citing the impactful policies of the Central Bank of Nigeria (CBN) as catalysts for positive economic outcomes.

During a recent appearance as a guest on Channels Television’s News program, Rewane highlighted the encouraging signs of improvement in both food and core inflation indicators.

He specifically noted a downward trajectory in the cost of staple commodities such as rice, with expectations of further reductions anticipated following the conclusion of the Ramadan fast.

In his analysis, Rewane emphasised that the policies implemented by the CBN are beginning to yield tangible results for the economy, fostering an environment conducive to price stabilisation and consumer relief.

Notably, he pointed out a noticeable decrease in the price of a bag of rice and projected a continuation of this downward trend in the near future.

Furthermore, Rewane underscored the anticipated reduction in the cost of a loaf of bread, aligning with the broader trend of declining food prices across the market.

His optimistic predictions come in the wake of the recent decision by the CBN to raise interest rates, a move aimed at addressing inflationary pressures and steering the economy towards sustainable growth.

The economist’s assessment provides a glimmer of hope for consumers grappling with rising living costs, suggesting that concerted efforts by regulatory authorities could alleviate financial burdens and stimulate economic recovery.

As Nigeria navigates through various economic challenges, Rewane’s insights offer a positive outlook for improved affordability and stability within the food market in the days ahead.

According to him, “Now, let’s go down. In February, a bag of rice was N80,000. It went up to N95,000 and now it’s down to N88,000 a bag. We expect by June, it will come down to N85,000 because Ramadan and fasting are over. Now, the price of a loaf of bread is 1,300 in February, it is now at 1,600. We expect it to drop to 1400.”