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Nigerian Inflation Rises in May to New 28-Year High Food inflation, which constitutes the majority of Nigeria's inflation basket, rose to 40.66%, up from 40.53% the previous month.

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ABUJA: Nigeria’s annual inflation surged to a new 28-year high of 33.95% in May, according to official data released on Saturday, exacerbating the hardships that have sparked public discontent with President Bola Tinubu’s economic reforms.

This marks the 18th consecutive month of rising inflation, up from 33.69% in the previous month. The inflationary pressures have been primarily driven by Tinubu’s reforms, which include significant cuts to petrol and electricity subsidies and the devaluation of the naira currency twice within a year.

Labour unions, which had suspended a strike demanding a new minimum wage, argue that these reforms disproportionately affect the poor, leaving millions struggling with the worst cost-of-living crisis in decades.

Data from the National Bureau of Statistics indicated that food and non-alcoholic beverages continued to be the largest contributors to inflation in May. Food inflation, which constitutes the majority of Nigeria’s inflation basket, rose to 40.66%, up from 40.53% the previous month.

Analysts attribute the high inflation rates mainly to elevated food prices and a weakened naira. In response to the persistent rise in inflation, the central bank raised interest rates in May for the third time this year. Governor Olayemi Cardoso has stated that interest rates will remain high for as long as necessary to bring inflation down.

-Elisha Bala-Gbogbo

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