By Dipo Olowookere
On Monday, May 14, 2018, the National Bureau of Statistics (NBS), based on the Data Release Calendar available on its website, is scheduled to release the inflation figure for April 2018.
Ahead of the anticipated release tomorrow, the Economic Intelligence Group of Access Bank is predicting a further drop in inflation rate in April 2018 to 12.56 percent year-on-year from 13.34 percent in March 2018.
In its recent report, Access Bank explained that it’s analysis showed a further drop in the food index, one of the main factors that drives the inflation rate.
“Looking in more detail at the drivers, our analysis indicates that the slower inflation rate in April reflects a moderation in food prices and continued stability in the currency.
“Food inflation, which makes up 51.8 percent of the CPI basket, continued its descent in April.
“Based on our survey, this mainly reflected declines in prices for staples such as yam and Irish potato which continue to benefit from robust supplies to the market from barns across the country as well relatively stable transport costs in the month.
“Processed foods such as pasta and milk also nudged slightly lower, enjoying support from stable transport prices.”
Access Bank explained further that April’s easing of price pressures also reflects stability in the core index which excludes farm products and energy prices, owing to improved forex liquidity and sustained CBN interventions.
At the parallel market, the Naira closed at N362/$ in the parallel market on April 30 same as a month earlier.
