Inflation in Nigeria – Are the Authorities Doing Enough to Combat the Existing Problem?

The onset of the Covid-19 pandemic, the war on Ukraine, and their effects on global output and supply chain have led to inflationary pressures globally. The Covid-19 pandemic has continued to disrupt the global supply chain, especially in China, while the war between Russia and Ukraine has affected commodity and food prices, leading to inflation rising to levels not seen globally since the global financial crisis in 2008. Inflation has been a pressing issue for policymakers globally. In November 2022, US inflation climbed down to 7.1% from a peak of 9.1% in June, the highest ever in many decades. Even though this figure represents a drop of 8.5% from its October inflation report of 7.7%, we would need to stretch back to 1981 for us to get a period when inflation was that high in the US, averaging 10% that year. As a result of this, how has Nigeria been able to address the issues of global inflation fuelled by the ongoing war in Ukraine? What are some policy considerations that are germane to tackle the current rising prices? These and other questions would be addressed in the article.