Complete Border Closure: Hinderance To A Single- Digit Inflation Dream?

Must Read

List of Guaranty Trust Bank Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number which usually identifies both the bank and the branch where an account is...

Toyota Introduces New Camry and Avalon All-Wheel Drive Sedans (Photos)

Developed and Assembled in the U.S. Exclusively for North America Available as Stand-Alone Option on Most Model Grades ...

Ankara Styles For Slim Ladies: Top 5 Looks You Must Try! (Pictures)

Today’s fashion of Nigeria shows off plenty of Ankara styles for slim ladies, that will help them to create a...
- Advertisement -
- Advertisement -

Earlier, the National Bureau of Statistics (NBS) published Nigeria’s inflation report for Sept-19. According to to the report, consumer prices halted its recent dis-inflationary trend as the headline inflation rate rose to 1 1.2 4% y/y – 2 2bps higher than 1 1.0 2% recorded in Aug-1 9.

The increase in the headline inflation was buoyed by pressures from both core and food inflation sub-indexes. The rate of increase in food inflation sub-index accelerated, up 3 4bps to 1 3.5 1% y/y and the core inflation sub-index increased by 2 6bpst o 8.9 4% y/y.
Further analysis revealed that the partial closure of the Seme border by the Federal Government (FG) had left a negative imprint on the inflation figure. To compound an already slippery situation, the F G recently ordered the complete closure of the Nigerian land borders, placing a ban on both legitimate and illegitimate movement of goods in
and out of the country, leaving air and seaports as the only available option for international trade in goods.

Read:  Nigeria Records 316,365kg of Drug Seizure, 9,824 Arrests In 2018 - NBS

Complete Border Closure: Hinderance To A Single- Digit Inflation Dream?

The decision regarding the full closure of the border might be positive from the angle of preventing smuggling, dumping of sub-standard and harmful goods into the country as well as protecting local producers. However, this might put more pressure on the general price level, especially on food prices in the immediate term. Also, trade relations with
neighbouring countries are threatened, a narrative that complicates the recently signed the African Continental Free Trade Agreement.

Read:  Q3-17 Capital Importation into Nigeria: Hot money up, Cold money down


- Advertisement -

Subscribe to BrandSpur Ng

Subscribe for latest updates. Signup to best of brands and business news, informed analysis and opinions among others that can propel you, your business or brand to greater heights.


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Latest News

International political violence and violent organised crime report for Q3 2019

On 12 November, Control Risks published the latest CORE report. The Q3 report details global incidents of war, terrorism,...

Global Debt Hits Record $250.9T, Projected To Hit $255T By Year’s End – Report

KEY POINTS Global debt surged by $7.5 trillion in H1 2019, hitting a new record of over $250 trillion. With no sign of a...

Kirusa Nigeria’s Country Manager Opens Up On Work-Life, Communication And Tech Adoption In Nigeria

Kirusa, is a global leader in communication solutions over data networks for consumers and enterprises, one of its key products is Kirusa Konnect, a...

NASCON Allied Industries Plc: High Cost weigh on Profitability

NASCON Allied Industries Plc recorded double-digit growth in revenue of 12% from N18.76bn  in  9M  2018  to  N21.03bn  in  9M  2019, driven by an...

More Articles Like This