Nigerian businesses and households anticipate an increase in inflation over the next one to six months, according to the Central Bank of Nigeria’s July Inflation Expectations Survey Report released on Tuesday. The survey indicates expected inflation indices of 37.4 for the upcoming month, -26.3 for the next two months, and -15.8 for the next six months.
However, the report showed respondents expect the inflation rate to gradually reduce over the next six months.
A further analysis indicated that businesses anticipate that the inflation rate will drop compared to households, with indices of -33.4 and -11.0 points for the next month and next six months respectively.
“Overall, both businesses and households believe that the inflation rate will rise further in the periods”, the survey stated.
It added that the expected inflation rate hike will be driven primarily by changes in energy prices, exchange rates and transportation costs.
In the past months, the apex bank had continued to tighten Monetary policy measures such as the interest rate which stood at 26.75 percent to tame the inflation rate.
