The Director, Centre for the Promotion of Private Enterprise, Muda Yusuf, has said that it will be difficult to tame inflation if the Federal Government does not fix power, logistics and forex.
Yusuf made this known in a statement on Monday while reacting to the September inflation figure, which rose to 26.72 per cent.
He called on the federal government to fix power, foreign exchange crisis and transportation to tame nine months rising inflation in Nigeria.
Yusuf said the rising inflation rate in Nigeria calls for serious concern, especially as poverty continues to soar.
“Major cause for concern is the acceleration effect on poverty. Purchasing power had continued to slump over the past few months”, he noted.
The CEO of CPPE attributed factors such as the depreciating exchange rate, surging transportation costs, logistics challenges, forex market illiquidity, astronomical hike in diesel cost, and climate change to the rising Nigeria’s inflation.
He pointed out that inflation will not be tamed without fixing power, forex and transportation sectors.
The economic think-tank group called for an emergency in the power and energy sectors to halt rising inflation.
“We need a state of emergency declaration in the energy and power sectors. It will be difficult to tame inflation if we do not fix power, logistics and forex.
“Regrettably, there are no quick fixes in these areas. However, it is essential to prioritise these issues and drive accelerated progress with the right strategies”, he stated.
