Despite improvement in fossil fuel prices, the short-term economic outlook for Nigeria and other countries of the world appears clouded with high inflation which has reduced private sector optimism and weakened consumer spending, the Organization of Petroleum Exporting Countries has said.
The organisation believes this could increase uncertainty and make high debt levels to persist across the world next year
OPEC, in its newly released Monthly Oil Market Report for July 2022, said that in May 2022, Nigeria’s composite Consumer Price Index rose to 17.7 percent y-o-y, from 16.8 per cent y-o-y in the prior month.In response to the
elevated inflationary pressures,
the Central Bank of Nigeria raised its policy rate by 150 bps to 13 per cent, bringing borrowing costs to the highest since April 2020.
