The World Bank has implied that Nigeria may have one of the highest inflation rates globally in 2022, with increasing prices diminishing the welfare of Nigerian households.
According to the World Bank, Nigeria is cast to have the seventh-highest inflation rate among Sub-Saharan African countries and one of the highest globally in 2022.
“In 2022, Nigeria is expected to have one of the highest inflation rates in the world and the seventh highest in Sub-Saharan Africa,” it said.
This was said in the November edition of the bank’s Nigeria Development Update.
The financial institution said high inflation will hinder the country’s attempt to recover economically and erode the purchasing power of the most vulnerable households.
The document read in part, “High inflation is frustrating Nigeria’s economic recovery and eroding the purchasing power of the most vulnerable households. In the absence of measures to contain inflation, rising prices will continue to diminish the welfare of Nigerian households.”
In addition, the bank highlighted the adverse effects of inflation on Nigeria, including lifting eight million Nigerians into poverty, and the possible disruption of consumption, investment, and saving decisions, among other consequences.
