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Favour Uche, a foodstuff seller at EFAB market, said “The price of rice didn’t reduce even now that the dollar is down.” Uche emphasised the challenges faced by traders, including the expenses incurred to maintain product quality amid infrastructural constraints.
We will only start seeing the current prices of things as current stock is sold and new stock is acquired.” There is a palpable fear among the citizenry that irrespective of how the naira appreciates food prices might never come down.
“And of course the bank has a part to play, they have to pass some of these interest rates to tax payers and retailers.This means if the government increase the interest rate, it means more money from the bank, the better your money.
“It might take about six months.” Why do you question the policies used in appreciating the naira by Tinubu’s administration and the CBN.
Adenikinju stated, “What people have in stock now was purchased at high prices.
According to him, “Foods that have been bought at the old exchange rate will still be tied to the old exchange rate.
The inflation report was followed by the hike of Nigeria’s interest rate from 22.75% to 24.75% by the Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) This development is coming against the appreciation in Naira.
Another trader, Abdul Yusuf, who sells meat, asserted, “Price did not come down even with the dollar fall.
“I saw the CBN reserve management data and they were able to build 2 million dollar liquidity within one month.
“If you want it to be a managed float let it be a managed float and make the people aware.
Why Are Things Still Expensive Despite Naira Rebound Some economists have stated that it will take a certain period of time before the effect of the rebounded naira would be seen on food prices and other commodities.
“That is number one, one of the mistakes that people make is that the traders do not not have a say in the market, they just believe the click.
“There is no global market chart where we can see the naira.
If they can be well accounted for, all these will give the naira a boost.” How long do you think it will take before the rebound of the Naira will reflect on inflation.
“Even with the fact that the dollar has reduced, but being in the system, I think I understand why.
“Most well meaning Nigerians who understand economics do support subsidy taken away because the money could be diverted into more useful projects.
If you want the market to determine the naira, let the market determine the naira.
According to him, “Inflation in Nigeria is at the 1995 level and it is still going up unfortunately.
“So until they replace the current one, that is when they will reduce their prices.
“The price of rice didn’t decrease.
“We don’t know what is going on right now..
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