By Adegoke Adetule
ABUJA, June 15 (Reuters) – Nigeria’s annual inflation rate surged to a new 28-year high of 33.95% in May, exacerbating economic hardships and fueling public discontent with President Bola Tinubu’s economic reforms, official data showed on Saturday.
This marks the 18th consecutive month of rising inflation, up from 33.69% in April. The increase has been driven largely by Tinubu’s policies, including significant cuts to petrol and electricity subsidies and two devaluations of the naira currency within a year.
Labour unions, which recently paused a strike demanding a new minimum wage, argue that these reforms disproportionately impact the poor, plunging millions into the worst cost-of-living crisis in decades.
According to the National Bureau of Statistics, the primary contributors to May’s inflation were food and non-alcoholic beverages. Food inflation, which constitutes the majority of Nigeria’s inflation basket, climbed to 40.66% from 40.53% in April.
Analysts attribute the persistent inflation to soaring food prices and a depreciating naira. In response, the central bank raised interest rates in May for the third time this year. Governor Olayemi Cardoso has stated that interest rates will remain elevated as long as necessary to curb inflation.
(Reporting by Adegoke Adetule, Editing by Prince Sola Adetule)
