VenturesNow

Despite food crisis, Nigerian govt rejects imports, backs clampdown on hoarders

Published

10 months ago

February 16, 2024

Nigerian government has rejected the option of the importation of food as part of strategies to address the high cost of foodstuffs and the economic hardship troubling the country.

This was one of the decisions made during President Bola Tinubu, Vice President Kashim Shettima, and state governors’ emergency meeting on Thursday at the Aso Rock Villa in Abuja.

The government also formed a committee made up of the Inspector General of Police, the Director-General of the Department of State Services, and the National Security Adviser as part of an effort to crack down on traders hoarding grains.

Meanwhile, the All Farmers Association of Nigeria and organised private sector have backed the decision to forgo importing food as a means of addressing the severe food crisis the country is currently experiencing.

After the discussion, Mohammed Idris, the Minister of Information and National Orientation, told State House Correspondents that bringing in food would just make the already fragile economy worse.

Idris announced earlier on February 8 that the administration would import necessary supplies to supplement shortages following the release of 102,000 metric tonnes of food items nationally, after a meeting of the Special Presidential Committee on Emergency Food Intervention at the Presidential Villa.

“Now, the third item is that the government is also looking at the possibility, if it becomes necessary, as an interim measure in the short run also to import some of these commodities,” he had said.

Nigeria is currently battling a cost of living crisis due to the country’s currency (Naira) falling to record lows and the skyrocketing of food prices. Its inflation rate surged further in January to hit 29.90% annually, with food inflation rising to 35.41 percent during that time from 33.93 percent in December 2023.

Related Topics:Featured Food crises inflation Nigeria

Click to comment

VenturesNow

Moroccan annual inflation rises to 0.8% in November

Published

18 hours ago

December 21, 2024

Ifeoluwa Dada

Morocco’s statistics office has confirmed that the country’s annual inflation rate, as determined by the consumer price index, increased from 0.7% in October to 0.8% in November.

Monthly, consumer prices decreased by 0.2% from October.

The primary driver of inflation, food costs, grew by 0.8% compared to the previous year, while non-food inflation climbed by 0.7%. Core inflation, which does not include more erratic items like food, increased 2.6% annually and 0.2% monthly.

According to the central bank, inflation is expected to average 1% this year, down from 6.1% last year.

Despite the Al-Haouz earthquake, a spike in inflation, and worldwide economic challenges, Morocco’s GDP grew by 3.4% in 2023.

A recovery in tourism, robust industrial exports, and rising private consumption—all bolstered by prudent macroeconomic policies—were the main drivers of growth.

VenturesNow

Nigeria’s $42bn foreign reserves enough for 9 months’ imports— Central Bank

Published

2 days ago

December 20, 2024

Ifeoluwa Dada

According to Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), the nation’s $42.01 billion in foreign reserves can cover imports of goods and services for almost nine months.

Cardoso promised Nigerians improved economic fortunes in 2025 while addressing the Senate Committee on Banking, Insurance, and Other Financial Institutions yesterday in Abuja at the presentation of the performance index report.

Cardoso stated: “External Reserves rose from $ 38.35 billion it was on September 30, 2024, to $ 42.01 billion as of December 12, 2024”.

He clarified that third-party receipts in Q3 2024 and revenues from taxes connected to crude oil were the main drivers of the rise in foreign reserves during the specified time.

“We saw remarkable improvements in our trade balance and maintained a current account surplus,” he added.

“Our external reserves level can finance over 9.09 months of import of goods and services or 13.91 months only, higher than the international benchmark of 3.0 months and a robust buffer against shocks”.

On cash shortage, the CBN boss reiterated the N150 million fine against any branch of banks caught illegally distributing new Naira notes to currency hawkers and unscrupulous elements and said the Nigerian economy will improve in 2025 through policies and measures.

He predicted a stronger economic future: “Despite our economy’s challenges, there are clear reasons for optimism.

“The gradual stabilization of the forex market, ongoing banking sector recapitalization, and positive growth trends in key sectors, especially the services sector, indicate a path toward recovery and stability.”