Despite recent gains in the value of the Naira against the dollar, Nigeria’s inflation rate surged to 33.20% in March 2024, marking a significant increase from the February 2024 figure of 31.70%. 

The latest data was released by the National Bureau of Statistics (NBS) in its Consumer Price Index (CPI) report unveiled on Monday.

The alarming rise in inflation comes on the heels of the Central Bank of Nigeria’s (CBN) decision to raise the country’s interest rate from 22.75% to 24.75%, a move aimed at curbing inflationary pressures and stabilizing the economy.

The NBS report coincided with a period of relative strength for the Naira, which has experienced a notable appreciation against the US dollar in recent weeks. The Nigerian currency has seen an impressive 40% gain, climbing from approximately N1,900/$ to about N1,100/$1.

Despite hopes that the strengthening Naira would translate into lower prices for essential goods and services, the reality has been starkly different. The cost of living remains stubbornly high, with Nigerians yet to witness a significant reduction in the prices of food and other basic commodities.