The International Monetary Fund, (IMF), has blamed the double digit inflation rate in Nigeria on the challenges around foreign exchange.
In a policy paper on Macro-economic developments and prospects in low-income developing countries released at the weekend, the IMF attributed Nigeria’s economic challenges to delayed policy adjustment.
The IMF believes efforts of the Central Bank to defend the Naira by forex rationing, have gradually crumbled, and Nigeria’s financial developments have affected neighboring countries like Chad, which has plunged into a recession, as well as Benin republic.
On the other hand, data from the National Bureau of Statistics shows that Nigeria’s headline inflation has risen to 18.55 per cent.
That is it’s highest in more than 11 years.