Inflation Rate to Hit 3-Year Low in July -FSDH

• Inflation Rate to Hit 3-Year Low in July -FSDH

Following a marginal decline in headline inflation in June, FSDH Research experts are predicting an additional drop in inflation rate in July.

According to the research experts, a further decline from 11.22 percent recorded in June to 11.01 percent in July should be expected. This they attributed to the season, saying prices of goods, especially food items, will moderate in the month of July due to harvest.

The experts also forecast that average inflation rate between July and December 2019 will drop from 11.32 percent achieved in the first half of the year to 10.91 percent.

The projection, according to the company, is based on the assumption that the pump price of petrol and electricity tariff will remain unchanged.

FSDH predicted 11.32 percent decline in headline inflation for the month of June, slightly above the actual 11.22 percent.

Nigeria’s inflation moderated from 11.40 percent in May to 11.22 percent in June.

If inflation decline as predicted to 11.01 percent, it would be the lowest inflation rate since February 2016.