Key points
- The Lagos Chamber of Commerce and Industry (LCCI) has urged the government to consolidate macroeconomic reforms to relieve under-pressure manufacturers and MSMEs.
- National Bureau of Statistics data showed Nigeria’s headline inflation rate rose marginally to 15.69 per cent in April from 15.38 per cent in March.
- Month-on-month inflation moderated from 4.18 per cent to 2.13 per cent, indicating a gradual easing in the pace of price increases.
- The higher rural inflation rate of 16.36 per cent was attributed to ongoing supply chain disruptions and insecurity in food-producing regions.
- LCCI suggested that Nigeria prioritize domestic urea production and crude supply to local refineries to counter global shocks from the Middle East crisis.
Main Story
The Lagos Chamber of Commerce and Industry has urged the government to consolidate its ongoing macroeconomic reforms as inflation continues to weigh heavily on manufacturers, small businesses, traders, and consumers.
The Director-General of the chamber, Dr Chinyere Almona, gave the advice in a statement issued in Lagos while reacting to the latest inflation figures released by the National Bureau of Statistics.
Almona reported that Nigeria’s headline inflation rate had risen marginally to 15.69 per cent in April from the 15.38 per cent recorded in March.
The report indicated that despite the marginal increase in headline inflation, a sharp moderation in month-on-month inflation from 4.18 per cent to 2.13 per cent signaled a gradual easing in the pace of price increases.
Almona noted that while annual inflation had declined significantly from the 26.82 per cent recorded in April 2025, businesses and households were yet to experience meaningful relief.
She added that durable price stability would require stronger coordination between fiscal and monetary authorities, alongside targeted strategies to boost local crude production and scale up domestic urea manufacturing to secure food supply chains.
The Issues
- Elevated rural inflation rates continue to signal deep-seated supply chain deficiencies, weak rural distribution networks, and persistent insecurity across vital agrarian zones.
- Drastically weakened consumer purchasing power and high operating costs prevent domestic manufacturers from capitalising fully on the cooling month-on-month inflationary pace.
- Escallating geopolitical conflicts in the Middle East threaten the domestic agricultural sector by disrupting international urea supplies, making local fertilizer independence an urgent priority.
What’s Being Said
- “The chamber observes that inflation continues to weigh heavily on manufacturers, MSMEs, traders and consumers, through rising costs of food, transportation, energy and logistics,” Dr Chinyere Almona said.
- “The higher rural inflation rate of 16.36 per cent also highlights ongoing supply chain disruptions, insecurity in food-producing areas and weak distribution infrastructure,” Almona added in the statement.
- “The LCCI reiterates that durable price stability can only be achieved through productivity-driven reforms, improved infrastructure, enhanced food security and a more business-friendly operating environment,” she emphasized.
- “We need an indigenous plan to boost crude production and increase crude supply to local refineries, in order to reduce fuel import bills,” the Director-General noted regarding energy security.
What’s Next
- Fiscal authorities are expected to come under pressure to deploy infrastructure interventions aimed at reducing logistics and transport costs for agricultural produce.
- The central bank and finance ministry will likely seek closer policy alignment to stabilize the foreign exchange market and anchor long-term inflation expectations.
- Industrial planners will look into strategies to reposition the oil and gas industry to scale up domestic refining and secure gas supply partnerships with international markets.
Bottom Line
The marginal rise in headline inflation to 15.69 per cent highlights the stubborn nature of structural costs in Nigeria, prompting organized private sector leaders to demand structural, productivity-driven policies to cement the broader downward trend.
