• APC chieftain blamesinflation on naira devaluation
• Inflation set to rise in September despite current drop, Rewane warns
 
Leaders of The Mandate Movement (TMM), a sub-political group within the All Progressives Congress (APC), yesterday, pleaded with Nigerians to exercise patience over the economic policies and programmes being implemented by President Bola Tinubu.
 
This was as former member of APC Presidential Campaign Council (APC-PCC), Ayobami Oyalowo, said the real issue behind Nigeria’s inflation was the continuous devaluation of the naira against the dollar.

But Managing Director of Financial Derivatives Company Limited, Bismarck Rewane, cautioned Nigerians to brace for a rise in the inflation rate for September, despite the decline in August.
 
Taking the stand after a strategic meeting held in Lagos, TMM pledged its support for the government’s economic policies, assuring that things would normalise, as soon as necessary wrongs of the past were righted.
  
The movement’s leaders, including Lagos State House of Assembly Speaker, Mudashiru Obasa; Chief of Staff to Lagos Governor, Tayo Ayinde; former Minister of Works, Adeseye Ogunlewe; former lawmaker, Sen Ganiyu Solomon; serving lawmakers and others, said those policies and programmes would soon lead to economic buoyancy considering giant strides already made within the first year of the administration.
  
They noted that the bold decisions, although harsh, would take the country out of the doldrums and secure a prosperous future for the citizens. The group stated, “While acknowledging the harsh socio-economic realities Nigerians are going through presently, TMM pleads for patience, prayers and the support of all, at this critical time of reshaping the economy, and encourages them to have faith in Tinubu’s spirited efforts and visionary strides to right the many wrongs of the past.
 
“The recent diplomatic shuttles to Guinea Bissau, United Arab Emirates (UAE), China and the United Kingdom are signals to the beneficial bilateral relationships, while the recent consistent decline in the inflationary trends pointed to gradual economic recovery that will lead to buoyancy, very soon.”

OYALOWO said on Channels Television’s ‘The Morning Brief’ programme, yesterday, “I don’t think the price of fuel is a major problem; what is not improving and what is causing most of this problem is the rate at which our naira is priced against the dollar.

“I sat down yesterday to look at it clearly. We are still buying fuel at less than 60 cents, so what we are witnessing is not the price of fuel increase; it is the rate of our naira so undervalued or devalued. For as long as nobody is looking at how to shore up the value of the naira, fuel price will go up, and as fuel prices goes up, it will impact on the prices of goods and services.”
  
He predicted that inflation would worsen by next month, especially when the September inflation figures are released, accounting for the current petroleum prices.
 
The economist noted that despite a marginal improvement in food prices recently, things might take a negative turn soon.
ALSO, Rewane agreed with Oyalowo while speaking on Channels Television’s ‘Business Morning’ segment of the ‘Sunrise Daily’ breakfast programme, yesterday, where he provided insights into the economic situation.
 
The National Bureau of Statistics (NBS) reported that Nigeria’s inflation rate dropped to 32.15 per cent. Rewane explained that the inflation data for August was collected before the recent increase in petrol prices and during a period of protests.He added that while there was a noticeable drop in the prices of perishable commodities, the impact of the petrol price hike was not yet felt.  Looking ahead, Rewane projected that any significant moderation in inflation might not be apparent until the end of the year.