FOOD PRICES RISE TO 60.88% UNDER TINUBU
FOOD PRICES RISE TO 60.88% UNDER TINUBUDespite securing multilateral loans amounting to $3.334bn (N5.178tn) and attracting over $4.3bn investments to boost food production, the cost of essential staple food items skyrocketed by 60.88 per cent under the leadership of President Bola Tinubu When Tinubu assumed office in May 2023, food inflation was 24.82 per cent. It jumped to about 40 per cent in November 2024. This is based on data from the National Bureau of Statistics. This is occurring as Nigerians are increasingly struggling to afford basic food items, with many households finding it difficult to make ends meet due to the sharp rise in prices. This stark increase in food prices stands in contrast to the government’s ambitious efforts to address food security and agricultural development, raising concerns about the effectiveness of current economic policies, the impact of inflation, and the challenges in translating financial support into tangible relief for Nigerians. Upon assumption of office in May last year, President Tinubu promised to prioritise food availability and security, stressing that the government would cultivate about 500,000 hectares of farmlands to combat hunger in the country. “I am well aware that for some time now, the conversations and debates have centred on the rising cost of living, high inflation, which is now above 28 per cent, and the unacceptable high under-employment rate. “To ensure constant food supply, security, and affordability, we will step up our plan to cultivate 500,000 hectares of farmlands across the country to grow maize, rice, wheat, millet, and other staple crops”, Tinubu stated in his new year address amidst other commitments. However, the spiral increase in transportation costs occasioned by the removal of fuel subsidies, massive devaluation of the naira, and ravaging insecurity have fuelled a rapid increase in the price of all food commodities over 19 months. Data obtained from the Consumer Price Index report released by the National Bureau of Statistics between May 2023, when Tinubu assumed office, and November 2024 showed that for 14 consecutive months, Nigerians spent increasingly more money each time they visited the market to buy food items. A breakdown showed that food inflation increased from 24.82 per cent in May 2023 to 25.25 per cent in June, 26.98 per cent in July, 29.34 per cent in August, 30.64 per cent in September, 31.52 per cent in October, 32.84 per cent in November and 33.93 in December 2023. By January 2024, the price of food items increased to 35.41 per cent and surged further to 37.92 per cent in February, 40.01 per cent in March, 40.53 per cent in April, 40.66 per cent in May, 40.87 in June, before witnessing a drop to 39.53 per cent in July and 37.52 per cent in August due to the harvest season. In September, the cost of food increased again to 37.77 per cent, 39.16 per cent in October, and 39.93 per cent in November, which is almost 40 per cent. Despite the challenging situation, checks by our correspondent revealed that the government secured loans totalling $3.334bn, an equivalent of N5.178tn from the World Bank and the African Development Bank under President Tinubu’s administration to enhance agricultural production, adopt innovative farming techniques, and increase food sufficiency for Nigerians. Analysis showed that $500m was approved by the World Bank for the Livestock Productivity and Resilience Support Project to boost livestock production and food security nationwide. The Board of the World Bank Group approved a $500m loan to Nigeria last week Friday (December 13, 2024) to boost rural access and agricultural marketing in the country. According to information obtained from the Washington-based institution, the loan is for the Rural Access and Agricultural Marketing Project—Scale Up. It is designed to bridge the gap between rural communities and the broader…
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