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MAN Tasks CBN on Lowering Nigeria’s Soaring Inflation

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By Ocheneyi Alli

The Manufacturers Association of Nigeria (MAN) says that the Central Bank of Nigeria (CBN) had better “think out of the box,” as its  increased monetary policy rate to reduce inflation has failed.

MAN, therefore , urges the apex bank to seek recommendations from the private sector, and  civil society organizations on how best to bring the rising inflation in the economy under control.

In a statement, Segun Ajayi-Kadir, Director – General of MAN, notes that the CBN increased the monetary policy rate in July.

” The apex bank’s effort was aimed at arresting the soaring inflation and defending the Naira that has continued to drop in value both at the official and parallel markets.

The increase of MPR by 25 basis points in July brought the interest rate to 18.75 percent.

Within a span of one year, CBB has raised the Monetary Policy Rate (MPR) by 750 basis points from its April 2022 level of11.5 percent,” he said .

▪︎Ten African Countries Where Inflation Improves ( January- July, 2023).Source: Trading Economics.com

As reported by the National Bureau of Statistics (NBS), in July 2023, Nigeria experienced a surge in inflation, with the rate reaching a new 18-year high of 24.08 percent.

This marks an increase of 1.29 percent from the previous month’s rate of 22.79 percent.

It’s important to note that addressing inflation is a complex and long-term endeavor that requires a coordinated effort from various stakeholders, including the government, central bank, private sector, and civil society.

He believes that the combination of  recommendations from the stakeholders, can help mitigate inflationary pressures and promote sustained economic growth,” he said.

Over the course of a year, the inflation rate had risen by 4.44 percentage starting from 19.64 percent in July 2022.

Specifically focusing on food, the 2023 inflation rate increased to 26.98 percent in July from 25.25 recorded in June.

In comparison to July 2022, the year-on-year food inflation rate was 4.97 percentage points higher.

The increased food prices were attributed to planting season and logistic costs as impact of fuel subsidy removal took its full course.

Notably, the most substantial price increases were observed in gas, air passenger transport, liquid fuel, vehicle spare parts, and fuels, lubricants for personal transport equipment, medical services, and road passenger transport.

In the same vein, the core inflation also moved up from 20.06 in June to 20.47 percent in July.

There was a 4.41 percent increase in the core inflation over the period of one year, from 16.06 percent in July of 2022.

The continued surge in sub-indices of inflation show that Nigeria’s inflation is more than transient but structural in nature.

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Dangote refinery gets new CEO

David Bird is the former head of Oman’s Duqm Refinery

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The Dangote Petroleum Refinery and Petrochemicals has appointed David Bird, the former head of Oman’s Duqm Refinery, as its new Chief Executive Officer.

A report by S&P global on Friday said, Bird heads the refinery’s petroleum and petrochemicals division in a strategic move to overcome production challenges and advance its next wave of expansion.

Effective from July 2025, the former Shell head of operations at its Balau Pokom refinery stepped in as CEO of the Dangote Group’s fuels and petrochemicals business, which commissioned the world’s largest single-train refinery last year.

The CEO participated at the just concluded Dangote Leadership Development Program Graduation Ceremony.

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Trump Imposes 15% tariff on Nigerian Imports

Under the revised tariff schedule:15% tariffs now apply to Nigeria, Angola, Ghana, South Korea, Turkey, Japan, Israel, Norway, and several others.10% tariffs target countries such as the Falkland Islands, the United Kingdom, and others not explicitly listed.

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US President Donald Trump has approved a 15 percent import tariff on Nigeria and dozens of other countries.

The White House announced the implementation of the new reciprocal tariff rates on Thursday.

In April, Trump imposed a 14% tariff on Nigerian imports, citing the need for fairer trade terms.

That move was followed by a 90 – day grace period to allow time for bilateral trade negotiations, pushing the final decision deadline to August 1.

However, the majority of talks failed to result in new trade agreements.

As a result, the new tariff rates are now being implemented, with Nigeria among dozens of countries facing increased duties under the revised plan.

African countries, including Nigeria, were unable to secure individual trade deals with the United States despite urgent efforts from both sides.

During the negotiation window, Trump also reintroduced travel restrictions targeting several African nations. Though Nigeria was initially exempt, it was later added to the list as the policy evolved.

Under the revised tariff schedule:15% tariffs now apply to Nigeria, Angola, Ghana, South Korea, Turkey, Japan, Israel, Norway, and several others.10% tariffs target countries such as the Falkland Islands, the United Kingdom, and others not explicitly listed.

Tariffs climb to 18% for Nicaragua, 19% for countries like Indonesia and Pakistan, and 20% for countries like Indonesia and Pakistan, and 20% for Bangladesh, Vietnam, and others.

10% tariffs target countries such as the Falkland Islands, the United Kingdom, and others not explicitly listed.Tariffs climb to 18% for Nicaragua, 19% for countries like Indonesia and Pakistan, and 20% for Bangladesh, Vietnam, and others.

More severe penalties include 25–41% tariffs for countries like India, South Africa, Iraq, and Syria.

Switzerland faces a steep 39% duty, while Laos and Myanmar are hit with 40%.Syria tops the list at 41%.

Meanwhile, negotiations are still ongoing with China, Washington’s main trade rival.

Canada is facing a 35% tariff, while Mexico was hit with a trio of levies, including a 50% duty on metals. Brazil, previously under a 10% tariff, was slapped with an additional 40% charge on Thursday, bringing its total to 50%.

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EU accuses online giant Temu of selling ‘illegal’ products

EU regulators believe Temu is not doing enough to protect European consumers from dangerous products and that it may not be acting sufficiently to mitigate risks to users.

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The European Union accused Chinese-founded online shopping giant Temu on Monday of breaking the bloc’s digital rules by not “properly” assessing the risks of illegal products.

AFP reports that TEMU, wildly popular in the European Union despite only having entered the continent’s market in 2023, Temu has 93.7 million average monthly active users in the 27- country bloc.

EU regulators believe Temu is not doing enough to protect European consumers from dangerous products and that it may not be acting sufficiently to mitigate risks to users.

Evidence showed that there is a high risk for consumers in the EU to encounter illegal products on the platform,” the European Commission said in its preliminary finding.

It pointed to a mystery shopping exercise that found consumers were “very likely to find non-compliant products among the offer, such as baby toys and small electronics.”

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