Expert says security, other factors key to tackling high inflation rate

A financial expert says the provision of security, large scale farming and intervention in the manufacturing sector are key factors in tackling the rising inflation rate in the country.

Mr Niyi Akinsanya said this in an interview with the News Agency of Nigeria (NAN) in Abuja on Monday.

NAN reports that the data released by the National Bureau of Statistics (NBS) on Thursday showed the rise in inflation to 18.17 per cent in March amid an accelerating increase in food prices.
He explained that for government to tackle the economic challenges, particularly the continuous rising inflation, it must step up in providing adequate security for farmers in order to encourage them to return to their farms.

He urged the government at all levels to do more in encouraging large scale agriculture that would guarantee food security in the country.

The expert also noted that there must be aggressive intervention in the manufacturing sector for job creation thereby, boosting the economy.

“There must be aggressive inducement and incentives to more people to become farmers with amenities provided by the government to enable them to compete easily with imported items.

“Government should remove margin between official exchange and black market rate at least for those genuinely importing key raw materials that cannot be produced locally," he said.

Akinsanya noted that insecurity like banditry, insurgency and kidnapping in the country had affected the activities of farmers, hence causing food shortage.

According to him, the high demand for food items in the market with limited supply is one of the reasons for the hike in the prices of some foodstuff in the market.