Why Nigeria always has inflation
Why Nigeria always has inflation. Source: Stears Business

Once in a while, I come across a statistic that lives rent-free in my mind.

Recently, some might have seen me overuse a couple. The first being that the Nigerian living standards are the same today as they were in 1980. And the second one is an estimate of over $600 billion that politicians have stolen since our independence. 

Five months ago, I came across another one that changed how I think about Nigeria: 

“If annual inflation is 15%, the value of the currency halves every six years.”

I found it in an article by Michael, the Chief Economist at Stears, and he was illustrating how investing in Nigeria’s stock market could lead to tears. Double-digit inflation could wipe out any returns, he correctly argued. 

But what hit me from the article was the statistic about the value of the naira halving. So I did a check using Nigeria’s figures.

This story is free to read Register for free or sign in to finish reading

Tokunbo Afikuyomi, Jr.

Tokunbo Afikuyomi, Jr.

Read Latest

Why is bread getting so expensive in Nigeria?

PREMIUM - 04 JUL 2022

Is Nigeria still Africa’s oil giant?

PREMIUM - 01 JUL 2022

ASUU strike: what are the alternatives for Nigerian students?

PREMIUM - 30 JUN 2022

Ekiti state elections: what can we learn about choosing a governor?

PREMIUM - 29 JUN 2022