The Governor of the Central Bank of Nigeria, Yemi Cardoso, has called on Nigerians to be patient with the Tinubu-government as there is no ‘’magic wand to be used in the current fight against inflation.
Cardoso who stated this while speaking to newsmen at the end of the Monetary Policy Committee, MPC, meeting in Abuja on Tuesday, May 21, emphasized that despite pressure from food inflation, the general inflation rate was “moderating”, adding that “the tools the Central Bank is using are working”.
He went further; “I have said it several times and I will say again, there is no magic wand. These are things that need to take their time. I am pleased and confident that we are beginning to get some relief and in another couple of months, we will see the more positive outcomes the Central Bank has been doing”.
The CBN boss maintained that the committee thus reiterated many challenges bedeviling the effective moderation of food inflation to include rising costs of transportation of farm produce, infrastructure-related constraints along the line of distribution network, security challenges in some food-producing areas, and exchange rate pass-through to domestic prices for imported food items.
Cardoso stressed the need for more to be done in order to address the security of farming communities to guarantee improved food production in these areas.
He said that the MPC further observed the recent volatility in the foreign exchange market, attributing this to seasonal demand, a reflection of the interplay between demand and supply in a freely functioning market system.
