Inflation is expected to be broadly elevated in 2023.
This was disclosed in the ongoing monetary policy committee meeting by the Central Bank governor.
The CBN Governor speaking on price development said that inflation is expected to moderate marginally in 2023 but remain broadly elevated due to a combination of factors such as persisting high prices of grains and other commodities, continuing exchange rate pressures, and other legacy structural factors.
The Monetary Policy Committee observed that inflation in most advanced economies, although trending downward are above their long-run objectives and is expected to remain elevated throughout 2023. This is due to the impact of the covid-19 pandemic and persistent destruction to the global chain as China faces a renewed surge of the covid-19 pandemic. The fear that Russia may renege on its commitment to the black sea grain deal is also building expectations for the possible rise in the medium-term price level.
