LCCI Warns Insecurity, Global Conflicts Could Spike Food Prices
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| Market food prices |
The Lagos Chamber of Commerce and Industry (LCCI) has cautioned that ongoing domestic insecurity and escalating global tensions may drive up food prices, despite the recent dip in Nigeria’s overall inflation rate.
Reacting to the May 2025 inflation figure of 22.97%, released by the National Bureau of Statistics (NBS), LCCI Director-General Dr. Chinyere Almona described the decline from 23.71% in April as a positive but fragile development.
She credited the marginal improvement to the Central Bank of Nigeria’s monetary tightening, including interest rate hikes and liquidity management strategies.
Risks to Food Supply Remain High
Dr. Almona warned that the gains could be short-lived due to several looming threats:
Rising herder-farmer conflicts in the Middle Belt
Flooding, which threatens this year’s harvest
Middle East tensions and the stalemate in Russia-Ukraine ceasefire talks, which could disrupt global supply chains
Soaring oil prices, potentially increasing the cost of importing fuel and essential goods
“These shocks could reduce food availability and push up prices, worsening food inflation—especially in Q3 and Q4 of 2025,” she said.
Call for Coordinated Government Action
The LCCI boss urged the federal government to take decisive action on:
Combating insecurity
Investing in climate-resilient agriculture and infrastructure
Strengthening fiscal and monetary coordination
Accelerating reforms in the oil and gas sector, which had previously helped slow fuel-driven inflation
Dr. Almona concluded that sustaining economic stability requires inclusive policies that address both local production challenges and external global shocks.
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