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ABUJA, Oct 15 (Reuters) - Higher food prices helped push up
annual inflation in Nigeria last month after three consecutive
months of declines, the National Bureau of Statistics said on
Tuesday.
Nigerian inflation rose to 11.24% in September from 11.02%
in August, which was its lowest in almost four years. Inflation
had been falling steadily since May. The International Monetary Fund said last week that the
planned introduction of a sales tax to partly finance the
government's record 2020 budget and a new minimum wage could
help drive up inflation. Tuesday's data showed food price inflation, the main driver
of overall inflation rose to 13.51% in September from 13.17% a
month earlier.
In August, the government partially closed its western
border with Benin to curb rice smuggling which it says is
threatening attempts to boost domestic production.
The government wants Nigeria to be self-sufficient in rice
and has imposed import controls but these have kept prices high
and led to smuggling from Benin into Nigeria. Governor Godwin Emefiele has said the central bank will
maintain its tight monetary stance in 2019, and sees inflation
at 11.31%, rising to 12% this year before moderating.
Nigeria emerged from its first recession in 25 years in 2017
but growth remains fragile, although higher oil prices and
recent debt sales have helped the continent's biggest crude
producer to accrue billions of dollars in foreign reserves.
Inflation peaked at 18.7% in January 2018 and has been in
double digits for three years.