The Central Bank of Nigeria has highlighted some of the factors pushing up inflation rate across the globe, citing the ongoing war between Russia and Ukraine as one of the major factors.
The acting Governor of the CBN, Folashodun Shonubi, who was represented by apex bank’s deputy governor, Economic Policy, Kingsley Obiorah stated this at the 2023 Zenith Bank International Trade Seminar.
“We know that the war between Russia and Ukraine is contributing a lot as the two countries are very important commodity exporters. Both of them account for 30 per cent of sunflower exports in the world. So, when such a region is at war, you know what will happen to food prices worldwide.
“We know too that there’s been a shift in demand from goods to services; services are usually more expensive. There’s also the disruption going on in China today with their zero COVID policy, power cuts as we know, and then the switch from coal to more renewable energy has also meant that power is not as valuable as it used to be.
“We see too in China today some correction in the property market. A lot of Chinese don’t have quite the kind of investment vehicles that say the average American has.
“A lot of them have put their savings into property. But that has meant an oversupply of property in China today. There are 65 million empty apartments in China.
