THE Federal government has threatened to impose strict regulatory measures on traders who “unfairly inflate prices” of goods and commodities.
The government, through its agency, the Federal Competition and Consumer Protection Commission (FCCPC), expressed concern that, despite the recent appreciation of the Naira against the dollar, consumers continue to face rising costs with no corresponding decrease in the prices of goods and commodities.
“This situation is unacceptable, and the FCCPC is committed to protecting consumers from exploitation,” the Commission’s chief Adamu Abdullahi said in a statement today.
“The FCCPC understands the significant financial strain these rising prices are placing on Nigerian households. As a result, the Commission is taking proactive steps to address this issue.
“While the FCCPC cannot directly regulate prices, the Commission will utilise its existing legal framework to enforce fair competition and consumer protection provisions.
“This includes monitoring and investigating unusual price hikes, addressing complaints filed by consumers, and taking action against any businesses found to be engaging in anti-competitive practices such as price-fixing, price gouging or cartel formation.”
The Commission said its operatives have been directed to intensify monitoring of both formal and informal markets, where businesses may be taking advantage of market conditions to unfairly inflate prices, and ramp up enforcement activities.
“The operatives will be working collaboratively with trade associations, farmer groups, and other stakeholders to identify and remove unnecessary barriers to entry in various sectors, combat price-fixing, and dismantle cartels. This will encourage increased competition, ultimately leading to lower prices for consumers.”
Meanwhile, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has stated that the Nigerian economy is improving as the new administration’s measures have begun to reduce food inflation.
The minister stated this yesterday while speaking virtually from Washington, DC, where he is attending the IMF-World Bank Spring Meetings.
In recent weeks, the prices for food and basic necessities have skyrocketed leaving Nigerians to grapple with one of the country’s most severe economic crises, triggered by the present government’s twin policies of removing petrol subsidies and unifying FX windows.
The National Bureau of Statistics (NBS)’s Consumer Price Index (CPI) data released on Monday showed that food inflation in March 2024 was 3.62%, down 0.17% from February 2024, when it was 3.79%.
Despite the NBS’s drop, many Nigerians have complained that the reduction has not been reflected in the cost of basic food staples like as garri, millet, yam, and bread, as well as electricity and housing prices.
Though the naira has risen against the dollar by more than 40% in recent weeks, from approximately N1,900/$ to about N1,100/$1, the March 2024 inflation rate was 33.20%, with the interest rate at 24.75%.
