By Chinyere Anyanwu
Dumebi Oluwole, a leading voice in Nigeria’s economic landscape, has noted that the root causes of inflation in Nigeria are complex and multifaceted and require a comprehensive approach to address.
Oluwole, currently the Team Lead of the Country Risk Team at Stears, recently called on Nigeria’s policymakers to take a holistic approach to addressing inflation.
“This includes investing in improving agricultural productivity by solving long-term structural issues like insecurity and poor storage facilities to address food quality, affordability and access challenges.
“By doing so, we can enhance food security and promote economic diversification, gradually reducing the country’s reliance on imports, vulnerability to external factors and promoting sustainable economic growth,” she said.
Oluwole further stated that Nigeria’s inflation is much more structural, requiring strong fiscal efforts to curtail price pressures that stem primarily from food, which accounts for over 30 per cent of items in the inflation basket.
The economist said that a proactive approach to addressig the inflation problem is by aggressively tackling insecurity in all its forms, as that has become the foremost concern aggravating food inflation, leading to spike in prices.
“The nation needs to focus on securing farms and farmers to improve the food supply, as monetary policy measures will solely support signalling and boosting investor confidence, a path the Central Bank of Nigeria (CBN) has embarked on since mid-2023, she said.
Oluwole further emphasised the need for subnationals to harness more agricultural resources and improve value addition, noting that over 40 per cent of Nigerian states have peculiar food items they can produce and scale to enhance nationwide food supply, effectively supporting output in the North and middle-belt region. Beyond spreading food security risks, it increases food self-sufficiency and job creation, attracts long-term capital, and fosters industrialisation efforts, Oluwole noted.
Commending the federal gaovernment for the recent purchase of 2,000 tractors and other agricultural equipment, Oluwole advised the government to take it further by working with stakeholders, including relevant MDAs, regulators and private sector players to develop policies that promote economic growth, stability, and prosperity for all Nigerians.
She advocates strategically supporting SMEs, which account for over 30 per cent of the nation’s GDP and employ over 80 per cent of the population. Targeted investments down the agricultural and food supply chain, like cold storage, food production, R&D food technology and logistics, will be strong and effective developments.
She further advocated for the inherent use of data among stakeholders to provide the additional nuance and context to make data-driven investment, policy and business decisions in tackling the food security problem.
“Data will show us the what and where, pointing us to the best approach for solving the multifaceted inflation and structural growth issues. Data analysis is critical to understanding the Nigerian economy. By analysing data, we can identify trends, patterns and correlations that can inform policy decisions and drive economic growth,” she emphasised.
Oluwole’s work at Stears has been instrumental in shaping policy debates and national strategy, with her insights drawing widespread attention in the press, from local business news to international outlets.
Her data-driven approach to economic analysis, ability to interpret complex economic data and provide actionable insights have made her an expert for policymakers, businesses and media.
Oluwole’s work has been instrumental in shaping policy debates in Nigeria. Her macroeconomic research, forecasts, FX policy, trade and agriculture outlooks have provided critical insights for policymakers, businesses and investors.