LEADERSHIP
As prices of goods and services continue to rise, Nigerians are spending their savings and getting into debt although many are optimistic Respondents were however optimistic of improved economic conditions and increased income over the next six months.
According to the Central Bank of Nigeria (CBN) Household Expectations Survey for July which measures consumers expectations, overall outlook of consumers in July 2024 was downbeat, as consumers anticipated drawing down on their savings or getting into debt.
The report which was conducted during the period of July 22-26, 2024, with a response rate of 99.7 percent from a 1,665 sample size, showed that on average, more households expect increased expenditure on basic commodities and service across all periods under review.
Majority of consumers believed that the review period would not be an ideal time to purchase big ticket items like Consumer Durables, Motor Vehicles, and Buildings & Landed Properties. Similarly they expect the Naira to depreciate, while borrowing rate, inflation rate and unemployment rate will rise in the current month.
The respondent households also believed that the economy would end up weaker rather than stronger if prices started to rise faster than they do now. Given a trade-off between Inflation and Interest Rate, the majority of respondents would prefer lower Interest Rates.
