With weak disposable incomes and unavoidable increases in prices, the real sector has managed to survive another stress test. Unlike 2020 however, restrictions have been milder considering the effects on value-chain sectors that the manufacturing sector depends upon to drive consumption and improve sectoral GDP. While spending has been largely focused on food and essential commodities, food inflation has equally made it challenging for many households whose incomes have not witnessed any improvement. Indeed, the disparity between income and inflation has become wide, mounting pressure on how much can be defined as disposable spending. The Manufacturers Association of Nigeria (MAN), stated that manufacturers in the country have been groaning under multiple taxations from the three tiers of government.

Source: The Guardian December 29, 2021 03:14 UTC