LCCI Warns Nigerian Businesses to Prepare for Tougher Challenges in 2025
- The LCCI has sent a message to business owners to brace for a tougher 2025 due to expected CBN policies
- The chamber stated that the CBN's monetary policy of higher interest rates for 2025 comes as inflation continues to rise
- LCCI said there is a need for increased oil production, improved regulatory support, and sustained reforms to stabilise the naira
Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The Lagos Chamber of Commerce and Industry (LCCI) has cautioned Nigerian businesses to prepare for a challenging year ahead.
The chamber noted the likelihood of higher interest rates worsening the economic environment.
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A statement signed by Chinyere Almona, the LCCI’s director-general, highlighted the impact of the country’s 28-year inflation high, which reached 34.60% in November, on business operations.
Almona said:
“The persistent rise in the inflation rate, reaching a 28-year record high of 34.60% in November, continues to fuel a tense business environment as elevated prices constrain various business operations."
She added that the anticipated outcome of the following Central Bank of Nigeria (CBN) Monetary Policy Committee (MPC) meeting is an increase in interest rates, further compounding the challenges businesses face.
She warned.
“With the raging inflation rate, the unsuccessful attempt of the Central Bank to reduce the currency in circulation, and approaching a high-spending festive period, we are set to contend with even higher interest rates as the expected outcome from the next decisions by the CBN MPC."
What Nigerians should expect?
The Cable reports Almona noted that high inflation has far-reaching implications, including diminished consumer spending, reduced disposable income, higher business costs, and a discouraging investment climate.
These factors, she said, ultimately threaten economic growth.
The director-general emphasized the need for a coordinated effort to boost oil production, ensuring increased forex earnings to support the naira in the short term.
“The new investments recently entering the oil fields can be well supported with a sound regulatory environment to sustain and attract more."
LCCI proposes solution to make fuel cheaper
Earlier, Legit.ng reported that the Lagos Chamber of Commerce and Industry (LCCI) offered crude oil to local refiners at an exchange rate of N1,000 per dollar.
According to LCCI, the move will help address the surging fuel prices at filling stations across Nigeria.
LCCI stressed in a statement that the naira for crude oil supplied would reduce petrol prices at the pump.
Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng
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