Economic and Financial Review


Central Bank of Nigeria


Price stability, Monetary policy, Central banks, Inflation, Nigeria, Structural inflation dynamics


This study examines the dynamics of inflation in Nigeria, including the structural evolution as well as the direction of its movement with a view to designing appropriate policy measures to rein in the inflationary pressures. The study utilized quarterly data from 1970(1) to 2013 (4) except for Bureau de Change (BDC) premium where the duration was 1991(1) to 2013 (4) based on Auto Regressive Distributed Lag (ARDL) model. The results show that structural factors like budget deficit, rainfall, variation in export, exchange rate premium have profound influence on movement in CPI in Nigeria during the period.

Author Bio

The Authors are staff of the Monetary Policy Department, Central Bank of Nigeria. Odonye, Osana J. (Assistant Director), Odeniran, Samson O. (Principal Manager), Oduyemi, Adebayo O. (Economist 1), Olaoye, O.J, (Economist), Ajayi, Kayode J. (Assistant Economist).The usual disclaimer applies.

Publication Title

CBN Economic and Financial Review





Recommended Citation

Odonye, O. J.,Odeniran, S. O.,Oduyemi, A. O., Olaoye, O. J. & Ajayi, K. J. (2014). An examination of the structural inflation dynamics in Nigeria. CBN Economic and Financial Review, 52(1), 65-86



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