The Federal Competition and Consumer Protection Commission (FCCPC) of Nigeria has announced plans to combat soaring prices despite the recent strengthening of the naira. Expressing concerns over potential market exploitation, the FCCPC signaled its intention to address the issue through various measures, despite its inability to directly regulate prices.
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In a statement issued on Wednesday, the commission highlighted its commitment to shielding consumers from unjustifiable price hikes, noting that despite the naira’s recent appreciation, the cost of goods continues to surge without a corresponding decrease. This disparity, deemed unacceptable by the FCCPC, underscores the need for protective measures.
The FCCPC’s warning coincided with the release of official data revealing a sharp increase in Nigeria’s annual inflation rate, reaching 33.2% in March, marking a 28-year high. Notably, the data has yet to reflect the recent strengthening of the national currency. Since mid-March, the naira has experienced a remarkable reversal, appreciating by approximately 40% against the dollar, making it the world’s top-performing currency among those tracked by Bloomberg, following a 43% devaluation earlier in the year.
To address the persistent price escalation, the FCCPC outlined a series of proactive steps, including heightened monitoring and investigation of abnormal price hikes, addressing consumer grievances, and taking stringent action against entities involved in anti-competitive practices such as price-fixing, price gouging, or cartel formation.
The commission emphasized its directive to intensify surveillance across both formal and informal markets, where businesses may exploit market conditions to unfairly inflate prices. Additionally, the FCCPC pledged to bolster enforcement efforts to ensure compliance with regulations and safeguard consumers from economic exploitation.
