Federal finance and statistics / Central Bank of Nigeria

Occasional Paper No.78: Inflation Forecasting in Nigeria: A Big Data Approach

This study seeks to capture the emerging public sentiments in the economy, using big data sources and machine learning methods to improve the predictive power of the existing short-term inflation forecasting model (STIF) in Nigeria. The STIF provides useful input to policies aimed at achieving the objectives of price stability and the overall soundness of the Nigerian economy. Findings show that public sentiments strongly correlate with the headline, core, and food measures of inflation. In addi | Keywords: Inflation Forecasting, Sentiments, Big Data