Many analysts’ predictions that the value of Naira could drop further in the second quarter is becoming a reality, IgbereTV reports
On Thursday, at the Investors and Exporters forex window, the naira once again depreciated to the US dollar by 0.28 percent to close at N419.50 as against N418.33 on Wednesday.
FMDQ data shows that most currency dealers maintained bids between N410.00 and N444.00 per dollar.
The poor performance of Nigerian currency occured as Godwin Emefiele, governor of CBN at the ongoing 2022 Spring Meetings of the International Monetary Fund/World Bank Group defended Nigeria’s forex policies.
According to him, Nigeria is operating a float exchange rate regime.
‘What that means is that we cannot go on with what is proposed as a free float of the currency,” he said, adding that doing so would make the exchange rate spiral “as long as demand surpasses supply.”
His response is coming on the heels of World Bank president David Malpass’ criticisms of Nigeria’s exchange rate policies which include keeping the Naira too high than its real value
