The sharp depreciation came a day after the Central Bank of Nigeria devalued the naira at the official market to N410.25/$.
He said: “Now that it appears settled we should expect a crawling peg method and an increase in forex supply to ensure equilibrium in the market. That notwithstanding, the CBN’s attempt to mop up excess liquidity could serve as a temporary antidote to consumer price inflation which still remains stubbornly high .”
According to the IMF, restrictions on access to foreign exchange for certain categories of goods and multiple exchange rates create distortions in both private and public sectors decision making. They discourage long-term investment, encourage smuggling and provide avenues for corruption. According to the IMF, foreign exchange backlog and shortages are intensifying Balance of Payment pressures insisting that exchange rate unification was imperative to reduce BoP risks.
Wahala for who no get dollar
I thought it got to N500 yesterday.