Bundles of naira (file photo)
‘The development came just two weeks after President Bola Tinubu vowed to unify the exchange rates and remove fuel subsidy in his inauguration speech on May 29, 2023’
More troubles for poor Nigerians as the national currenty – Naira – hits N755 per dollar from N730 at the Investors and Exporters (I&E) window on Wednesday.
The latest fall is said to be caused by the Central Bank of Nigeria’s (CBN) order to Deposit Money Banks to freely float the naira against the dollar and other international currencies despite oil subsidy removal.
Although the apex bank is yet to release an official statement on the matter, bankers and customers who traded in Foreign Exchange on Wednesday confirmed to Channels Television that the naira now trades between N730 and N750.
The development came just two weeks after President Bola Tinubu vowed to unify the exchange rates and remove fuel subsidy in his inauguration speech on May 29, 2023.
“Monetary policy needs a thorough housecleaning. The Central Bank must work towards a unified exchange rate,” the President had said, stressing, “This will direct funds away from arbitrage into meaningful investment in the plant, equipment, and jobs that power the real economy.”
The development is also in spite of the denial by the apex bank on June 1, 2023 that it had not devalued the naira to about N630 to a dollar.
Also, the development trailed the suspension of the Godwin Emefiele as the CBN Governor last Friday and his arrest by the Department of State Services on Saturday.
With the development, buyers and sellers of foreign currency in the official FX market are allowed to quote their preferred rates, as against previous practice where CBN dictate rates.