[b] Category: Business Published
on Wednesday, 28 January
2015 05:00 Written by Chris
Agabi, Lagos Hits: 201
In spite of the fall in oil prices
and sustained fall of the Naira
to the dollar for about two
months and counting, the
Central Bank Nigeria (CBN)
has told Nigerians and
investors not to panic as
Nigeria’s reserve are still
healthy enough to support
imports.
The CBN also pledged
henceforth, it will support
more of local production of
goods rather than financing
imports. The CBN governor,
Mr. Godwin Emefiele, gave
the assurance yesterday in
Lagos at a special interactive
session with economic
stakeholders.
The special session had the
theme: The Nigerian economy
in 2015: A review of recent
developments in oil price and
Nigeria’s foreign exchange
market.
He said Nigeria’s current
foreign reserve of $34 billion
is sufficient to finance
imports for a while thus there
is no need for panic by
importers and other forex
users.
He cautioned those engaged
in speculative foreign reserve
acquisition, saying they
would eventually lose huge
monies if they don’t stop
speculating.
He agreed that it is healthy
for stakeholders to be worried
about Nigeria’s economic
situation but there is nothing
to panic about.
Mr. Emefiele also expressed
optimism that Nigeria will still
grow at the projected 5.4
percent in 2015.
The CBN governor also ruled
out the possibility of allowing
the Naira’s value to be
determined by the forces of
demand and supply saying
the CBN will continue to
defend the naira with the
current weak export capability
of Nigeria.
Henceforth he said, the CBN
will not give foreign exchange
to frivolous imports to reduce
pressure on Nigeria’s foreign
reserve so the economy can
grow.[/b]