The Governor of the Central Bank of Nigeria (CBN) Mr. Olayemi Cardoso, said yesterday that the apex bank is not defending the Naira with the nation’s foreign reserves.

He was speaking against the backdrop of the recent decline in Nigeria’s foreign reserves corresponding with massive appreciation of the Naira in the foreign exchange market (forex), fueling speculations that the apex bank pumped forex into the market to dwarf demand pressure and shore up the value of the local currency.

Speaking at the on-going Spring Meetings of the IMF the World Bank, Cardoso said that his team at the apex bank is determined to nurse a foreign exchange market

The Governor of the Central Bank of Nigeria (CBN) Mr. Olayemi Cardoso, said yesterday that the apex bank is not defending the Naira with the nation’s foreign reserves.



He was speaking against the backdrop of the recent decline in Nigeria’s foreign reserves corresponding with massive appreciation of the Naira in the foreign exchange market (forex), fueling speculations that the apex bank pumped forex into the market to dwarf demand pressure and shore up the value of the local currency.



Speaking at the on-going Spring Meetings of the IMF the World Bank, Cardoso said that his team at the apex bank is determined to nurse a foreign exchange market ruled by the principle of willing buyers-willing seller.


He also said that Ways and Means (federal government borrowings from CBN) is no longer an issue, particularly after the fiscal authorities securitised the outstanding.

His words, “Defending the Naira, from every indication is an elephant in some rooms. I will make this as clear as possible. It is not our intention to defend the Naira. Much as I have read in the recent few days some opinions about what has happened in terms of our reserves being drawn down, the CBN Defending the Naira, if you take your mind to our philosophy and policy, you will see it will be counter intuitive. We

CBN not using foreign reserves to defend Naira — Cardoso
CBN reduces banks' Loan to Deposit Ratio to 50%

By Emma Ujah, Washington DC

The Governor of the Central Bank of Nigeria (CBN) Mr. Olayemi Cardoso, said yesterday that the apex bank is not defending the Naira with the nation’s foreign reserves.



He was speaking against the backdrop of the recent decline in Nigeria’s foreign reserves corresponding with massive appreciation of the Naira in the foreign exchange market (forex), fueling speculations that the apex bank pumped forex into the market to dwarf demand pressure and shore up the value of the local currency.



Speaking at the on-going Spring Meetings of the IMF the World Bank, Cardoso said that his team at the apex bank is determined to nurse a foreign exchange market ruled by the principle of willing buyers-willing seller.


He also said that Ways and Means (federal government borrowings from CBN) is no longer an issue, particularly after the fiscal authorities securitised the outstanding.

His words, “Defending the Naira, from every indication is an elephant in some rooms. I will make this as clear as possible. It is not our intention to defend the Naira. Much as I have read in the recent few days some opinions about what has happened in terms of our reserves being drawn down, the CBN Defending the Naira, if you take your mind to our philosophy and policy, you will see it will be counter intuitive. We want the Naira to perform independently as long as we have a vibrant forex market.


“Initially we needed to keep the BDCs going. So it is important for people to get forex for school fees, travels and the like.

Why reserves shifted

“The shift you see in our reserve is not to defend the Naira but for things like settling obligations that fell due. Mind you, that is the reason for keeping foreign reserves, in the first place.”

Cardoso also said that his team is cooperating with the fiscal authorities and that, “Ways and Means is no longer an issue.

He said, “Let me be upfront in saying that the monetary policy is only one side. It is very clear to us that we need to have a very good handshake with the fiscal authorities.

https://www.vanguardngr.com/2024/04/cbn-not-using-foreign-reserves-to-defend-naira-cardoso/

So you're using tinubu's urine??


Why is our foreign reserve depleting Do you think we're all agbadorians that don't think for themselves and believe and defend every lies coming from you all thieves looting the country??

Why did you float the naira in the first place

They worst thing about propaganda is that you need a thousand propaganda to back it up. And yet the truth will still surface..

Cindypresh:

So you're using tinubu's urine??


Why is our foreign reserve depleting Do you think we're all agbadorians that don't think for themselves and believe and defend every lies coming from you all thieves looting the country??

Why did you float the naira in the first place

The same hatred and bitterness that killed those before you is drying you fast to early grave

See ipob comment on Nigeria matter above

We know. We also know the obidients AKA IPOB agenda.

Nigeria is working and a particular tribe is mad.

Cindypresh:

So you're using tinubu's urine??


Why is our foreign reserve depleting Do you think we're all agbadorians that don't think for themselves and believe and defend every lies coming from you all thieves looting the country??

Why did you float the naira in the first place

How can you constantly wish evil on a country you are part of?

Everything they ever deny or defend is truth. Always believe the irony of whatever APC tells you. They are chronic shameless and irredeemable liars.

alanto:

How can you constantly wish evil on a country you are part of?

Why do you always support evil government destroying the country you are part of

So what have you been using?

Cos that's the only sensible the explanation for now.

WorldRichest:
The same hatred and bitterness that killed those before you is drying you fast to early grave

alanto:

How can you constantly wish evil on a country you are part of?

^^^


This thread would have been a great opportunity to at least try explaining some of the administration's monetary policies. You could have countered the posters you quoted - with a proper argument and evidence (if you have any) of where the CBN and the BAT administration are going with their reserves management policies.

You chose this rubbish instead.

Na so

The interesting part about this government is they always communicate regularly to Nigerians so that they can know what they are up to.

Naira wasn't defended, so many factors come into play.

The naming of terrorists sponsor ( They deal mostly with dollar)

Stopping the back door of obtaining dollar
from CBN by the BDC operators .

Sacking Binance the currency manipulator away from Nigeria. They have been sacked in different countries for same offense.

Why won't Naira gain strength with the listed above?

Fujiyama, this could help

helinues:
Na so

The interesting part about this government is they always communicate regularly to Nigerians so that they can know what they are up to.

^^^
Not quite accurate.

I would rate this administration 3/10 on information management. I sympathize with them because it really is hard to defend bad policy and serial errors - but that's nobody's fault but the administration's. Get the policies right and they become a lot easier to sell.

helinues:
Naira wasn't defended, so many factors come into play.

^^^

Currency defence without sound macro fundamentals is like pregnancy - it is near impossible to hide the results. Time will tell.

helinues:
The naming of terrorists sponsor ( They deal mostly with dollar)

^^^
They have been identified. What next? Does it end there?

helinues:
Stopping the back door of obtaining dollar from CBN by the BDC operators .

^^^
Ok

Fair enough

Insensitive.

Always belive the opposite of what APC says because they're always lying.