The Africa Economist/Managing Director, Citi Bank, Mr. David Cowan has predicted a further devaluation of the naira, arguing that the value of the country’s external reserves is too low to sustain the defence of the currency.

Specifically, Cowan said the Central Bank of Nigeria would once more devalue the naira towards the end of the year. He stated this yesterday at the EuroFinance conference in Lagos

Responding to questions on the Nigerian economy, on the sidelines of the event, he said: "Nigeria built up a lot of savings for a rainy day, and then it ran those savings down in the last years. When it got hit by an oil price shock, it doesn't have much money that allows it to make a more gradual adjustment that is why the naira came under pressure.” External reserves stood a $29.031 billion as at Monday

Furthermore, he said: "The long term solution is to let the naira adjust. If you let the naira adjust, it will increase the amount of revenue going to the government which would help it control its fiscal spending. Yes it would push inflation in the short term but hopefully that should also drive a production response from the agriculture sector."

He also urged the new government to focus on power, pointing out that electricity has the potential to transform this country.


Source: http://www.thisdaylive.com/articles/-nigeria-s-forex-reserves-too-low-to-defend-the-naira-/212925/

Baba should do & retrieve our looted funds quickly, we can't continue like this.. Nigeria is not Zimbabwe or Somalia!!
Is there no respite in sight?

If they like let it be #1000 to a doller. Nonses

modath:

Baba should do & retrieve our looted funds quickly, we can't continue like this.. Nigeria is not Zimbabwe or Somalia!!
Is there no respite in sight?

"Fear is often an illusion" ~Michael Jordan. Don't worry my friend. We didn't come this far to fail. WE SHALL PREVAIL!!!

Dont worry, Baba will surely do the needful