Local production can bail Naira out of pressure

Nigerians are bothered at the unending depreciation of their legal tender, the Naira. The currency exchanged at N197 to a dollar in June 2015, but now exchanges at above N400.
The Central Bank of Nigeria (CBN), recently devalued the Naira by seven per cent against the dollar, in a bid to migrate towards a single exchange rate system for the local currency.
The apex bank replaced the fixed rate of 379 Naira to a dollar used for official transactions with the investors and exporters (I&E) exchange rate, also known as the Nigerian Autonomous Foreign Exchange (NAFEX) rate of 410.25 Naira per dollar.
CBN Governor, Godwin Emefiele, said that the move was informed by the apex bank’s quest for sanity in the forex market.
“We found out that we were no longer dealing in this so-called CBN official rate for transactions, we are still running a managed-float.
“We are monitoring the market and seeing what is happening for us to ensure that the right things are happening for the good of the Nigerian economy,” he said.
Findings revealed that Bureau De Change (BDC) operators got the dollar from the CBN at N393 but sold it for N494…………TO CONTINUE READING CLICK ONhttps://thefreezonechannel.com/local-production-can-bail-naira-out-of-pressure/



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