L
LequteMan
Guest
The continuous fall in the price of crude oil in the international market and the recent devaluation of the nation’s currency, the naira, are putting serious pressure on the economy, with the currency experiencing a free fall.
The naira exchanged for between 192 and 194 to the United States dollar at the parallel or street market on Friday. Earlier in the week, it sold for N188 against the dollar at the same market.
A financial analyst at Ecobank, Mr. Olukunle Ezun, said the real impact of the CBN’s Thursday circular would be far-reaching.
He said, “Looking at the fact that the Nigerian economy is mostly import dependent, if the naira is allowed to depreciate significantly, the impact is going to be on the goods being imported.
“I think the impact is quite huge on all imported goods, and if care is not taken, it can actually impact the inflation outlook. By and large, the cost of goods will go up and it can impact on the employment rate. We may start seeing downsizing or downgrading. The impact is going to be huge and that is why I believe the CBN will not allow the naira to weaken further.”
click here to read more
#Punch #Naira
The naira exchanged for between 192 and 194 to the United States dollar at the parallel or street market on Friday. Earlier in the week, it sold for N188 against the dollar at the same market.
A financial analyst at Ecobank, Mr. Olukunle Ezun, said the real impact of the CBN’s Thursday circular would be far-reaching.
He said, “Looking at the fact that the Nigerian economy is mostly import dependent, if the naira is allowed to depreciate significantly, the impact is going to be on the goods being imported.
“I think the impact is quite huge on all imported goods, and if care is not taken, it can actually impact the inflation outlook. By and large, the cost of goods will go up and it can impact on the employment rate. We may start seeing downsizing or downgrading. The impact is going to be huge and that is why I believe the CBN will not allow the naira to weaken further.”
click here to read more
#Punch #Naira
