NO DEVALUATION OF NAIRA – CBN

Abiodun OBA     |     

The Central bank of Nigeria (CBN) has emphasized that the federal government is not contemplating devaluation of the Naira.

In a release by Isaac Okorafor Director, Corporate Communications, CBN noted with displeasure the rumours and speculative activities of unscrupulous players in the foreign exchange market.

According to the CBN, the rumours were borne out of the impression that the CBN was on the verge of devaluing the Naira and triggering panic in the FX Market.

“These rumours are false, unwarranted and calculated to serve their dubious and selfish ends”, the bank noted.

The bank assured, that, it had begun a robust and coordinated investigation in collaboration with the Nigerian Financial Intelligence Unit (NFIU) and related agencies to uncover the unscrupulous persons and FX dealers who are creating this panic, and the full weight of our rules and regulations will be meted out to them, including, but not limited to, being charged for economic sabotage.

“For nearly four years, the CBN has successfully maintained relative stability in all segments of the foreign exchange market, which has enabled investors, households and other economic agents to plan and to conduct their genuine foreign exchange transactions with relative ease;

“Although the outbreak of the Coronavirus led to global economic slowdown, fall in the price of crude oil, and less inflow of dollars into Nigeria, the associated public health concerns have also led to factory closures in China, substantial drop in imports, widespread travel restrictions around the world, and cancellation of many conferences, sporting events, business travels, and FX orders;

“In light of current circumstances and macroeconomic fundamentals, the CBN has not devalued the Naira”, the bank assured.

Consequently, the CBN promised to invoke the full weight of applicable sanctions on any persons and authorized dealers found to be involved in such disruptive and speculative market behaviour. 

Edited by ‘Biodun Soyele

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