CBN Governor Urges Nigerians to Reduce Demand for Foreign Currency and Imported Goods

The Governor of Central Bank of Nigeria (CBN), Olayemi Cardoso, has urged Nigerians to reduce their demand for dollar and consumption of foreign goods, in order to stop the free fall of Naira.

He made this known while speaking at an event in Abuja, on Friday, February 9. Cardozo said without reducing demands on USD, the CBN has no magic wand to get Naira stabilised.

He said, “The Nigerian foreign exchange market is currently facing increased demand pressures, causing a continuous decline in the value of the naira. Factors contributing to this situation include speculative forex demand, inadequate forex supply increased capital outflows, and excess liquidity.

“Our measures aimed at improving USD supply into the Nigerian economy, has significant potential in taming the volatility of the exchange rates. However, for these measures to be sustainable, we must as a country, moderate our demand for FX.

“It is also clear that the task of stabilizing the exchange rate, while an official mandate of the CBN, would necessitate efforts beyond the Bank itself. It will also include actions by corporates and individuals to reduce our frequent demand for the dollar for business and personal needs.”

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