The International Monetary Fund (IMF) boss, Ms. Christine Lagarde has tasked Nigeria to be more flexible in setting monetary policy, so it can use its foreign currency reserves to support the poor population if low oil prices persist.
Lagarde who is on the second day of a four-day trip to Nigeria and Cameroon said:
Clearly, the authorities should not deplete the reserves of the country simply because of rules that could be exceedingly rigid,” she said. “I’m not suggesting that rigidity be entirely removed, but some degree of flexibility will be helpful.
Lagarde’s comments comes a week after Buhari said:
Personally, I don’t support the devaluation of the Naira. We handed over a secured country in 1979, but by 1984, nobody knew how much Nigeria was owing. The situation now is aggravated by the downturn in the petroleum industry. It is now per barrel and we have debt service of about N1.5 trillion and we have commitment on the ground……I will not support devaluation of the Naira. I need to be convinced that there is need for the country to devalue the Naira. Is it against the dollar or pound?
The former French Finance Minister, would be meeting with Central Bank of Nigeria Governor Godwin Emefiele in the course of her visit.