• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Business News

Flashback: What Emefiele Said When He Devalued The Naira Under GEJ

Nairametrics by Nairametrics
February 15, 2016
in Business News, Currencies
CBN Gov Godiwn Emefiele
Share on FacebookShare on TwitterShare on Linkedin

The Governor of the Central Bank has vehemently refused to devalue the naira claiming that the black market rates represents a tiny fraction of the market and should not be relied upon as a benchmark for the real value of the Naira.

For those who have just started following the CBN Governor’s snarls about calls to devalue, you might be allowed to believe this has always been his position. The Governor devalued the naira twice in November of 2014 and in January 2015. The reasons he gave back then for agreeing to devalue is quite astonishing considering that things haven’t actually improved.

First was what he said in the monetary policy communique of the CBN’s monetary policy meeting of November 2014.

RelatedStories

Sterling Bank concludes core application migration, leads the way for African Banking

Sterling Bank to raise $400 million via debt and equity instruments to strengthen growth capacity and balance sheet 

July 15, 2025
Doctors

South-West doctors threaten strike over unfavorable allowances, issue 21-day ultimatum to FG

July 15, 2025

Further pressure on the external reserves and domestic monetary policy is due to the US Fed’s decision to normalize its monetary policy by stopping the massive injection of liquidity into the global economy. The resultant repatriation of capital from domestic economy particularly with relatively moderate level of market rates intensifies the pressure on the domestic currency and the external reserves. With the CBN’s ability to defend the naira and sustain the stability of the naira exchange rate being constrained by the depleting reserves, a widening arbitrage premium opened up at the foreign exchange market between the rDAS exchange rate and the rates in the other segments

The above scenario at the time bears a striking similarity to what currently obtains. The external reserves is under pressure, there is huge arbitrage opportunity as the difference between the official and parallel market rate continues to widen.

Here is how he outlined his decision to devalue;

A gradual realignment of the official rDAS exchange rate with the rates in the other segments, reduces the currently attractive premium and discourages arbitrage tendencies in the market; and A lower value of the naira would also make Nigerian exports cheaper, which should encourage other countries to buy more Nigerian goods with a potential for increased job creation in the domestic economy

At the bankers committee meeting soon afterwards he had this to say;

“As we know, one of the bank’s major mandates is to ensure price stability and we believe that without complementary policy actions, developments in the foreign exchange market would reverse the fragile gains we have recorded recently in our fight against inflation,”

For many analysts with insider knowledge they opine that economic polices are currently being dictated by the President rather than the CBN. If he had the level of freedom he had under GEJ,  he probably would have devalued long ago,

Nairametrics

Nairametrics

Nairametrics is Nigeria's top business news and financial analysis website. We focus on providing resources that help small businesses and retail investors make better investing decisions. Nairametrics is updated daily by a team of professionals. Post updated as "Nairametrics" are published by our Editorial Board.

Related Posts

Sterling Bank concludes core application migration, leads the way for African Banking
Company News

Sterling Bank to raise $400 million via debt and equity instruments to strengthen growth capacity and balance sheet 

July 15, 2025
Doctors
Health

South-West doctors threaten strike over unfavorable allowances, issue 21-day ultimatum to FG

July 15, 2025
Small Business
Business News

15 things you don’t need to start a business in Nigeria 

July 15, 2025
NNPC, Akwa Ibom, GACN sign $3.5 billion gas agreement
Corporate deals

NNPC, Akwa Ibom, GACN sign $3.5 billion gas agreement

July 15, 2025
Key policies that shaped Nigeria’s tech industry under Buhari’s 8-year rule 
Spotlight

Key policies that shaped Nigeria’s tech industry under Buhari’s 8-year rule 

July 15, 2025
Investments
Financial Literacy

Investing in a volatile world: Strategies for Gen Zs, millennials, and retirees

July 15, 2025
Next Post
NSE: Market Capitalisation Records N46bn Boost‏

List Of Best And Worst Stocks In Nigeria Last Week

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Emple
nlng
first bank








DUNS

Recent News

  • Sterling Bank to raise $400 million via debt and equity instruments to strengthen growth capacity and balance sheet 
  • South-West doctors threaten strike over unfavorable allowances, issue 21-day ultimatum to FG
  • 15 things you don’t need to start a business in Nigeria 

Follow us on social media:

Recent News

Sterling Bank concludes core application migration, leads the way for African Banking

Sterling Bank to raise $400 million via debt and equity instruments to strengthen growth capacity and balance sheet 

July 15, 2025
Doctors

South-West doctors threaten strike over unfavorable allowances, issue 21-day ultimatum to FG

July 15, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics