Tag
NAIRA
Now that the exchange rate has appreciated, prices are not falling as quickly, resulting in what is known as price stickiness
A black market operator said the initial depreciation was caused by panic buying
The rapid depreciation of Nigeria’s local currency will likely cause inflation
Since the CBN announced that it was redesigning N200, N500 and N1000 notes, there has been a significant increase in the demand for dollars
Due to the surging cost of importing foreign used vehicles, dealers have reduced their orders even as the cost per unit of the vehicles has increased by almost 50%
This information is according to black market operators who spoke to Nairametrics
Market participants tend to protect themselves by preferring to hold dollars under high and persistent inflation environments
Buhari said he was convinced the economy stood to benefit from a reduction in inflation, currency counterfeiting, and excess cash in circulation
Nigeria it will seem is at an inflection point and to address its dollar needs, it will need to confront several obstacles most of which take time to be resolved
The International Monetary Fund (IMF) recently urged the Central Bank of Nigeria (CBN) to apply caution in its bid to redesign the naira to curb inflation
To ensure that their stash is not rendered illegal, many criminals and currency hoarders may rush to convert their naira to dollars
Nigerians have expressed mixed reactions to CBN's plan to circulate redesigned naira notes