The governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso has stated that CBN will aid measures to improve the country’s external reserves, and that includes the proposed Eurobond issue by the Federal Government...READ THE FULL STORY HERE▶
He made the statement on Tuesday, 25th June, 2024 during an interview with Bloomberg TV.
Cardoso said: “We should have a diversity of sources. It shouldn’t just be the eurobond market, it shouldn’t just be foreign portfolio investors, it should be a hodgepodge of different things.”
He continued that the apex bank is “relatively pleased” with the progress it has made in making the naira stable and believes the excessive volatility may be a thing of the past.
Cardoso said: “I do believe that we have more or less seen the worst in terms of volatility.
“We are also very alive to observing the way and manner in which that market operates and ensuring that it gives the best value that that can be accomplished using certain tools.”
He added that for investors to want to do business in Nigeria, it is essential that they are able to have confidence in the Nigerian currency.
“Based on the purchasing power parity model, the naira is currently valued at 900 naira levels, which is far less than the current market price.
“We’re relatively pleased with where we are.
“It’s continuous work in progress. And we will do everything possible to ensure that we continue to manage the macroeconomic fundamentals that affect that,” Cardoso said.
The naira has been trading in a narrow range between N1,473 and N1,490 per dollar this month. It fell 0.3% to 1,492.71 to the dollar on Tuesday.
