CBN Governor: Naira Grossly Undervalued

Mr. Yemi Cardoso, the Governor of the Central Bank of Nigeria (CBN), has declared that the Naira is significantly undervalued during the presentation of a communiqué from the apex bank’s Monetary Policy Committee (MPC) meeting.

Cardoso highlighted challenges faced by the foreign exchange market, citing distortions and manipulations that necessitate investigation.

He emphasized the need for liquidity and minimal distortion in the forex market, mentioning recent efforts to attract liquidity and crack down on malpractices. Cardoso also discussed the shift away from intervention programs like the Anchor Borrowers Programme, which were deemed time-consuming and counterproductive.

The MPC, under Cardoso’s leadership, announced aggressive tightening measures, including a significant increase in the benchmark interest rate and adjustments to other policy rates.

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