The Governor of the Central Bank of Nigeria, CBN, Malam Sanusi Lamido Sanusi, has affirmed that he would not devalue the nation’s currency – the Naira, saying he would rather use the nation’s foreign reserves, which currently stands at $45.27 billion to stabilize the Naira.
Briefing newsmen at the end of the Monetary Policy Committee (MPC) meeting in Abuja, yesterday, Sanusi said that the argument of those pushing for the devaluation of the Naira did not hold water economically especially in an import-dependent country like Nigeria.
The CBN Governor insisted that the CBN would stick to its position unless forced to do otherwise.
His words, “as far as the Naira is concerned, the CBN has always said that we are committed to its stability. I know there are some people who don’t share that view. But I have not personally heard any economically valid argument as to the benefits of devaluating the Naira up to this point in time.
“It will not improve our export nor reduce our imports into the country. It will not improve our fortunes as long as our structural reforms have not been implemented.
“My view and the view of the CBN is that if we will have to use some of our reserves to support the currency, we will. No central bank governor will say that he will not support the currency but we want to be very clear in our minds and to the public that there is no country in the world that will allow its currency to be determined by the market.
“Certainly, the currency is neither over-valued nor under-valued. We are not looking for a stronger currency nor a weaker one. We just want an anchor of expectations: people want to pay school fees; people want to import raw materials; investors want to be able to predict the returns they would have on their investments; and we think ultimately that it is more important than having a reserve at $50 billion or $40 billion.
“We will use the reserves and the interest rates and I believe we have gone through the most difficult period. Hopefully the next months will not be as difficult as the last one or two. We expect that the Naira will be maintained within our target band but the message is that we are committed to the stability of the exchange rate and we will not, unless we are forced, to allow the Naira to weaken. I think I should make that very clear.”
The CBN boss noted the decline in external reserves to the current $45.27 billion but was quick to add that it was better than the $41.19 billion recorded during the same period last year September ending.
According to him, “the Committee (MPC) noted that this level of accretion is too low given the relatively high price of crude oil and further underscores the need for much-needed reform of the oil sector”, and said measures would be taken to address the unbridled demand for dollar in the foreign exchange market.
Malam Sanusi explained a correlation between the high demand for dollars and money laundering, saying new policy measures would soon be announced by the apex bank.
He, however, refused to disclose what the measures would be despite attempts by newsmen to get him to reveal the details.
He lamented that, “Nigeria has become the largest importer of the U S Dollar in the whole world and said that only a firm policy against the dollarization of the Nigerian economy could save the situation.”
The CBN Governor announced that the Monetary Policy Rate, MPR, was retained at 12.0 per cent with a symmetric corridor of 200 basis point around the MPR by the MPC.
His words, “the Committee noted that the actions taken at the last MPC have served the purpose of helping the naira avoid the fate of other developing country’s currencies by keeping it relatively stable. It also noted the continued moderation in inflation and the benign outlook for the next six months.
“The Committee decided by a vote of 11 members to hold the MPR at 12.0 per cent. One member voted to reduce the MPR by 50 basis points. 11 members voted to retain the symmetric corridor of 200 basis points around the MPR while one member voted for an asymmetric corridor of 200 basis points above the MPR and 400 basis points below the MPR. All members voted to retain the 50.0 per cent Cash Reserve Requirement (CRR) on public sector funds, and 12.0 per cent CRR on private sector deposits.”
Nigeria’s Communications Minister, Isa Pantami, Loses 13-year-old Daughter
Minister of Communications and Digital Economy, Isa Ali Pantami, has announced the loss of his 13-year-old daughter, Aishah Isa Ali.
The Minister took to his Twitter account on Monday night to announce this sad news.
Pantami stated that the funeral prayer for the deceased will be conducted in Abuja on Tuesday at Annur Masjeed, Wuse 2.
The post by the minister announcing the incident reads; “Inna lil Laahi wa inna ilaiHi Rajiun! My 13-year old daughter, Aishah Isa Ali (Amal) passed away just a moment ago.
“Due to some necessities, funeral prayer tomorrow at Annur Masjeed, Wuse 2, immediately after Zuhr prayer In sha Allah. May Allah forgive and be merciful to her.”
Inna lil Laahi wa inna ilaiHi Rajiun!
My 13-year old daughter, Aishah Isa Ali (Amal) passed away just a moment ago.
Due to some necessities, funeral prayer tomorrow at Annur Masjeed, Wuse 2, immediately after Zuhr prayer in sha Allah. May Allah forgive & be Merciful to her.
— Isa Ali Pantami, PhD (@DrIsaPantami) November 23, 2020
Cult Violence: Wike Imposes Two-Week Curfew Around Okoro-Nu-Odu
Governor Nyesom Wike of Rivers State has imposed a 24-hour total curfew for two weeks on some parts of Port-Harcourt, the state capital.
The Governor made this known during a broadcast on Sunday where he noted that the curfew begins from Monday 23rd November 2020.
The statement noted that the upsurge noticed by the state government in cases of cult activities, other forms of violence, and killings is responsible for the curfew.
Wike in the statement declared that the entire area along and around the Okoro-nodu flyover up to a one-kilometre radius from Saint Emmanuel Anglican Church, Rumuokoro, extending to the Rumuodomaya Slaughter and Local Government daily market will be affected.
He added that no form of trading, human or vehicular movement is allowed in the affected areas until further notice.
Zamfara Governor Secures Release Of 11 Kidnapped Victims
Governor of Zamafara, Bello Matawalle has announced the release of 11 kidnapped victims.
According to reports, ten of the victims were male and a female from Bukkuyum Local Government Area.
Matawalle received the rescued kidnapped victims on Saturday night at the Government House in Gusau, the state capital.
The Commissioner of Security and Home Affairs, Abubakar Muhammed Dauran revealed that the victims were released without paying a ransom.
He stated they were released as a result of the peace initiative and stakeholders meeting summoned by Governor Matawalle with all critical stakeholders from Bukkuyum Local Government Area on Thursday.
Governor Matawalle assured that his administration will not rest on its oars until total peace is achieved in all parts of the state.
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