Nigeria Economy: Naira Hits Record Low as Dollar Liquidity Plunges

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Nigeria Economy: Naira Hits Record Low as Dollar Liquidity Plunges


Nigeria’s naira fell the most in about two weeks to a record low of 1,670.65 to the dollar on Monday. The weakness followed a 72% plunge in dollar liquidity to $81 million – its lowest level in more than a month. Bloomberg’s Ondiro Oganga breaks down the situation.
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28 Comments

  1. Few months ago, I think it was between March & May, they government borrowed and imported a large amount of dollars to boost more circulation of the currency and counter scarcity, which they believe to be the cause of this very problem and i said that the physical dollars imported as cash will be shared and pocketed by the leaders of Nigeria who are in control, and this was exactly what happened now and it's setting up the country in a worse situation.

  2. that is what you get from someone who forfeited $460k as proceeds from pushin P' and submitted docs that was not from the issuing body as head of the most populous black nation on earth

  3. This is the biggest problem I have with the Nigerian currency. As a Nigerian I am not happy with the way the Naira is pegged against the dollar. When there is problem with the dollar it affects the Nigerian economy in a very bad way.

  4. Oganga is overly negative. And she said a few things that were not 100% true. There are several paths to revenue increases in Nigeria: there are ongoing tax reforms being debated heavily and there is an increasing push about increasing oil production

  5. Nigerians, remember the real problem is not the floating of the naira. The real problem is that we import everything even though we can produce them. If we were not importing so much, we wouldn’t care about the naira floating or not.

  6. Great analysis, "they might". But knowing how corrupt & maleficent the President & his cronies m guessing they'll pass another supplementary budget (monetary profligacy) to fund their ostentatious lifestyles @ the expense of workers.

  7. This is the result of blindly following IMF prescription and reforms, devaluation of Naira, removal of subsidy, and floating naira, a President that feel more at home in France than in Nigeria