Despite its drastic fall, the governor of the Central Bank of Nigeria (CBN), Yemi Cardoso, has described the naira as the best-performing currency in the world.
Cardoso attributed this to the CBN’s foreign exchange reforms under his leadership.
Briefing journalists on the sidelines of the just-ended World Bank/IMF Spring Meetings in Washington DC, United States, Cardoso said the CBN’s foreign exchange reforms are beginning to pay off.
“April saw the naira emerge as the best-performing currency globally, supported by bullish sentiment from leading international investment institutions,” Cardoso said.
“Our FX market is experiencing robust activities with turnover reaching levels not seen in over seven years.
“This liquidity boost instills confidence among investors, businesses, and other partners, ensuring fluidity in their interactions with Nigeria’s FX markets.”
Cardoso noted that the CBN is also aware of the challenges facing the nation’s economy including the rising inflation rate.
“However, we remain vigilant, recognizing the challenges that persist, such as elevated inflation driven by rising food prices, transportation costs, and energy expenses. We note that inflation though rising is doing so at a decelerated rate and we are confident will soon commence a fall,” Cardoso said.
“Security concerns in food-producing regions and infrastructure challenges also demand attention.
“The CBN has implemented a number of policy reforms to address some of these various pressures and, while I am confident enough today to talk about some of our early success, I am at the same time extremely mindful of our ongoing challenges.
“We still have work to do in solving all our problems, however, we do have a determined pathway and a sequenced approach to tackling all challenges ahead, working hand in hand with our key stakeholders including investors, banks, businesses, and, notably, our counterparts on the fiscal side.”
