[FILES] Bureau de change. PHOTO: QZ Having spent billions of dollars and lost no less than N8 trillion to rent seekers who exploit the multiple rates in the foreign exchange (FX) market to rip off the country within three years between 2020 and last year, it is high time the Central Bank of Nigeria (CBN) reappraised its position on exchange rate convergence, three years after it promised same. The opportunity cost of a stronger naira is telling on the economy with no end in sight. Some of the costs of keeping the naira from hitting “the highway” include dwindling external reserves, inability to fund critical imports and manipulation of the currency by speculators and individuals who profit from the scheme. The argument to float or manage the country’s currency has lingered for many years. Either position presents compelling reasons why a position should prevail in national interest or economic sense. Considering that Nigeria most times defies basic economic rules and theories, the argument mostly swings to national interest. For any keen observer, Nigeria’s FX stability has buckled under multiple rates, a challenge that has led to speculative trading, rent seeking and other market manipulations. The Guardian had exclusively reported […]
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
