The Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele, has confirmed that the naira has depreciated at the official market to N410 against the dollar.
This, the Federal Government hopes to take a more dramatic step to increase exports in order to earn foreign exchange to boost dollar supply.
This disclosure was made by Emefiele, while speaking at a special summit on the economy organized by Vanguard Newspaper in collaboration with the CBN and Chief Executive Officers of banks on Friday, February 26, 2021, in Lagos.
Emefiele said the drop in crude oil earnings and the associated reduction in foreign portfolio inflows significantly affected the supply of foreign exchange into Nigeria.
He said, “In order to adjust for the decrease in the supply of foreign exchange, the naira depreciated at the official window from N305/$ to N360/$ and now hovers around N410/$.’’
The Vice President, Yemi Osinbajo, who was part of the event said the Federal Government would address the shortage of foreign exchange.
He said, “We have accepted that we need to take a more dramatic step to boost exports in order to earn foreign exchange.’’
While pointing out that the government would combine limited resources to expand the supply base, Osinbajo said the Federal Government would ensure the expansion and promotion of export trading houses, ensure that companies in the special economic zones exported most of their productions, as well as expand the export grant scheme.