Buhari Succumbs To IMF Loan, Devalues Official Exchange Rate To 290 Per Dollar

According to Saharareporters, after months of insisting that he had no plans to devalue the naira, Pres. Buhari has caved to pressure to change course and has agreed to demands by IMF, that he significantly devalues the Naira to N290 to one dollar from the current official rate is about N199 to a dollar.

The FG has decided to accept the IMF’s terms for funds that the Nigerian government wants to access to bridge a critical shortfall in revenue occasioned by a drastic decline in oil revenues. Nigeria could receive as much as $3bn in credit facilities from the IMF.

The Nigerian economy has been pummeled by falling oil earnings that have led to a near collapse of the economy. The IMF had long indicated its readiness to support Nigeria’s economy with credit liquidity but insisted on Nigeria devaluing its currency.