Tuesday, 4 October 2016

480 naira per dollar exchange rate: Devalue the naira further, EU advices Nigeria


The European Union on Monday urged Federal Government to end Nigeria's current economic recession by taking a hard decision of devaluing the naira yet again.

Fillippo Amato, Head of Trade and Economics Section of the European Union said this is needed a 150% tumble of the Nigerian legal tender at the black market since June 2015, as well as a 50% deficit in value at the official market, during the same period.

His words:
"To come out of recession, the country has to take brave decisions, regardless of how unpopular they may be such as fully and effectively devaluing the Naira.

"Devaluing the Naira is a measure, which will finally reassure investors and attract new capitals to the country.

"At the same time, it will further reduce imports, thereby removing artificial forex restrictions, and removing any potential waste of scarce resources such as the fuel subsidy.

"Improving security (in the Northeast and Niger-delta) and ease of doing business are also key factors on which the government must urgently work to re-launch the economy."

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