Modupe Gbadeyanka
By Modupe Gbadeyanka
The Nigerian local currency closed flat at N370 to the Dollar at the parallel market yesterday, same rate it was traded the previous day.
The Naira has found it very difficult to appreciate further or trade at around N300 per Dollar at the black market since it crossed the N200 per Dollar mark at the wake of the present administration.
Nigeria sank into recession last year following shortage in foreign exchange at the market as well as drop in the price of oil in the global market.
Since February 2017, the country’s central bank had been injecting forex into the market to boost liquidity.
This has resulted in the Naira hovering around N360 and N390 lately, against nearly N600 per Dollar about four or five months earlier.
At the parallel market on Wednesday, the Naira was traded flat at N465 to the Pound Sterling, while it went for N407 per Euro.
It is believed that economy will pick up before the end of this year, especially with the inflation rate declining for the fourth month in this year.
The stats office released inflation for May today, which eased to 16.25 percent from 17.24 percent a month earlier.
Three days ago, the Federal Government finally signed the 2017 budget into law nearly a month after it was passed by the National Assembly (NASS).
Already, preparations have commenced towards preparing next year’s budget and it would likely be submitted to NASS in October in anticipation that it would be ready for assent before the end of December 2017.
