Business
Newly Appointed CBN Governor, Cardoso Faces Fresh Hurdle As Naira Falls To All-Time Low Of N980 Per Dollar
The naira has depreciated to N980 per dollar at the black market ahead of the takeover of the Central Bank of Nigeria by its new governor, Oluyemi Cardoso, who was last week nominated by President Bola Tinubu.
Bureau de Change traders across major markets in Lagos and Abuja said they sell N980 and buy N974 per US dollar on Wednesday.
At the official Nigerian Exchange Market, the naira traded as high as N799.9 per dollar before closing at N776/dollar.
The operators traded the currency for N965 per dollar on Tuesday from the N955 that was traded on Friday, September 15, when the presidency announced Cardoso as the new CBN Governor to replace embattled Governor, Godwin Emefiele who has been in the custody of the Department of State Security.
The currency has lost N25 or 2.6 per cent of its value since Tinubu announced Cardoso as the new head of the apex bank.
In June, the apex bank’s acting governor, Folashodun Shonubi introduced a managed float and collapsed all other forex windows into the Investors’ and Exporters’ window now the Nigerian Foreign Exchange Market.
The move temporarily drove down the price from around N950 to N845 per dollar.
Cardoso who will assume the post of governor after confirmation by the Nigerian Senate is faced with the issues of price stability and naira depreciation.
Cardoso must “minimize political interference in the use of foreign exchange, which creates arbitrage,” said Ndubisi Nwokoma, a professor of Financial Economics at the Department of Economics of the University of Lagos (UNILAG).
Aminu Abdul, a BDC operator at Zone 4, Abuja who spoke to THE WHISTLER said if the market fundamentals are not fixed, the currency may depreciate further.
“We are expecting it to either rise or fall depending on how fast the government is able to improve dollar supply in the market.”
- Business1 week ago
Tax Evasion: EFCC to target corporations in bid to boost Nigeria’s revenue
- Business1 week ago
Africa-Asia air cargo growth surges 21% in August amid global demand surge
- Business1 week ago
Meet the top 10 CEOs leading Nigeria’s Multi-billion Naira Oil Terminal industry
- Business1 week ago
Lagos eyes 240 million gallon daily water solution with USAID refurbishing 5 waterworks
- Business1 week ago
‘Major challenges affecting solar energy adoption in Nigeria and solutions’ — Bome Ojoboh, CEO of Extreme Mutual Limited
- Business1 week ago
Sue banks for illegal deductions, ex-CIBN President urges Nigerian customers
- News1 week ago
Rivers LG Elections: Action Alliance Wins in Etche
- Business1 week ago
FG engages Trans-Sahara firm for sugarcane plant, 3 million hectares of soybean farming