Abuja, June 27, 2024 – Nigeria recorded $24 billion foreign exchange inflow in the first quarter of 2024.
The inflow represents about 50 percent increase over the inflows recorded in previous quarters.
Olayemi Cardoso, the Governor of the Central Bank of Nigeria (CBN) disclosed these during an interview with Bloomberg on Tuesday in London.
He said this was one of the factors for the recent stability in the naira exchange rates after previous volatility in the foreign exchange market.
He said the recent improvements in liquidity would boost confidence to the foreign exchange market.
Cardoso also said the inflationary pressure had started dropping as a result of the apex bank’s policy measures which aim to reduce the current inflation rate of 33.69 percent.
He described deceleration in the month-on-month inflation rates as a positive development.
Cardoso assured that the Monetary Policy Committee members would remain vigilant in monitoring inflation trends and ensuring a moderation of inflation numbers.
“The MPC has been very clear in stating that they see inflation as a major impediment to the future of Nigeria and would do everything possible to ensure that they keep inflation in check and bring it down as reasonably as they can. I don’t see that changing.
“So far from what we’re seeing, there’s a deceleration in inflation rates, which is good news. And my intuition is that with the measures that have been taken in the recent past, and with the confidence of the MPC members to watch the interest rate trajectory very closely. We should see a continuation of the moderation in the inflation rate.”
“Again, let’s watch the numbers but my intuition is that the MPC is determined to ensure that they put inflation in control.
“Data will direct whether they see further hikes or not. The MPC has been very clear in stating that they see inflation as a major impediment to the future of Nigeria, and they will do everything possible to ensure that they keep inflation in check and bring it down as reasonably as they can and I don’t see that changing.
“Let’s not forget that the MPC is an independent-minded group of people who deal with data. So, what I will say is that depending on what data they see at a particular point in time will direct how they see the hikes or not,” he said. (GBN)
