The Governor of the Central Bank of Nigeria, Godwin Emefiele, has said that despite calls and recommendations by the International Monetary Fund, the World Bank and other global financial institutions, Nigeria cannot afford to operate a floated exchange rate system.
Emefiele made this known at the IMF/World Bank Spring Meetings in Washington DC, United States.
He spoke in reaction to a charge by the president of the World Bank Group, David Malpass, for Nigeria to jettison its multiple exchange rate systems and maintain a single exchange rate policy.
Emefiele said that different countries were facing diverse economic challenges and must develop a framework peculiar to their economic situation.
He said, “Both the IMF and World Bank are our prime development banks, and we have received support from them at different times in resolving some of our economic challenges, particularly bordering on finance.”
“Nigeria’s situation is very peculiar and that is why we have continued to engage the IMF and World Bank to show understanding of our local problems.
“Yes, they want us to freely float the exchange rate and you do know that this will have some impact on the exchange rate itself in the sense that when you allow that to happen, you will have some uncontrollable spiral in the country’s exchange rate.”
The CBN governor further explained that high demand for forex on certain goods which gulped up a significant fraction of Nigeria’s foreign exchange informed the Federal Government’s decision to suspend forex access for the importation of rice, wheat and other consumables.
Emefiele said the CBN had been working assiduously to ensure that measures were taken to control the exchange rate.
According to him, as long as the demand for forex exceeds the supply, the crisis of having access to forex will not go away.
“We are doing everything possible to restructure the base of the economy through some of the policies that we have put in place to deepen the production of goods in Nigeria,” he added.
Imo: Over 100 lives lost in fire at illegal refinery
Over 100 persons were fear roasted in an explosion that rocked illegal refinery sites in the boundary between Imo and Rivers states on Saturday.
Fyneface Dumnamene, Executive Director, Youths and Environmental Advocacy Centre, YEAC, who broke the news, said the incident may have occurred at Abacheka, Ogba/Egbema/Ndoni Local Government Area, ONELGA, Rivers state, but Police Public Relations Officer, Rivers Command, DSP Grace Iringe-Koko clarified that it is, “Not Rivers state, please. It is under Imo state jurisdiction.”
Fyneface had asserted that said some residents in Omoku including members of YEAC’S One Million Youth Volunteers Network of Human Rights Defenders and Promoters in the Niger Delta raised alarm over the incident at dawn.
Fineface who shared gory pictures from the razed site of the artisanal refineries narrated, “Specifically, the explosion which also burnt several vehicles that were waiting to buy the illegal products is said to have occurred in a community in Egbama area called Abacheka.
“Several bodies burnt beyond recognition lay on the ground while others who may have attempted running for safety are seen hanging on some trees branches.
