Worried by the uncontrolled plunging of the naira against other foreign currencies at the parallel market and its consequential effect on the lives of average Nigerians, the President has ordered the Central Bank of Nigeria (CBN) to increase liquidity and stabilise the market. Briefing newsmen after meeting with the President behind closed doors yesterday at the Presidential Villa, the Acting Governor of the CBN, Folashodun Shonubi, warned speculators in the parallel marked against possible loss of their investments in few days with imminent measures soon to be taken by the apex bank.
The CBN boss equally said that the parallel market is currently not being driven by the forces of demand and supply Shonubi said: “Mr. President is very concerned about some of the goings on in the foreign exchange market. One of the things we discussed was what could be done to stabilise and what could be done to improve the liquidity in the market and also the goings on in the various other markets including the parallel market. He is concerned about its impact on the average person, since, unfortunately, a lot of activities that we do which are purely local are still referenced to the exchange rates in the parallel markets. We have discussed and shared with him what we’re doing to improve supply. “If you look at the official market, you will find that that market has been fairly stable and the spreads of the difference have not fluctuated as much. We do not believe that the changes going on in the parallel market are driven by pure economic demand and supply but are topped by speculative demand from people.
“Some of the plans and strategies which I’m not at liberty to share with you, means sooner rather than later, the speculators should be careful, because we believe the things we’re doing when they come to fruition may result in significant losses to them. “But my presence here is more about the concerns the President has, and he needs to know that we are doing something about it, assurances of which I have given him totally. So I hope this helps. “We are looking at it and we’re doing things which will significantly impact the market in a few days’ time. And we will all see it. The intention is to ensure the environment operates at a level that’s more efficient, but also that is also very reasonable and does not have a negative impact to the best that we can on the lives of the average person.”
Justice Oweibo has adjourned till Thursday, August 17, 2023, to rule on the application.
Speaking to newsmen, the DPP said a fresh 20 counts have been filed at the Federal Capital Territory (FCT) High Court.
One of the counts, he said, accused Emefiele of “conferring unlawful advantages”.
