Naira best performing currency globally in April – Cardoso

Following a series of foreign market reforms, the Naira has been adjudged the best performing currency globally in April, says the governor of the Central Bank of Nigeria (CBN), Yemi Cardoso

Cardoso, who made the remark in a press briefing on the sidelines of the just concluded World Bank/IMF Press briefing in Washington DC, United States, added that Nigeria’s foreign exchange market has seen a surge in activities with turnover levels reaching highs not observed in over seven years.

The naira had the unenviable position of being the worst currency in the country in March when it fell to as low as N1,600/$ on the official market and N1800/$ on the parallel market.

April saw the naira emerge as the best-performing currency globally, supported by bullish sentiment from leading international investment institutions.

The Naira gained a whopping 45 per cent in April so far as a string of forex and monetary policies continue to generate positive impacts on the economy.

This heightened liquidity is believed to instill confidence among investors, businesses, and partners, facilitating smoother transactions within Nigeria’s forex markets.

Despite the success, Cardoso remains cautious, acknowledging persistent challenges such as elevated inflation, driven by rising food prices, transportation costs, and energy expenses.

However, he noted that inflation is increasing at a decelerated rate and expressed confidence in its anticipated decline.

“However, we remain vigilant, recognizing the challenges that persist, such as elevated inflation driven by rising food prices, transportation costs, and energy expenses. We note that inflation though rising is doing so at a decelerated rate and we are confident it will soon commence a fall.”

“Security concerns in food-producing regions and infrastructure challenges also demand attention.”

“The CBN has implemented a number of policy reforms to address some of these various pressures and, while I am confident enough today to talk about some of our early success, I am at the same time extremely mindful of our ongoing challenges,” he told journalists present.

The CBN has introduced several policy reforms aimed at stabilizing the economy and addressing various pressures. While celebrating these early successes, the Governor stressed the importance of remaining vigilant and proactive in tackling the myriad of challenges that still lie ahead.