Osinbajo crashes Dollar badly, now N398
*Economic pundits applaud tiered exchange rates
By Olajide Fashikun
Acting President Yemi Osinbajo may have been certain things right such that has led the Central Bank of Nigeria (CBN) to have adopted the tiered exchange rate. Within the last 144 hours, the Naira has been strengthened. As at last night, it exchanged for N398 with fears that it will still grow stronger.
These developments which has been tagged as the “Osinbajo magic” has sent some massive euphoria which has made the Nigerian exchange market stroll with confidence as the Naira gathers strength in the parallel market.
As at Thursday afternoon in Abuja, the street value of the Dollar was on the average cost of N420 per Dollar.
Whereas, about the same time on Wednesday, the dollar sold as high as N495 per Dollar, with the British Pounds Sterling and Euro going for as high as N600 and N510 respectively.
The latest development means an improved confidence in the economy. Nothing has changed in the real sense of things to have shifted the slide in favour of the Naira.
Ayo Bamgbose, an Economics teacher postulated that, there is renewed efforts which may have been a build up from the Acting President’s visit to the Niger Delta region which has buoyed the people’s confidence in the Nigerian state.
That unscheduled visit of the Acting President to the Nnamdi Azikiwe international airport to see things by himself in their natural state is a major gambit. It is a confidence bearing gambit. All these are mathematical functions targeted at enhancing the ease of doing business in Nigeria.
The effect, as it was seen yesterday, saw the Naira, for the first time in more than 30 weeks, appreciating against the dollar at the parallel market.
As at the 20th February the Naira closed at 520 to the dollar, and 635, 545 to the pound, and Euro respectively.
Whereas, the 21st February the Naira went to bed at 510 to the dollar, as against 628 to the Pound Sterling and 530 to the Euro.
By the 22nd February, the Naira closed at 505 per dollar, 620 to the pound, and 520 to the Euro.
On Thursday, 23rd February, 2017 at about noon, around the zone 4 Sheraton Hotel axis in Abuja, the Naira sold for 500 per dollar, while trading at N600 to the pound and N510 to the Euro.