Central Bank Of Nigeria Takes Aggressive Measures To Counter Naira Depreciation and Currency Speculation

The Central Bank of Nigeria (CBN) has pledged to take strong action against individuals hoarding and speculating on currency, actions that have a detrimental impact on the naira’s value relative to the US dollar…CONTINUE READING....KINDLY READ THE FULL STORY HERE▶

According to an informed source, the CBN’s decision aims to counter the efforts of these speculators and hoarders, who are perceived as undermining the government’s initiatives to stabilize the local currency.

Recent measures taken by the CBN to curb the naira’s depreciation resulted in a notable improvement in the currency’s value over the past two weeks.

This enhancement is attributed in part to President Tinubu’s commitment to addressing the outstanding foreign exchange issues, estimated at around $7 billion.

While many Nigerians expressed satisfaction with the naira’s appreciation and strengthening, concerns arose as the local currency began to depreciate once more, starting from Wednesday.

Over the past two days, the momentum slowed down, and the naira’s value against the US dollar began to decline.

These developments are attributed to the alleged actions of speculators and hoarders pushing back against the currency’s positive trajectory.

An anonymous source speaking to a correspondent noted that certain “politically exposed persons who benefited from FX round-tripping during the previous administration are currently resisting the system.

The source emphasized that the government is determined to address this issue, stating, “The government will go after them and deal with them decisively.”

The source further revealed that, based on available intelligence, the CBN has concluded that the depreciation is a result of pushback by speculators and current traders.

As a response, the CBN is focusing on launching a campaign against these speculators and hoarders to prevent the erosion of the naira’s recent gains.

The source added, “Powerful Nigerians who benefited from round-tripping in the last administration are still involved in speculation. They are used to easy money, and the government is ready to take decisive action against them.