The Central Bank of Nigeria (CBN) has technically devalued the Naira at the Investors and Exporters (I&E) window of the nation’s foreign exchange market.
This is coming at the backdrop of the ravaging impact of the Coronavirus (COVID-19) global economic fallouts
The local currency traded at N380/$1 average across the various markets on Friday. The I&E window is a special foreign exchange space created by the CBN in the wake of the economic recession in 2016 to make room for a free flow of the forex resources and drive up economic activities across all sectors.
An official of the apex bank admitted there was an adjustment in the I&E window to reflect the developments in the economy since the COVID-19 pandemic.
“We allowed the Naira to mirror developments in the market-determined I&E window. All I’m saying is that there’s an adjustment in I & E window of the market to reflect developments foisted on the market by the COVID-19 crisis.’’