"We don't believe oil will go below $30 ... I believe there is a strong possibility that the naira will still strengthen further in the near term (even if oil stays around $30-40)," he told an economic policy seminar in the capital Abuja.
The naira has fallen by more than 20 percent against the U.S. dollar since late November, a slide driven partly by banks and businesses stockpiling dollars for fear that the local currency would fall further.
The naira was trading at 150.30 to the dollar on the interbank market earlier this week, compared to 117.90 just over two months ago.
Lower oil prices mean falling revenues for Nigeria, the world's eighth biggest oil exporter, putting pressure on foreign reserves and raising concern that the central bank will be limited in its ability to support the naira.
The bank last month announced tighter controls on foreign exchange sales to local buyers, demanding that bids be cash-backed and be used for eligible transactions only, a move meant to flush out currency speculators.
Soludo said he was committed to a stable, but not fixed, exchange rate.
"We will keep the rate stable, and monitor the developments in the forex market ... the exchange rate regime will continue to be a key shock absorber for the economy -- to keep internal and external balance," Soludo said.
Source
No comments:
Post a Comment