THE NAIRA DROPS INSTANTLY AFTER BEING DEVALUED……………

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By: Economic & Finance Report

The Naira devalued over 30% instantly on Monday, June 20, 2016.  It dropped 260 to 1 USD. The Central Bank of Nigeria last week insisted that it would remove restrictions on the Naira and allow it to “float freely” against the dollar.  The move was applauded by traders, analyst, the IMF (International Monetary Fund), whom all have indicated for over a year to allow the Naira to drop because of depleting oil prices.

On Monday, the dollar went skyrocketing against the Naira, some indicated they expected a drop, but not a 30% drop perhaps.  Many analysts including credit rating agency Moody’s; believe devaluing the Naira is a step forward in helping to stabilize Nigeria’s economy; which took a major hit the past few years because of declining oil prices. -SB

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