GOOD NEWS: Nigerians forex reserves increases, reaches $24.60B

– Nigeria’s forex reserve has grown in a month to $23.95billion

– It noted however that outflow reduced by 4.57 per cent 

– The current economic recession was blamed on bad policies

In what has been described as wonderful news, Nigeria’s forex reserve grew by $658million within November thereby rising to about $24.60 billion from $23.95billion.

Leadership reports that a source at the Central Bank of Nigeria revealed that the reserve recorded a huge increase last week.

The Monetary Policy Committee (MPC) attributed the rise in forex reserve to receipts of foreign flows within the month although it noted that outflows decreased by 4.57 per cent from $2,728.12million to $2,603.35 during the same period.

READ ALSO: Buhari created economic crisis to arrogate ‘Absolute Powers’

The MPC issued a communiqué where it revealed that the total foreign exchange inflows through the CBN increased by 89.14 per cent, from $1,092.21million recorded in July to $2,065.79 million in August 2016.

Also, the CBN noted that in order to win investors’ confidence, fiscal authorities must focus on confidence building, re-emphasising the need for the federal government to pay attention to confidence-building fiscal policies and publicise what it was  doing in that regard.

Mr Moses Tule who is the director of CMB monetary policy department delivered a lecture on the place of monetary policy in the current economic realities.

“I wouldn’t agree that there are no improvements in fiscal policies; there are, there is so much happening.”

He said it was necessary for fiscal authorities to publicise what they are doing.

“They are doing a lot already. There is so much the fiscal authority is doing. But in a recession like this, you really need to blow your trumpet because what you need is the confidence. The louder the trumpet, the greater the number of people the sound reaches. So I think it is imperative to blow that trumpet and make it high.”

READ ALSO: Recession: FG seeks help from private sector

Tule noted that some policies were responsible for the current economic problem and said that some countries, including Japan and Britain had to inject huge money into their economies to stimulate them. Nigeria’s case was however different.

“There is no way out because fiscal policy provides the leadership for macroeconomic management in any country. Monetary policy always comes as complementary policy. So, in all climes, fiscal policy provides the leadership, and when monetary policy has reached its end and it can no longer stimulate output growth, fiscal policy must step in with huge injections.”

The post GOOD NEWS: Nigerians forex reserves increases, reaches $24.60B appeared first on Nigeria News today & Breaking news | Read Nigerian newspapers 24/7.

loading...