The CBN Governor, Godwin Emefiele, stated in an interview yesterday that the improvement seen in growth from the negative 1.7% in the last quarter of last year to the negative 0.5% in the first quarter of 2017, the inflation target “is achievable in the course of time”.
As of May 2017, the inflation rate in Nigeria had fallen for four consecutive months, dropping to the lowest in a year as growth i prices of most goods, except food, eased. inflation slowed to 16.25% from 17.2% in April, According to data from the national Bureau of Statistics.
The CBN boss said: “In 2017, with the improvement we have seen in growth, from the negative 1.7 per cent in the last quarter of last year to the negative 0.5 per cent in the first quarter of this year. We have seen exchange rate stability with some of the actions we have taken in the last couple of months. We do expect that if this trend continues, we should get better. Firstly, with inflation trending downwards, we are hopeful that in the course of time, we will get back again back to single digit inflation.”
He also added that Nigeria had developed homegrown solutions to its economic challenges which in return has received a lot of positive feedback.
“ We needed to adopt a Nigerian option, because of our peculiar reasons. On inflation, the CBN had a target of six to nine per cent, unfortunately, it grew to 18.8% and I am happy it is coming down, and I am hopeful it will continue to get better. We looked at the foreign exchange market, and today we have ensured that Forex is not N500/$1. It is now between N360 and N370/$1 and we will ensure it gets even better from where it is right now,” he said.
Emefiele also spoke about some if the stabilization steps taken by the regulators. He said the apex bank had the market up for more people to come in.“We want more people to in and invest in the economy, and that was why we introduced the Investors’ & Exporters’ Window. We want Forex market that will be determined by demand and supply. It has helped in Forex flow and led to the appreciation in the Naira we are seeing today,” Emefiele said