Lagos – Some Nigerians on Monday bemoaned the sustained free fall of the Naira and its consequence on the proposed national economic rejuvenation.
They told the News Agency of Nigeria (NAN) in Lagos that the depreciation of the Naira was tied to the absence of a defined economic blue print and bureaucrats to manage the economy.
Dr Chijioke Mgbame, a lecturer in the Department of Accountancy, University of Benin, said that the fluctuation of the Naira made it difficult for businesses to make projections.
Mgbame said that the hallmark of any good business plan lay in a stable exchange rate, price stability and business forecast.
The don also said that the fall in a nation’s currency would definitely lead to price hike for import dependent economy.
He expressed disappointment at the orthodox approach being deployed to rescue the Naira from further nose diving.
Dr Evans Osabuohien, an economist in the Department of Economics and Development, Covenant University, Ota, Ogun, said that the recovery of the American economy was mounting pressures on the Naira.
Osabuohien said that the currencies of other African countries such as the Kenyan and Ugandan shillings were also not insulated from experiencing fluctuations in their values.
Mr Silvanus Ibe, an importer of electronics, said that the rise and fall of the Naira was having a serious toll on his business.
“Those of us in the import business are saddled with the responsibility of explaining to our customers the reason behind the rise in the price of our products, before they decide to buy.
“The policy of the Central Bank of Nigeria (CBN) on foreign exchange restriction is not helping our businesses to flow as usual.
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“Sometimes we are confused on what to do as the CBN rolls out its policies almost on daily basis.
“This is not the best of time for huge investments since nobody is sure of what policies they will come up with tomorrow,’’ Ibe said.
Mr Chika Obodoagu, an importer of fairly used cars, popularly called “Tokunbo” , said that importers were finding it hard to access dollar to import cars.
Obodoagu said that if the situation persisted some people might resort to smuggling dollars.
He called for a more flexible foreign exchange policy that would not stifle cash flow in the economy.
Meanwhile, some operators of Bureau de Change (BDC) have attributed the recent appreciation of the Naira to the Central Bank of Nigeria’s direct sale of foreign exchange to operators.
Mr Abubakar Audu, a trader at the parallel market, said that CBN’s consistent selling of dollar to BDC operators, had led to marginal appreciation of the Naira against the dollar.
NAN reports that the Naira late on Monday appreciated to N222 to the dollar compared with N243 it traded at the weekend in the parallel market.
The official inter-bank rate remained at N197 to a dollar. (NAN)