Economy
CBN Governor, Emefiele Projects Inflation Rate Will Drop Below 15% in 2023
CBN expects inflation to moderate in 2023
The Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele has projected that Nigeria’s inflation rate will fall below 15 percent in 2023.
Emefiele disclosed this in a keynote address delivered at the annual Bankers Dinner Night of the Chartered Institute of Bankers of Nigeria.
According to the CBN governor, 2023 portrays a positive economic outlook for the country while the apex bank will continue to implement policies to curtail inflation.
The CBN Governor also called on Nigerians to embrace the new naira notes, stressing that the decision to redesign the higher denomination notes is for a purpose that is in the overall interest of the country.
He added that the redesign policy will help control currency circulation and drive a cashless economy.
“This policy will quicken the attainment of a cashless economy as it is complemented by increased minting of our eNaira. It will curtail currency outside the banking system and, as monetary policy becomes more efficacious, help to rein in inflation,” he noted
Emefiele also used the occasion to underscore the efforts of the central bank to maintain the stability of the exchange rates in 2022. He identifies oil theft as one of the major factors preventing the country from building a robust external reserve.
While he acknowledged that the narrative might be the same for some time, he added that the forthcoming general election which has overheated the marketplace is another factor that is driving the exchange rate.
Investors King understands that naira has greatly suffered against dollar and other strong foreign currencies including pounds and euro.
In October, a Bloomberg report rated Nigeria’s currency as one of the worst-performing currency in the world.
Meanwhile, the CBN has insisted on January 31st, 2023 as the deadline to phase out the current naira notes.
The CBN governor reiterated the bank’s decision at the same venue of the annual Bankers Dinner Night of the Chartered Institute of Bankers of Nigeria held in Lagos.