Nigeria’s Inflation To Fall, Pressures To Reduce On Exchange Rate In 2024, Says CBN

Posted by African Examiner Business News, Latest Headlines Friday, December 15th, 2023

(AFRICAN EXAMINER) – The Central Bank of Nigeria (CBN) on Thursday said the country’s inflation rate and the pressures on the exchange rate will reduce in the coming year.

While the country’s inflation rate jumped to 27.33% for November – the highest in 18 years, the apex bank’s governor Yemi Cardoso projects a slump in 2024.

“The outlook for the domestic economy remains positive and is expected to maintain the positive trajectory for 2024,” he told the Joint Committee on Banking, Insurance, and Other Financial Institutions in the nation’s Abuja capital.

“Inflation pressures may persist in the short-term but are expected to decline in 2024. Exchange rate pressures are also expected to reduce significantly with the smooth functioning of the foreign exchange market.”

He also said the country is expecting less oil revenue in the new year owing to several factors.

“Total Trade in the third quarter of 2023, stood at N18.804.68 billion. Exports were valued at N10.346.60 billion while total imports stood at N8.457.68 billion. This represents a positive trade balance, which would lead to an increase of the external reserves,” Cardoso told the lawmakers.