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Why FG under President Tinubu floated the Naira – CBN Governor, Cardoso gives reasons
The Governor, Central Bank of Nigeria, CBN, Mr Olayemi Cardoso, has said that the apex bank under him took the bold step of floating the Naira in the foreign exchange market in order to bring the official exchange rate closer to market reality.
About three CBN Governors before Cardoso had toyed with the floatation option when they faced constant excess demand for foreign exchange and exchange rate pressures. They all abandoned the option due to fear of massive depreciation of the value and the contagion effect across the macroeconomic space.
But Cardoso, speaking for the first time on his journey on the saddle so far and focusing on the turbulence in the financial market following his assumption of office a year ago, explained that the floatation policy was meant to address the disparity between the official and parallel rates which encouraged arbitrage and speculation, eroding trust in the market.
While addressing members of the Harvard Club of Nigeria in Lagos at the weekend on the topic: “Leadership in Challenging Times: Restoring Credibility, Building Trust, and Containing Inflation”, Cardoso recalled that upon assumption of duty, he understood that the credibility of the Central Bank of Nigeria (CBN) had to be the bedrock of the actions he and his team took.
He stated: “Without credibility, no policy, however well-intentioned, can succeed. Floating the naira, a decision met with considerable public criticism, was necessary to bring the official exchange rate closer to market reality. ‘‘The disparity between the official and parallel rates had encouraged arbitrage and speculation, eroding trust in the market.
“Credibility is earned by consistency. The decision to close this gap, while painful in the short term, sent a message to market participants that the CBN was committed to transparency and sound monetary policy,” he added, noting that speculative trading had been reduced, and stability was gradually returning to the currency markets.
While noting that containing inflation remained the Bank’s core mission, he acknowledged that the CBN was yet to meet its target.
However, he stressed that recent declines reported by the National Bureau of Statistics (NBS) in July and August 2024 showed that the CBN was moving in the right direction.
He explained further: “Our decision to raise the Monetary Policy Rate (MPR) to 27.25% was a bold move. Higher interest rates, while painful for borrowers, are necessary to curb excess money in circulation and control inflation. Leadership is about making hard choices to secure long-term stability over short-term comfort in moments like these.’’
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30 bodies of Residents killed by suspected Ritualists found inside river –Monarch
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30 bodies of Residents killed by suspected Ritualists found inside river –Monarch
Over 30 unidentified bodies of suspected ritual killing victims have been found on Imo River in Oriendu autonomous community, Umuahia North local government area of Abia State since last year.
The traditional ruler of the community, HRH Eze Philip Ajomiwe, stated this while speaking with LEADERSHIP Sunday in his palace after the body of a woman was found
“The bodies, like the recent one, are either completely naked and without their private parts or in a bag. There’ve also been cases of two decomposing bodies seen beside the NNPC pipeline,” he said.
Explaining that there had not been any arrests since then by the security agents, he expressed concern that the situation was getting out of hand and had created fear in and around the community.
According to the monarch, efforts by the community’s vigilante group to arrest the suspects had failed too, because the group is not as equipped as the suspects are said to be.
“So, we’re appealing to the state government to empower the vigilante group with the necessary logistics and the wherewithal to enable it to match the suspects,” he said.
He argued that nobody ever embarks on such a mission with empty hands especially when the enemy is fully armed with sophisticated weapons and is ready to fight back.
He asserted that his complaints about the situation to the agents had been to no avail, noting that the latest was a letter to the speaker of the State House of Assembly on February 7.
The monarch, who appreciated the government’s upward review of monthly stipends of the traditional rulers, however, noted that the amount is not enough for them to handle insecurity.
He maintained that as the monarchs do not have security votes like the governor to equip their communities’ vigilante groups, the communities need the intervention of the government for peace and security.
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Two Reverend Fathers abducted by suspected gunmen CP reacts, vows swift action
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Two Reverend Fathers abducted by suspected gunmen CP reacts, vows swift action
The kidnapping of Reverend Father Abraham Samman from the Jalingo Diocese and Reverend Father Mathew David Dusami from the Yola Catholic Diocese has been harshly denounced by CP Dankombo Morris, the Commissioner of Police in Adamawa.
The two pastors were kidnapped early on February 22, according to a statement issued on Saturday by SP Suleiman Nguroje, the Command’s spokesperson.
The public was reassured by CP Morris that security personnel had been called in to guarantee the safe return of the priests who had been abducted and to prosecute those responsible.
“The unfortunate incident occurred at the priest’s residence situated at Gwaida Malam, in Numan local government of Adamawa State.
“The kidnappers, armed with offensive weapons, arrived at the victim’s house around 4:00 a.m and whisked them away.
“The CP in concerted effort to rescue the victims, has deployed the command’s operational and manpower assets to give a hot chase to the kidnappers, rescue the victims unhurt, apprehend the perpetrators and their collaborators if any,” he said.
He stated that the command’s ongoing efforts will undoubtedly ensure that the perpetrators, along with anyone involved, are held accountable and face the full force of the law.
He further highlighted the command’s unwavering commitment to protecting lives and combating all forms of violent crime in the state.
“This unprovoked kidnapping of religious leaders is totally unacceptable as they are not only stakeholders but also people who are actively working to promote peace in the society.
“The command, while appealing for calm, therefore, seeks the support and cooperation of the general public to give useful and timely information that will aid its quest to rescue the victims and apprehend the criminals,” he stated.
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REVEALED; Why ex–President Buhari stayed away from Babangida’s book launch in Abuja
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REVEALED; Why ex–President Buhari stayed away from Babangida’s book launch in Abuja
Jonathan Vatsa, the former Commissioner for Information, Culture and Tourism in Niger State and a prominent chieftain of the All Progressives Congress (APC), has expressed little surprise at former President Muhammadu Buhari’s decision to skip the public presentation of General Ibrahim Babangida’s autobiography, ‘The Journey of Service’, in Abuja on Thursday.
Vatsa suggested that Buhari’s absence was rooted in lingering resentment over the 1985 coup that ousted him from power.
Speaking to reporters in Minna on Saturday, Vatsa emphasized that he would not rush to comment on the book, as he had already read it. He quipped that it would have been a world-changing event if Buhari had attended the launch.
Vatsa went on to allege that the memory of what he called the “mother of all betrayals” — referring to his detention by Babangida after the coup, which prevented him from bidding farewell to his late mother — still haunts Buhari.
The event, which took place in Abuja, was attended by a host of distinguished personalities, including President Bola Ahmed Tinubu, former Presidents Olusegun Obasanjo and Goodluck Jonathan, military heads of state Yakubu Gowon and Abdulsalami Abubakar, as well as leaders from other African nations such as Ghana’s Akufo-Ado and Sierra Leone’s Ernest Koroma. Prominent Nigerian figures such as former Vice Presidents Atiku Abubakar, Yemi Osinbajo, Namadi Sambo, traditional rulers, and state governors were also in attendance.
Vatsa further reflected on his previous statements about Buhari’s disregard for Niger State during his two terms in office, reiterating that he had been vindicated by Buhari’s absence, despite the state’s overwhelming support for him in both of his presidential campaigns.
According to him, “the whole world knows that Niger State was made a scapegoat by former President Buhari because of IBB. For eight years he did not pay any serious official visit to the state, and no single federal project was executed in the state. The Baro port project, which recently generated some political heat in the state, was abandoned by Buhari, including all the federal road projects across the state.
“The people of the state were made to pay for sin they know nothing about. It was the case that when two elephants fight, the grass suffered. He sidelined the state just because of the sin of one person.”
When asked to comment on the book that has continued to generate reactions across the country, the former publicity secretary of the APC in the state said that he will comment on the book after digesting all the contents, stressing that “there are things that I am expecting from the book, so you people should wait until I read it, I will invite all of you when I am ready to comment on the book”, he added
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