The Governor of Central Bank of Nigeria (CBN), Olayemi Cardoso, has assured Nigerians that the rising inflation rate will drop by 21.4 per cent.
He stated this while addressing members of the House of Representatives at the sectoral debate on the economy on Tuesday.
According to the National Bureau of Statistics (NBS), inflation has risen for 11 consecutive months, reaching a new high in December 2023. The annual inflation rate rose to 28.92 per cent in December from 28.20 per cent in November.
However; while briefing lawmakers at the sectoral debate on the economy before the House of Representatives, he said inflation will reduce to 21.4 per cent.
“Inflationary pressures are expected to decline in 2024 due to the CBN’s inflationary targeting policy aiming to rein in inflation to 21.4 per cent, aided by improved agricultural productivity and easy global supply chain pressures.
“The Nigerian foreign exchange market is currently facing increased demand pressures causing a continuous decrease in the value of naira,” Cardoso said while giving an outlook for 2024.
He added that measures were being put in place to address the persistent decline in the value of the naira.
According to him, the economy must earn through export to boost the naira, adding that the apex bank plans to instil confidence through stability in consumer prices and the foreign exchange market.
On the foreign exchange; the CBN boss said the volume of transactions in the exchange market rose to $800m.
“We are not a turning point and the bold reforms on the way across different segments of the economy, though initially challenging, are aimed at addressing these challenges sustainably,” he said.
“I am confident that positive outcomes are already emerging and will become more apparent in the near future. The dedicated and relentless efforts being made are certain to bring about significant and positive changes for our economy.
“On that note, I am happy to inform you that as of yesterday, the volume of transactions on our market was over $800 million. This is the first time in many years that it has achieved this level.”
