The Guardian
Email YouTube Facebook Instagram Twitter

CBN renews strategy for Naira-Yuan swap deal

Related

China currency, Yuan PHOTO: BANK OF CHINA.

China currency, Yuan<br />PHOTO: BANK OF CHINA.

Minister intensifies search for infrastructure pact
World Bank warns of governance, unstable policies

The Central Bank of Nigeria (CBN) yesterday, raised the hope that the lingering Naira-Yuan swap deal will be achieved as part of strategies to reducing the huge dollar demand pressure on the local currency.

The CBN Governor, Godwin Emefiele, gave the indication at the ongoing International Monetary Fund/World Bank Group yearly meetings in
Washington DC.

According to him, there is a lot of “networking meetings going on, and I can assure you that meetings are going on with some of our partners, particularly, China.”

Expressing optimism that there would be positive outcome, he noted that some of the meetings included the Managing Director of IMF as well as the World Bank Group, in an effort to achieve some of the objectives.

“I believe in the course of time, we would achieve it. Nigeria happens to be one of the foremost countries in the world that adopted the Remimbi as a reserve currency. We would work together with China, to ensure that we also get our fair share of the benefit from this arrangement,” he said.

In another development, the Minister of Finance, Kemi Adeosun, reiterated that the planned massive investment in critical infrastructure can improve the country’s productivity, create jobs and bring comfort for our people.

“Nigeria is too big to fail. We are too significant in the region to underperform. So, what we are trying to do is to reset the Nigerian story so that we can grow. To grow, we need to have the enabling infrastructure.

“We need to have power and we have gotten some commitments. We also need to improve transport, rail, and housing.  We are really confident that we would get back to growth,” she said.

Meanwhile, Emefiele has affirmed that monetary, fiscal and structural reforms are the directions the country has been undergoing, adding that it is also accompanied by serious coordination and collaborations.

He raised the hope that if the direction is sustained, the country would achieve that desired objective, pointing out that the reforms include the flexible exchange rate regime, which he said, is picking up gradually.

“When you are in the type of situation that we are in, naturally you find out that people are a little bit sceptical. But with time, as we develop the confidence, we would begin to see more of them coming into the country,” he said.

But the World Bank President, Jim Yong Kim, said the institution has effected some changes to help it better deliver results for its stakeholders and the low income countries.

Already, the reforms had helped it receive funding support to the tune of $52 billion, cut $400 million in administrative costs and reinvested savings in the bank’s business. These reinvestments are allowing us to deliver results to our clients more quickly.

But to make headway in mobilising private sector funds for infrastructure and growth support, the bank chief warned of the unpredictable nature of government policies and actions, corruption, and tax regulations, which continue to present the largest obstacles for investment in developing countries, including Nigeria.

“We want to continue working with you to make real progress as you tackle corruption, build stronger institutions, and reform tax structures, which will remove the constraints to private sector investment, foster better service delivery and promote better governance.

“We also want to work with you to make investments more attractive by lowering real and perceived risks, both in established and in emerging sectors,” he said.



13 Comments
  • vic

    GODWIN EMEFIELE, YOUR FIRST TASK IS TO STRENGTHEN NAIRA AT YOUR OWN PERIL AMONG THE COMPELLING CALLS FOR YOUR URGENT RESIGNATION AS THE GOVERNOR OF THE CENTRAL BANK OF NIGERIA.

  • olusina olayiwola-ojetunde

    Pity these guys, they are being sabotaged by their employer, economic policies no matter how sound is impotent without political stability!!!! The head honcho doesn’t know that

  • Victor Aikhionbare

    Just ignore armchair experts and focus. In trying your best God will see you through

  • Its highly unfortunate that Emefiele does not know that the high demand for dollars is not because of genuine need for importation but that it is demand pressure created by economic saboteur who could no longer keep money in the Banks because they are living with the fear of the current war on corruption of the Federal government. They will readily trade their ill-gotten wealth with any other currency without been bothered about the exchange rate to the Naira.

  • real

    if the central bank and the minister of finance fail to really understand the core issue with the economy, the country would continue to be in serious trouble. The core problem with our currency is massive importation of everything and pure speculation. Those two things needs to be drastically reduced. our economy is suffering because of lack of core basic infrastructure. no power to generate production, no fuel to drive transport, no road to move goods and services. no funds to finance production and most especially lack of raw materials. The government needs to focus on this core things and the economy would pickup.

    • amador kester

      That underscores the need to begin to attract direct investors to come down to manufacture power equipment and capital goods,first and foremost and also transport equipment,electronics, construction equipment,agricultural machinery,mining equipment,,housing,etc.. These are fundamental movers of an economy to begin with

      • Okworld

        Who told you that massive foreign investments will uplift the economy? Those funds will only bring succour but will worsen the local economy when the said foreign investors starts repatriating their huge profits such is currently happening with DSTV, MTN and Shope rites outfits……
        Nigerians must sell off their cars and others and start to invest on their own, we can do it,

        • Wole

          You are wrong. The foreign investment will uplift infrastructure and provide local jobs. Profits must be repatriated because it is their returns on investment. Did they not bring in capital? so why should they not repatriate the profit therefrom?

      • vic

        WITH INSECURITY AND HIGH LEVEL OF KIDNAPPING, WHICH INVESTOR WILL COME TO NIGERIA TO DIE????

  • Daniel Akinbote

    it’s renminbi not remimbi

    • Tosin

      it’s complicated 😀 😀 #nihao

      also “quest” for “search”

  • vic

    ECONOMIC ILLITERATE GOVERNOR OF CENTRAL BANK, GODWIN EMEFIELE IS A REAL FOREX BENEFICIARY AND A FOREX FRAUDSTER WHO CONTINUES TO AID AND ABET THE VARIOUS FOREX ACTIVITIES OF THE COMMERCIAL BANKS IN NIGERIA WHO CONTINUE TO SELL DOLLARS AND POUNDS TO NAIRA MASTER CARD HOLDERS IN FOREIGN COUNTRIES AT THEIR ATM MACHINES AT BLACK MARKET RATES AND ALSO CONTINUES PERPETUATE THE ACTIVITIES OF THE BLACK MARKET WHICH ARE THRIVING TO NEW HEIGHTS EVERYDAY.

    THIS GOVERNOR IS A TOTAL FOREX FRAUD WHO LIVES IN THE POCKET OF FOREX BENEFICIARY, BUHARI. THAT IS WHY BUHARI CAN NEVERE SACK THIS CBN GOVERNOR.

  • vic

    MR BUHARI, TO STRENGTHEN NAIRA, NOW TELL EFCC TO BEGIN TO RAID HOUSES AND MANSIONS OF POLITICIANS AND FOREX FRAUDSTERS WHO ARE ILLEGALLY HOARDING BILLIONS OF DOLLARS IN NIGERIA AND RETURN THOSE CONFISCATED FOREIGN CURRENCIES TO A SEPARATE ACCOUNT IN THE CBN FOREIGN RESERVES. AS THE OPERATION MOVES ON, WE SHALL FIND THAT THE FOREIGN RESERVES WILL, VERY QUICKLY, SWELL BY TENS OF BILLIONS OF DOLLARS. SOME UNSCRUPULOUS AND UNPATRIOTIC NIGERIANS ARE HOARDING TENS OF BILLIONS OF DOLLARS. FIRST START WITH THE POLITICAL HEAVY WEIGHTS- THE PAST GOVERNORS, SENATE MEMBERS, HOUSE OF REPRESENTATIVES, PAST PRESIDENTS, THEIR VICE PRESIDENTS AND MINISTERS. RIGHT NOW, ON CORRUPTION MATTERS, BUHARI IS WASTING TIME AND MERELY SCRATCHING THE SURFACE. PEOPLE LIKE BUHARI AND EFCC SHOULD REALLY KNOW WHERE THESE CROOKS ARE HOARDING THE DOLLARS.