Experts of investment banking are not seeing any respite for the weak Naira in the near term as the Central Bank of Nigeria (CBN) foreign exchange intervention tumble 28% last week.
This is even coming as Nigeria records unfavourable trade position with a trade deficit of around N4.00 trillion in the first quarter of this year due to increased importations despite scarce foreign currency inflow into the economy.
This negative trade position implies an outflow of dollar for the country as the monetary policy authority struggle to keep ailing Naira strong in the currency market.
While current data shows that foreign trade jumps 6% to about N10 trillion, importations accounted for 70% of total international trade in the period.
Rising prices in the United States are offering a glimpse of the white-knuckle recovery that is in store for the global economy, as surging demand for everything from machined parts to restaurant meals collides with supply bottlenecks and product shortages.