The Central Bank of Nigeria (CBN) announced on Thursday that the country’s inflation rate and exchange rate pressures are expected to decrease in the coming year.
Despite the November inflation rate reaching 27.33%, the highest in 18 years, CBN Governor Yemi Cardoso projects a decline in 2024.
Speaking to the Joint Committee on Banking, Insurance, and Other Financial Institutions in Abuja, Cardoso expressed optimism about the positive trajectory of the domestic economy, expecting a reduction in both inflation and exchange rate pressures.
He also mentioned expectations of lower oil revenue in the new year, citing various factors.
Total trade in the third quarter of 2023 exhibited a positive balance, contributing to an increase in external reserves.
“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.”
“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 said.
Ada Peter
