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On CBN’s forex policy

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The Central Bank of Nigeria (CBN) was reported to have said on Monday that it would not allow free floating of the naira. This is a scandalous pronouncement that anyone with a rudimentary knowledge of economics cannot but deplore. The CBN is not expected to make pronouncements that are not fair to the Nigerian market.

Simply put, the CBN is saying that it will adopt the communist practice of determining the prices of goods and services when Nigeria is supposed to be operating a capitalist economy.

Refusing to allow market forces to determine the exchange rate is a recipe for anarchy. It is time for the CBN leadership to resign.

Grace Njoku

Lagos.

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