Naira Depreciates By 51.5% Against Dollar in One Year Under CBN's Cardoso

Naira has depreciated by 51.5% against the US dollar over the past year. This decline occurred under the leadership of Olayemi Cardoso, who was appointed as the governor of the Central Bank of Nigeria (CBN) on September 15, 2023.

According to data from the FMDQ, the Naira fell from N747.76 per dollar in September 2023 to N1,541.52 per dollar by September 22, 2024. Despite multiple interventions by the Cardoso-led CBN, including raising the monetary policy rate (MPR) four times to 26.75%, inflation remains high at 32.15% as of August 2024.

Financial experts have urged the CBN to pause further interest rate hikes ahead of the upcoming Monetary Policy Committee (MPC) meeting. The MPC is currently deliberating whether to continue increasing interest rates to combat the persistent inflation.

Amid these challenges, there is a silver lining. Nigeria’s external reserves have reached a 22-month high of $37.39 billion as of September 19, 2024. However, Nigerians continue to face harsh economic realities, with soaring food prices and rising energy costs exacerbating their daily struggles.

"Despite our efforts to stabilize the Naira and control inflation, the economic situation remains challenging for many Nigerians," said a CBN spokesperson.