World Bank Warns: Nigeria Forex Policies Are Untenable Without Reforms

Well designed reforms by the government will structure foreign policies which will aid sustainability of the Naira in its exchange rate ratio . Chief economist, Albert Zeufeck said on Wednesday to the press that The World Bank had been working assiduously in ensuring that African local currencies will strengthen in its exchange rate ratio.

Zeufeck blamed Nigeria’s recession on the lack of available financial reform policies. He was disappointed at the excessive borrowing of  financial resources  by african nations from the World Bank and made no mention the the pending loan Nigeria has requested for since 2016.

His words in quote:

“Making fiscal adjustments in the West African country, now in its second year of recession would be extremely challenging. However, its currency adjustments could lead to higher inflation without following known standards, which means that continued monetary policy, including tightening the loose ends could reduce pressures on purchasing powers of its people. It is not a hidden fact that the Africa’s biggest economy, Nigeria, is facing a currency crisis, caused by low oil prices, which has affected its foreign reserves and created chronic dollar shortages”.

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