The official response to the oil price crash and the COVID-19-induced economic crisis continues to evolve at a rapid pace. The division of labor is clear: the federal government zeroes in on cutting expenditure and shoring up the shrinking revenue base, while it falls to the Central Bank of Nigeria (CBN) to provide economic stimulus and defend the currency.… Read the rest
During a televised speech in the evening of 31 March, Prime Minister Amadou Gon Coulibaly, who is the ruling party candidate for the October 2020 presidential election, announced a raft of measures aimed at softening the economic impact of the Covid-19 pandemic.… Read the rest
- Nigeria enters the ensuing COVID-19-induced economic crisis in a much weaker state than previous crises.
- Nevertheless, the administration will fight tooth and nail to avoid a devaluation in the short-term.
On 24 January, the Central Bank of Nigeria’s (CBN) monetary policy committee decided to hike the cash reserve ratio (CRR) by 500 basis points from 22.5% to 27.5%, while leaving all other monetary parameters unchanged.… Read the rest