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Economic Crisis: Naira Among 10 Worst Performing Currencies Globally — Bloomberg Report

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Nigeria’s local currency, the naira, is among the 10 worst-performing currencies in the world.

According to a report by Bloomberg, out of the 10 worst-performing currencies, five are from Africa, including the Zambian kwacha, the Angolan kwanza, and the naira.

The drop in the performance of the African currencies was linked to economic challenges, unstable commodity prices, inflationary pressures, and a lack of dollar liquidity.

Also, Bloomberg said the poor performance is due to many African economies depending on oil exports, so they are vulnerable to declines in price.

Commenting on the data, Keonethebe Bosigo, portfolio manager at Mazi Asset Management, said oil prices are not the only issue, even though it is a major factor.

Bosigo said poor currency management and imbalances are “the real culprits”.

Speaking on the performance of the naira, the portfolio manager said oil prices are a factor, “but the real issue is that the naira wasn’t allowed to adjust, which led to its overvaluation and a subsequent loss of confidence in the currency”.

On his part, Irmgard Erasmus, an economist at Oxford Economics, said the naira continues to “face significant pressure despite reforms aimed at liberalising the current account”.

“The naira remains undervalued relative to its long-term neutral value due to ongoing issues around liquidity and dollar supply,” Erasmus said.

“Although Nigeria has made inroads toward current account liberalisation since the Tinubu victory in 2023, hard-currency supply challenges persist while tightening regulations on the banking sector and BDC operators contribute to risk aversion.”

“The government’s slow pace of reforms, combined with haphazard monetary policies, continues to keep the currency in undervalued territory,” he added.

Erasmus also said the naira should be trading closer to N1,100 per dollar in the absence of distortions, compared to Thursday’s close of N1,544/$.

He, however, said without significant policy changes and improved dollar liquidity, the outlook for the naira remains fragile.

On June 14, 2023, the Central Bank of Nigeria (CBN) officially unified the multiple FX rate systems, collapsing all FX windows into the investors’ and exporters’ (I&E) window.

The policy resulted in the depreciation of the local currency and caused significant levels of volatility in the FX market.

At the close of trading on Friday, data from FMDQ Securities, a platform that oversees official foreign exchange trading in Nigeria, showed that the naira traded at N1,541 per dollar.

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#EdoDecides: EFCC Operatives Arrest Vote-Buyers At Governorship Election

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Operatives of the Economic and Financial Crimes (EFCC) have arrested some suspected vote-buyers in the ongoing Edo governorship election.

They were arrested in the Egor Local Government Area of the state around 10:00 am, reports Channels TV.

EFCC officials left the location with three suspects – two males and a female.

But some residents kicked against the arrest, insisting they were being victimised.

The EFCC had yesterday said it was deploying operatives to monitor the election, vowing to maintain the integrity of the exercise.

“Our operatives have been deployed to monitor the conduct of the elections. We are committed to the attainment of electoral integrity by ensuring that voters cast their votes democratically without any form of financial inducement,” the agency’s spokesman Dele Oyewale said.

Vote buying is a financial crime and the EFCC won’t allow It anywhere.”

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Tinubu Gushes About Wife On Her 64th Birthday, Says “Your Love Sustains Me”

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Nigeria’s President, Asiwaju Bola Ahmed Tinubu, has paid a glowing tribute to Oluremi, his wife, on her 64th birthday.

In a heartfelt message via Instagram on Saturday, the president described Oluremi as his “rock, confidant, and greatest support” and the “heart” of their home.

Tinubu expressed gratitude for his wife’s “unwavering strength, grace, and love” to him, their family, and the entire nation.

The president also prayed for “boundless joy, peace and happiness” in Oluremi’s life.

“My Dearest Oluremi, on this beautiful day, as we celebrate your 64th birthday, my heart is full of gratitude and love for the incredible woman you are.

Since we began this journey together, you have been my rock, confidante, greatest supporter, and the love of my life,” he wrote.

“Every step of the way, you have shown unwavering strength, grace, and love to me, our family, and our beloved nation, Nigeria.

You are the heart of our home, the light guiding me through the most challenging days, and the embodiment of kindness and wisdom.

Your compassion, generosity, and dedication inspire millions of Nigerians and me, especially our young women, who look up to you as their First Lady.

On your special day, I want to take a moment to tell you how truly blessed I feel to walk this path beside you.

Your love sustains me, wisdom guides me, and strength lifts me.

“I could not ask for a better partner to share the triumphs and trials of life.

As you turn 64, I wish you nothing but boundless joy, peace, and happiness.

May this year unfold with blessings, laughter, and cherished moments you so richly deserve.

I look forward to all the moments we will create together in the years to come.

With all my love and appreciation, now and always.

Your Bola.”

“Bola and Remi tied the knot in 1987. Their union is blessed with three children.”

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#EdoDecides: President Tinubu Urges Candidates, Political Parties To Respect Democratic Process

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Nigeria’s President, Asiwaju Bola Ahmed Tinubu, has implored candidates, political parties, and supporters to respect the democratic process and the people’s choice during the Edo governorship election.

The election will hold on Saturday, September 21.

Tinubu’s appeal was contained in a statement issued by Bayo Onanuga, special adviser to the president on information and strategy.

“President Tinubu emphasises that democracy thrives on civility, tolerance, patience, and respect for the rules of the game,” the statement reads.

“He notes that the Independent National Electoral Commission (INEC) has committed to conducting a free and fair election and urges all stakeholders to work together to ensure a successful and peaceful process.

“The President commends the governorship candidates and political parties for their campaigns, which have focused on issues that matter most to the people of Edo State, including improving livelihoods, promoting economic growth, and contributing to national development.”

Tinubu also urged voters to remain peaceful throughout the process and encouraged them to resolve any disagreements amicably through constituted authorities.

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