Forex Market: Expert Faults Nigeria’s $4.4bn Weekly Turnover.
…warns against dollarisation of economy
The Chairman of Alliance for Economic Research and Ethics (AERE), Dele Oye, has said that the record $4.375 billion recorded in Nigeria’s foreign exchange market within a single week has exposed the vulnerability of the country’s currency market and highlighted the need for better transparency and deeper structural reforms.
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Oye, in a statement titled: ‘What a Record FX Week Really Reveals About Nigeria’s Market,’ argued that the surge in turnover should not be mistaken for evidence of a stronger and more resilient foreign exchange market.
Oye explained that although the development demonstrated the market’s capacity to process a high volume of transactions, it did not necessarily indicate stronger liquidity, increased reserves or broader access to foreign exchange.