lasilkiin.com
  • Home
  • Politics
  • Business
  • Sports
  • Health
  • Religion
  • Editorial
  • Youth wing
No Result
View All Result
Donate
  • Home
  • Politics
  • Business
  • Sports
  • Health
  • Religion
  • Editorial
  • Youth wing
No Result
View All Result
lasilkiin.com
No Result
View All Result
Home Business

Nigeria’s External Reserves Fall By 3.6% In August, 2022

ajanimusa2015 by ajanimusa2015
September 5, 2022
in Business, Top Story, Trending
0
Nigeria’s External Reserves Fall By 3.6% In August, 2022
0
SHARES
1
VIEWS
Share on FacebookShare on Twitter

Nigeria’s External Reserves Fall By 3.6% In August,2022.

Nigeria’s external reserves have fallen by 3.6% in August 2022, to $39.024 billion, down from $40.520 billion on December 31, 2021.
The pressure on the Nigerian foreign exchange reserves forced it to shed a whopping $1.496 billion Year to date, despite the surge in crude oil prices.

Despite the apex bank’s interventions in the forex market, the Nigerian economy is starved of foreign exchange as currency traders continue to complain about restricted forex liquidity, causing the local currency to depreciate more in the FX market.

Although there are a number of CBN policies and programs aimed at encouraging inflows, Nigeria’s inability to attract foreign currencies through export value, diaspora remittances and investments have resulted in severe FX shortage in the country, encouraging arbitrage in the parallel market.

That the decline in foreign reserves comes amidst over $100 crude oil average price in August against a benchmark of $62 per barrel set by the Federal Government for the N17.12trillion 2022 budget.

Nigeria’s foreign exchange reserves are mostly reliant on the income from the export of crude oil, however, despite the rise in oil prices, Nigeria’s capacity to increase its oil revenues has been constrained by decreasing oil production.

The Nigerian exchange rate between the naira and the US dollar has massively declined from N565/$1 to N700/$1, representing an N135 differential year to date.

Meanwhile, the official exchange rate has maintained stability to trade around N430/$ at the time of writing this article.
The stability of the official exchange rate comes at a cost to the reserves as the Central bank sells foreign exchange in the official window from its external reserves.

The reserve decline can be linked to CBN’s ongoing intervention in the official FX market to limit exchange rate volatility.

Despite the apex bank intervention in the official market, thousands of applicants are facing harrowing experiences as they get their PTA in two or three tranches depending on what is available in the bank’s vault.

The Central Bank of Nigeria has also released $265 million to save the Aviation sector, with a portion of it going to pay blocked funds owing to foreign airlines.

However, if the foreign exchange pressures persist the apex bank would have to sell more of the foreign exchange from its external reserves.

The apex bank also stated that foreign exchange inflows through the RT200 FX Programme surged significantly in Q1 and Q2 of 2022, reaching around US$600 million as of June 2022.

Nonetheless, the rise in foreign exchange inflows via the RT200 FX does not appear to be adequate to alleviate the forex crises.

Analysts opined that the bank’s ability to stabilize the Naira will be hampered if the pressure continues since Nigeria’s foreign reserves are being depleted.

Previous Post

UPDATE: Fresh Body Recovered, Death Toll Hits Four From Lagos Building Collapse

Next Post

KENYA SUPREME COURT AFFIRMS RUTO’S VICTORY

Related Posts

Islamic Scholar Sheikh Binuyo Dies at 96
News

Islamic Scholar Sheikh Binuyo Dies at 96

January 24, 2023
Professor Fagbohun urges FUO graduates to rise up to tackle challenges facing Nigeria
Education

Professor Fagbohun urges FUO graduates to rise up to tackle challenges facing Nigeria

January 14, 2023
FUO CONVOCATION: New Executive Sworn In For Parents Forum
Education

FUO CONVOCATION: New Executive Sworn In For Parents Forum

January 11, 2023
Next Post
KENYA SUPREME COURT AFFIRMS RUTO’S VICTORY

KENYA SUPREME COURT AFFIRMS RUTO’S VICTORY

Entrance examination into Lagos public schools christianized- MURIC alleges

Gov. Sanwolu Accepts The Resignation of Dr. Idris Salako

LIZ TRUSS BEATS SUNAK TO BECOME UK PRIME MINISTER

LIZ TRUSS BEATS SUNAK TO BECOME UK PRIME MINISTER

Please login to join discussion

Recommended

FUO CONDOLES WITH OSOGBO COMMUNITY FOLLOWING DEMISE OF ALHAJI AHMED OMIDIRAN

FUO CONDOLES WITH OSOGBO COMMUNITY FOLLOWING DEMISE OF ALHAJI AHMED OMIDIRAN

7 months ago
Imbibe culture of mutual trust, sincerity to promote freedom of religion- Onike

Imbibe culture of mutual trust, sincerity to promote freedom of religion- Onike

7 months ago
Obtain Your PVC And Vote, NACOMYO Charges Muslims

Obtain Your PVC And Vote, NACOMYO Charges Muslims

7 months ago
What should determine Buhari’s successor – Ansar-Ud-Deen

What should determine Buhari’s successor – Ansar-Ud-Deen

7 months ago

Categories

  • Business
  • Editorial
  • Education
  • Empowerment
  • Entertainment
  • From NASFAT Chief Misssioner
  • Health
  • International
  • Lifestyle
  • National
  • News
  • Opinion
  • Photo Speaks
  • Politics
  • Religion
  • Sports
  • Top Story
  • Trending
  • Uncategorized
  • Youth wing
No Result
View All Result

Highlights

FUO CONVOCATION: New Executive Sworn In For Parents Forum

Napoli interested in Azzedine Ounahi, sets to become third African in Naples

Mendy out, as goalkeeper undergoes surgery on broken finger

Ex-Lagos commissioner appointed NDIC chairman

Female VC Emerges In FUO

Fountain University Sets For Her 12th Convocation Ceremony

https://vimeo.com/754224285?loop=0

Trending

Islamic Scholar Sheikh Binuyo Dies at 96
News

Islamic Scholar Sheikh Binuyo Dies at 96

by Lasilkiinadmin
January 24, 2023
0

Islamic Scholar Sheikh Binuyo Dies at 96 January 24, 2023 A former Correspondent of the Voice of...

PHOTO SPEAKS

PHOTO SPEAKS

January 14, 2023
Professor Fagbohun urges FUO graduates to rise up to tackle challenges facing Nigeria

Professor Fagbohun urges FUO graduates to rise up to tackle challenges facing Nigeria

January 14, 2023
FUO CONVOCATION: New Executive Sworn In For Parents Forum

FUO CONVOCATION: New Executive Sworn In For Parents Forum

January 11, 2023
Napoli interested in Azzedine Ounahi, sets to become third African in Naples

Napoli interested in Azzedine Ounahi, sets to become third African in Naples

January 10, 2023

Lasilkiin Communications Limited is Radio and Television Service company....

Follow us on social media:

Lasilkiin

₦
Select Payment Method
Personal Info

To make an offline donation toward this cause, follow these steps:

Naira Account
Lasilkiin Communications Limited
United Bank of Africa1025788810

Dollar account
Lasilkiin Communication Limited
3003945088
United Bank of Africa

Donation Total: ₦ 100.00

Category

  • Business
  • Editorial
  • Education
  • Empowerment
  • Entertainment
  • From NASFAT Chief Misssioner
  • Health
  • International
  • Lifestyle
  • National
  • News
  • Opinion
  • Photo Speaks
  • Politics
  • Religion
  • Sports
  • Top Story
  • Trending
  • Uncategorized
  • Youth wing
  • About
  • Advertise
  • Careers
  • Contact
  • NASFAT

© 2022 Lasilkiin Communications Limited.

No Result
View All Result
  • Home
  • Politics
  • News
  • Business
  • Sports
  • Lifestyle
  • Religion
  • Health
  • Empowerment
  • From NASFAT Chief Misssioner
  • Editorial
  • Youth wing

© 2022 Lasilkiin Communications Limited.