The International Monetary Fund (IMF) says the depreciation of the Naira is not necessarily a bad thing for Nigeria’s economy.
The Fund’s Director of Monetary and Capital Markets, Tobias Adrian, stated this at a press briefing during the IMF/World Bank Annual Meetings in Washington D.C.
He explained that a weakening exchange rate could help restore economic balance and that Nigeria has taken steps to strengthen monetary policy, boost revenue, and improve transparency in foreign reserves.
According to him, these efforts have helped reduce inflation from over 30% last year to 23% and improved the country’s foreign reserve position.
Adrian also commended Nigeria’s policy direction but warned that Sub-Saharan Africa still faces economic risks and must continue strengthening fiscal and monetary frameworks.
He further welcomed global regulations on stablecoins, noting that they enhance financial stability worldwide.