The Naira crashed heavily against the dollar trading as high as N370 Friday over the FGN announcement to (de)regulate the price of fuel setting it to sell at N145.00
The Presidency had stated that the deregulation was to help cabal in the oil refinery business to make more money which has already reflected as oil refinery stocks of Dangote and other oil marketing firms’ stock rose sharply in the Nigerian Stocke exchange, NSE to their pleasure.
Forte oil rose N10.50, Mobil rose N5.57, Oando oil rose by N0.23.
Economists suggest that the naira crash may not remain so drastic due to the availability of several other sources for forex other than the BDC.
Fuel prices may rise further if the dollar rate at the black market remains elevated as the idea of the price hike to make the commodity profitable to import with black market sourced dollars will be defeated.
The PPPRA pegged the naira at 298/$ for fuel importation.
A NewsRescue analyst commented that the Buhari government is running in a trial and error basis without clear strategy.