Date: October 31, 2020, 11:46:29 AM
Will Yuan swap strengthen naira rate?: Business : Nigerialog.com - Nigeria's Premier Online Forum
So will the Yuan deal reduce inflation or strengthen the Naira rate?No. It was never CBN’s expectation that the Naira/Yuan deal would restrain inflation nor induce a stronger rate. Clearly, the Naira rate is not distinctly a function of inadequate dollar reserves or Yuan reserves, but actually a function of surplus supply of Naira and regular auctions of dollars rations by CBN. Unfortunately, the Yuan/Naira deal may further increase the challenge of Systemic Naira excess.