Online financial trading and investing firm, FTXM, has said that the persistent rise in Nigeria’s inflation figure and monetary policy rate was risky to the country’s fragile economy.
This was revealed in the weekly outlook of the firm put together by Senior Market Analyst, Lukman Otunuga.
He said that while the combination of mounting geopolitical risk and US Fed rate expectations rocked global financial markets in the previous week, the volatility is likely to intensify over the next few days as investors not only focus on these key themes but top-tier economic reports from across the globe among other high-risk events.
“In Nigeria, the CBN’s recent removal of FX restrictions on 43 items sparked some optimism as dollar supply surged. This development offered an opportunity for the Naira to fight and was also welcomed by the IMF which acknowledged the series of reforms aimed at fixing Nigeria’s economy.
“Nevertheless, inflation remains piping…