NRTC CHECK: False, CBN didn’t devalue naira

Claim: The Central Bank of Nigeria (CBN) has devalued the naira to N631 to the dollar from N461.6.

Full Text

A widely circulated claim on social media handles (WhatsApp, Facebook, Twitter, Instagram, and TikTok) and some mainstream media that the Central Bank of Nigeria (CBN) has devalued the naira to N631 to the dollar from N461.6.

What will know 

Some mainstream media outlets in Nigeria on June 1st, 2023 reported that the Central Bank of Nigeria (CBN) has devalued the Naira to N631 to the dollar from N461.6 it sold at the Importers and Exporters (I&E).

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The report added that CBN devaluation came 48 hours after President Bola Ahmed Tinubu announced the plans to unify the country’s exchange rate to stimulate the economy.

Reports from ECONOMIC CONFIDENTIAL and DAILY TRUST quoted the inaugural speech of President Bola Tinubu,  “Monetary policy needs a thorough house cleaning. The Central Bank must work towards a unified exchange rate. This will direct funds away from arbitrage into meaningful investment in the plant, equipment, and jobs that power the real economy.”

Recall that Tinubu was sworn-in as Nigeria’s 16th president on May 29 following the elapsed tenure of Muhammadu Buhari, NRTC CHECK confirmed. 

Our findings

NRTC CHECK found out that the news reported by some mainstream media platforms — was shared across social media pages was ‘fake’, purportedly released to mislead Nigerians, and caused chaos in the country following the hike in Premium Motor Spirits (PMS). 

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Debunking the news on its official social media handles, CBN urged Nigerians to disregard such claims, saying the report was speculated and calculated at causing panic in the market. 

The statement signed by Ag. Director, of Corporate Communications, Isa AbdulMumin said as of this morning [June 1, 2023], the window traded at 465/US$1 and has been stable around the rate for a while.

The statement read: “The attention of the Central Bank of Nigeria (CBN) has been drawn to a news report by Daly Trust Newspaper of June 1, 2023. tiled “CBN Devalue Naira To 630/31”. 

“We wish to state categorically that this news report, which in the imagination of the newspaper is exclusive, is replete with outright FALSEHOODS and destabilizing innuendos, reflecting potentially willful ignorance of the said medium as to the workings of the Nigerian Foreign Exchange Market. 

“For the avoidance of doubt, the exchange rate at the investors’ & Exporters’ (1&E) window vaded this morning (June 1, 2023) at 465/US$1 and has been stable around this rate for a while.

“The public is hereby advised to ignore the news report by Daily Trust in etiredrety as it speculated and calculated at causing panic in the market. 

“Media practitioners are advised to verify their facts from the Central Bank of Nigeria before publishing in order not to misinform the public.”

Verdict 

False! Available information from the Central Bank of Nigeria, CBN, shows that the naira was not devalued to N631 to the dollar from N461.6.

Conclusion

This claim by DailyTrust newspaper and some media outlets that CBN devalue naira is FALSE and NRTC CHECK confirmed that the exchange rate at the investors’ & Exporters’ (1&E) window vaded as of today (June 1, 2023) at 465/US$1.

NRTC CHECK findings show that the claim was created to cause chaos for Nigerians who are still battling with the removal of fuel subsidy and an increase in PMS price.