Speaking with newsmen on Thursday at the State House, Abuja, Bagudu explained that before arriving at the projected exchange rate of N750 to the dollar in the 2024 budget, which the National Assembly raised to N800 to the dollar, government considered and viewed critically, the average performance of the naira.
He said: “For budgeting purposes. You don’t use spot rate of anything. Oil price can go to 120 today, maybe there is a shortage, maybe there is a collition between two ships that will block a channel. It would be foolish to use that as a reference price, I should take a period maybe six months to one year and say let me observe this average behaviour, so you don’t use spot prices. So even with exchange rate is like that”.
