Foreign Investor Unconvinced Over Nigeria Economy

Foreign investor has casted doubts over the ability of President Muhammadu Buhari to return Nigeria’s economy to its glory days.

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File photo of Minister of Finance, Kemi Adeosun

Bloomberg reported that foreign investors were full of hope when President Buhari won the presidential election in March which initially accounted for the return of the bull to the stock market as investors believed that he will reverse Nigeria’s decades of poor economic mismanagement and unstable policy.

This hope was dashed as economy took a dip prompting foreign investors to sell of their stakes in anticipation of the worst.

According to Jan Dehn, the head of research at Ashmore Group Plc, which managed over $60 billion of emerging markets assets, stated that he was not convince that President Buhari could hold the economy together as things seem to be drifting apart.

Dehn as a fund manager had sold off Nigerian government bond in the past few years.

He said: “So far the Buhari administration has done all the wrong things,” Dehn said by phone from London.

 “Not only has he been incredibly slow in taking any action, when he finally has taken action on the economic front it’s been diametrically opposed to sensible policy. That is a major disappointment given expectations prior to his election.”

Meanwhile, the Central Bank of Nigeria governor, Godwin Emefiele, had been summoned by the Senate to explain the reason for the continued free fall of naira.

According to the majority leader of the Senate, said that the need to summon the CBN governor for questioning became necessary in order for the red chamber to be briefed on the next line of action.