The Coronation Research in a survey has discovered that higher networth Nigerians now prefer to save their cash in dollars, a report has shown.
The Research further proves that dollar deposits constitute 40 per cent of banking sector deposits.
Many investment banks are floating dollar funds, giving depositors and savers opportunity to hedge against naira depreciation.
Head of Research at Coronation Asset Management, Guy Czartoryski, said review of deposits in top 10 banks showed that 40 per cent of customers’ total savings, current and term deposits accounts are in dollars.
He said the financial sector has also seen a rise in the number of customers liquidating their savings deposits, and moving the funds to Mutual Funds, where interest are higher.
Speaking at the virtual launch of the Coronation Research: The Shifting Appetite of the Nigerian Investor: From Savings to Mutual Funds, he said movement of deposits to Mutual Funds increased after the last Monetary Policy Committee (MPC) meeting which reduced the Policy Rate to 11.5 per cent from 12.5 per cent.